Mellor 3 Ward 4
Well-known member
1.2% for September.
No interest rises just yet.
No interest rises just yet.
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Inflation
- Thread starter Mellor 3 Ward 4
- Start date
GingerBeerMan
3-0
- Dec 29, 2011
- 8,024
1.2% in one month? Can that be directly extrapolated to ~13% a year, or is that not how it works?
Return of the Rev
Well-known member
Inflation never goes down,blooming thatcher
Theatre of Trees
Well-known member
[yt]KJh0pDMnL8M[/yt]
Monsieur Le Plonk
Lethargy in motion
It's over a 12m period to September
seagullsovergrimsby
#cpfctinpotclub
Many company pension schemes go by the inflation figure in September and set this as the annual increase starting from the new tax year in April. As the CPI figure is now used , an increase of 1.2% is just over half of what the increase would have been under RPI which is 2.3%. At least the state pension will increase by 2.5% under the triple lock formula.
Mellor 3 Ward 4
Well-known member
- Thread starter
- #7
So pensioners are getting a 'pay rise' just over twice the rate of inflation?
I suppose it makes up a bit for their loss of income on their savings.
Inflation never goes down,blooming thatcher
You are right. If it went down it would be deflation (which incidentally would be a disaster economically)
Return of the Rev
Well-known member
Beach Hut
Brighton Bhuna Boy
Whilst it is good I fear we have new generation of mortgage payers who think 0.5% interest rate is quite normal whereas it is totally abnormal unless the landscape on interests rates really has changed.
seagullsovergrimsby
#cpfctinpotclub
Pensioners spend a greater proportion of their income on food and fuel which is going up more than the headline figures.
Mellor 3 Ward 4
Well-known member
- Thread starter
- #12
kevo
Well-known member
- Mar 8, 2008
- 9,094
I fear for the number of house repossessions that will happen once interest rates rise, especially given the fact that wages over the last few years have barely increased for most people.
When does the abnormal become normal? Rates have been this low for 5 years now. Maybe the landscape has changed?
Mellor 3 Ward 4
Well-known member
- Thread starter
- #15
You're right about new first time buyers, I hope for their sake rates don't shoot up.
Whilst interest rates won't stay as low as they are now for ever, they surely won't go back to the 15% interest rates I remember in the 80s
Beach Hut
Brighton Bhuna Boy
This is very true and I am not qualified to comment, maybe the one benefit from this horrendous recession will be much lower interest rates for many years to come.
Whilst inflation is low it does not excuse the blatant mark up in key factor costs like food, energy and train fares.
Silkster365
Oooo its a corner
And that's exactly why we won't be seeing any significant or meaningful rises for a very long time
Unless loony labour get back in and decide to p!ss everything up the wall again
beorhthelm
A. Virgo, Football Genius
- Jul 21, 2003
- 35,300
given the genuinly international dimension of borrowing and saving now, i think we should start to think that this is the new normal. money flows need to flow somewhere, theres an awful lot of surplus cash around (yes, even in the UK after a recession), so credit is cheap.
Mark Carney is very aware of this and I'm sure this will play a large part in his thinking.
Beach Hut
Brighton Bhuna Boy
I hope not and 15% was entirely down to John Major and his obsession with ERM factoring in Lamont who was decidedly stupid as a Chancellor.