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Never  known such  slow response to increase interest rates when inflation is running away.

young codgeryoung codger Posts: 522
edited January 2022 in The potting shed
These are certainly strange times we live in. Obviously it will  suit the people with mortgages and other borrowers. The frugal savers who have been getting a pittance  for quite a while now will  feel frustrated. I guess the forum members will be divided on the subject.


  • Hostafan1Hostafan1 Posts: 33,749
    edited January 2022
    I'm happy to forgo interest on my savings to allow younger folk struggling with crippling mortgages  further suffering.
    Both my daughters are paying a fortune in rent and have no option TO save.
    Those of us lucky enough to HAVE saving ought to count our blessings.
  • FairygirlFairygirl Posts: 50,309
    That's life. Nothing stays the same. At some points you benefit, at others you don't   :)
    Those of us who have had mortgages and/or savings at various times will have experienced the highs and lows. 
    I certainly have. You just have to get on with it, and -to use that well known phrase, cut your cloth accordingly. 
    It's a place where beautiful isn't enough of a word....

    I live in west central Scotland - not where that photo is...
  • punkdocpunkdoc Posts: 13,267
    Agree @Hostafan1, in these terrible times, I feel very grateful for what I have got.
    There are ashtrays of emulsion,
    for the fag ends of the aristocracy.

    S.Yorkshire/Derbyshire border
  • DovefromaboveDovefromabove Posts: 82,773
    I agree with you @Hostafan1 @Fairygirl and @punkdoc .... I feel I'm lucky to have what little I do have when I see so many younger folk struggling ... many working folk can't afford to buy a home, let alone have the family to put in one  :'(
    “I am not lost, for I know where I am. But however, where I am may be lost.” Winnie the Pooh

  • I guess it is a difficult call. The greater the inflation rate on food etc, the less the poorer end can afford.
  • FireFire Posts: 17,116
    Our nation(s) are in such crippling debt that increase in interest rates has devasting consequences - and not just for those with mortgages.

    Brexiters wanted a restructured labour market and now they have it - a staffing crisis and rapid inflation. Be careful what you wish for. (Yes, there are other causes too).
  • Crippling interest rates are nothing new - 16 % or so in the mid 1980's.  Not much fun for those with mortgages/loans.
    It should also be remembered that expectations have risen quite dramatically over the last 40 or 50 years.  What was considered a reasonable lifestyle in the 1970's would horrify some people today.
    Those who have some savings due to being careful over the years and going without a lot of expense which is considered "normal" these days will no doubt be using that to pay for their needs in old age.  To suggest the UK "baby boomers" are well off on the whole is nonsensical - it's just not that cut and dried.
    Without a doubt there are many people who really are struggling and every effort should be made to help them. Aid in the UK needs to be targetted just as much as aid in other countries.  I remember my OH when working in various parts of Africa was upset by the corruption there regarding International Aid to such an extent that when he came to the UK on leave, we bought clothing and shoes for him to take back and hand out to those who needed them.  The recipients were those who had a job.........heaven help the other poor sods.  
    Sorry - more appropriate to Curmudgeon thread on reflection :)    
  • In the 60s we had to wait until we could afford the material items. These days  too many people rely  on 'buy now & pay later', also borrowing money. Hence all the debt in society, especially  the younger end. It's all about instant gratification, few are those  that have self-discipline.
  • DovefromaboveDovefromabove Posts: 82,773
    I’m sorry but that is poppycock for a large proportion of the hard up and lower paid … the majority of them don’t earn enough to get decent credit … they live hand to mouth …
    “I am not lost, for I know where I am. But however, where I am may be lost.” Winnie the Pooh

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