Inflation is fueled by price gouging. We were told supermarkets had to raise prices cos of the cost of gas and electricity; both of which have dropped to levels pre Ukraine War. Get mad at our POS supermarkets who are gouging the fuck out of us. Petrol and Diesel are cheaper NOW than they have been for over a year , by a considerable margin.
It would be nice to have an explanation of how much influence the BoE base rate has on inflation and what other means (if any) the BoE has to influence inflation.
Interest rates won’t work against inflation, it’s old school thinking that doesn’t acknowledge the wealth gap. 43% of all the money in the country is in the hands of 5%. That 5% feel no pain from interest rates, so why would they stop spending? Coupled with the removal of banking bonuses and other unbridled corporate greed and old-school targeting of average Joe’s pocket has no impact whatsoever. It’s wealth inequality that is driving this inflation.
Hopefully BoE will be investigated for this one day. When we have supply side inflation, raising interest rates only makes it worse. If businesses are struggling with costs, making it more expensive to finance borrowing and reducing demand is only going to cause more struggle and more pressure to put prices up.
It’s economics 101, but BoE is dead set on bankrupting SMEs and making people lose their homes, so the banks and investors can move in buy them at a discount and big corporations can enjoy larger share of the market.
Well why don’t they actually do something about inflation then that would actually work
Why do plebs keep spending – Andrew Bailey, governor of Bank of England (on 500,000£ salary).
I think they need to be an acceptance that inflation will average around 5-6% over the next two years. It could be 5 years until we are back on track with our inflation target.
Responsibility doesn’t lie just with our monetary but fiscal too.
Last year we didn’t want to subsidise fertiliser costs contributing to less usage, lower yields and higher food inflation.
This year we took no action to seriously tackle the energy crisis, no surge in production, energy policy is still stuck behind anti competition policies, new entrants are none existent and market stability and state price controls are priority policy decisions. Prices which haven’t yet fallen in the UK despite it having fed into most other countries.
Brexit is also a factor and even now government policy is increasing costs.
There have been many warnings but there’s been little sign they have been heeded.
Definitely some price gouging and greed contributing to inflation.
March 22 – March 23:
Cheapest 3 supermarket diesel prices were 156.7p, 156.9p and 156.9p
The cheapest prices excluding Gulf and Costco (2 stations).
Brent Crude: $75.50-$76.38
April 19 – April 22:
Cheapest 3 supermarket diesel prices were 152.9p, 153.7p and 153.7p
The cheapest prices excluding Gulf and Costco (2 stations).
Brent Crude: $81.46-$83.12
May 11 – May 13:
Cheapest 3 supermarket diesel prices were 145.9p, 145.9p and 146.7p
The cheapest prices excluding Costco (1 station).
Brent Crude: $74.17-$74.98
May 19 – May 20:
Cheapest 3 supermarket diesel prices were 139.9p, 139.9p and 142.7p
The cheapest prices excluding Costco (1 station).
Brent Crude: $75.58
CMA update was released on May 15 about petrol prices.
Obviously prices are only local but still doesn’t look good.
Who cares they aren’t gonna do anything about it.
Fed and UK printed money because it’s the only thing they know how to do, they said it themselves; they don’t have a plan for this.
Stick your money into S&P or another ETF for average 10%PA.
Better hedge than slowly losing it
If the conservatives are fucking up the economy so badly, makes you wonder what their purpose is, huh.
“Our method isn’t working!”
“Quick! Try it some more!”
The BoE – probably.
In all honesty, I don’t see what they actually *can* do about inflation that’s completely dependent on international factors, such as the import price of foodstuffs and energy. But making other factors more expensive seems counterintuitive to me.
Perhaps it worked in the past, but they seem to be having a hard time accepting that the world is different now, and the drivers of inflation are also different this time.
11 comments
Inflation is fueled by price gouging. We were told supermarkets had to raise prices cos of the cost of gas and electricity; both of which have dropped to levels pre Ukraine War. Get mad at our POS supermarkets who are gouging the fuck out of us. Petrol and Diesel are cheaper NOW than they have been for over a year , by a considerable margin.
It would be nice to have an explanation of how much influence the BoE base rate has on inflation and what other means (if any) the BoE has to influence inflation.
Interest rates won’t work against inflation, it’s old school thinking that doesn’t acknowledge the wealth gap. 43% of all the money in the country is in the hands of 5%. That 5% feel no pain from interest rates, so why would they stop spending? Coupled with the removal of banking bonuses and other unbridled corporate greed and old-school targeting of average Joe’s pocket has no impact whatsoever. It’s wealth inequality that is driving this inflation.
Hopefully BoE will be investigated for this one day. When we have supply side inflation, raising interest rates only makes it worse. If businesses are struggling with costs, making it more expensive to finance borrowing and reducing demand is only going to cause more struggle and more pressure to put prices up.
It’s economics 101, but BoE is dead set on bankrupting SMEs and making people lose their homes, so the banks and investors can move in buy them at a discount and big corporations can enjoy larger share of the market.
Well why don’t they actually do something about inflation then that would actually work
Why do plebs keep spending – Andrew Bailey, governor of Bank of England (on 500,000£ salary).
I think they need to be an acceptance that inflation will average around 5-6% over the next two years. It could be 5 years until we are back on track with our inflation target.
Responsibility doesn’t lie just with our monetary but fiscal too.
Last year we didn’t want to subsidise fertiliser costs contributing to less usage, lower yields and higher food inflation.
This year we took no action to seriously tackle the energy crisis, no surge in production, energy policy is still stuck behind anti competition policies, new entrants are none existent and market stability and state price controls are priority policy decisions. Prices which haven’t yet fallen in the UK despite it having fed into most other countries.
Brexit is also a factor and even now government policy is increasing costs.
There have been many warnings but there’s been little sign they have been heeded.
Definitely some price gouging and greed contributing to inflation.
March 22 – March 23:
Cheapest 3 supermarket diesel prices were 156.7p, 156.9p and 156.9p
The cheapest prices excluding Gulf and Costco (2 stations).
Brent Crude: $75.50-$76.38
April 19 – April 22:
Cheapest 3 supermarket diesel prices were 152.9p, 153.7p and 153.7p
The cheapest prices excluding Gulf and Costco (2 stations).
Brent Crude: $81.46-$83.12
May 11 – May 13:
Cheapest 3 supermarket diesel prices were 145.9p, 145.9p and 146.7p
The cheapest prices excluding Costco (1 station).
Brent Crude: $74.17-$74.98
May 19 – May 20:
Cheapest 3 supermarket diesel prices were 139.9p, 139.9p and 142.7p
The cheapest prices excluding Costco (1 station).
Brent Crude: $75.58
CMA update was released on May 15 about petrol prices.
Obviously prices are only local but still doesn’t look good.
Who cares they aren’t gonna do anything about it.
Fed and UK printed money because it’s the only thing they know how to do, they said it themselves; they don’t have a plan for this.
Stick your money into S&P or another ETF for average 10%PA.
Better hedge than slowly losing it
If the conservatives are fucking up the economy so badly, makes you wonder what their purpose is, huh.
“Our method isn’t working!”
“Quick! Try it some more!”
The BoE – probably.
In all honesty, I don’t see what they actually *can* do about inflation that’s completely dependent on international factors, such as the import price of foodstuffs and energy. But making other factors more expensive seems counterintuitive to me.
Perhaps it worked in the past, but they seem to be having a hard time accepting that the world is different now, and the drivers of inflation are also different this time.