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  1. 9 hours ago, Insane said:

    I do agree .

    The problem is the way MP's end up in the commons is not via ability or skill in so many cases. No I would want an un-skilled pilot flying a plane , however have you seen some of these people especially the younger ones. They got there by being put up for election in their party's safe seats for reasons only those in the party know and therefore then ended up in the commons. Skill, Ability and Experience have nothing to do with it. 

    I do agree that in the scheme of things the pay is low compared to high powered jobs outside but if we upped the pay to lets say £500,000 a year would we end up with any better or just the same shower. Could we then bring in a test to show a level of competence ? 

    There are also many MP's who are already very wealthy making it power , fame and ego that attract them to this position , it is unique in this manner. There is then the ongoing openings that occur during and after office it is very little to do with the actual pay for the role. Maybe that is why Politics is in the Gutter right now. 

    Tail wagging dog my friend. 

    Offer £500K a year and watch finance, legal and operational heads of business throw their hat in the ring. 

  2. 1 hour ago, Frugal Git said:

    Well, it is within the ‘mug’ range I defined the other day (no point earning less than 85k, might as well be on UC because of taper rate blah blah blah). 

    But I’d take it because of the expenses, the pension, the house flipping ops, the long term gravy train and most importantly - if you’ve ever had the opportunity of visiting the commons canteen, you’ll know it’s a ridiculous subsidised gastro treat. You can get a wonderful freshly cooked steak sandwich for around 70p. 

    All of those expenses and side hustles detract from the main issue - they are not paid enough for that role. Thatcher blocked MP pay rises as the optics weren't good but the unspoken understanding was that you could effectively top up with expenses to cover that off. Got a bit out of hand but that's really the consequence of not paying them properly. 

  3. I'm sorry but I actually really strongly disagree here. The people on the leadership team of my firm all earn far more than that and they're only looking after a subsidiary of US owned tech firm. 

    If you want genuinely good, intelligent people running the country you need to attract them with a decent package. 

    I earn more than that FFS! I also think I'd make a better employee so anecdotally I'm right.

    I'm sure nobody would want to fly in a plane where the pilot earned minimum wage so why would you want your country governed by people paid (for that level of decision making) a very low salary indeed. 

    I guess we could take the other view and say that until they have solved all the country's problems they shouldn't get a penny...... obviously nonsensical. 

  4. 4 hours ago, tep1 said:

    Bp and CNA. Bp pay to hold ~5% currently but I am expecting a 3Q surprise.  No divi with cna but with sector consolidation and now debt free I expect this will change now very shortly. 

    Have started buying a green energy now also. Have a look at EQT. They are early lifecycle so not for the faint hearted.


    Watching BP. If divs return to historic trends it's yielding very well indeed. Nice little income purchase.

  5. 3 hours ago, moonriver said:

    Sounds like you are well prepared with winter supplies.

    and this is the onesie I am going for...looks nice and cosy...



    Oh yes. Some of my friends think I'm a little eccentric when they see me get up from my multiple screen in my office, chuck on old clothes and get chainsawing and splitting piles (literally) of logs. I enjoy the workout and trying to refine my splitting technique and of course stacking the logs to maximise airflow and minimise drying time and moisture content. 

    Onsie looks toastie! I might get a blue one :D 

  6. 3 minutes ago, moonriver said:

    Looks like being with Octopus will save you a fortune now.

    Didn't they take over one of the failed companies recently?

    I just heard EOn have taken over Igloo energy who I was with and we have been put on a variable tariff, but guaranteed until March 2022. They haven't said what that rate is though. Dread to think!

    Wonder when these huge fuel price increases feed through, if there may be some people regretting buying those over large, "hard to keep warm" houses?

    I am off to look to buy a new warm fluff onesie. 😄

    Same as you. 

    I have a tonne of coal bunkered though for a multifuel stove plus a lot of firewood :) 

    I like the sound of a onesie. 

  7. 4 hours ago, winkie said:

    If.....hope they do.......some might, are you banking on that......but realistically how would a £10k increase in pay make a difference?.......like £10k saved for a deposit would make......wage increases will not have that much impact imo, people have been extending the term or the debt into the future, kicking it down the road....;)

    If salary increases £10K I can borrow around £50K more. That's the key determinate for how much people can borrow. Wage inflation follows to house price inflation. 

    Genuinely cannot believe what I've been offered. I'm just under 40 so term is becoming an issue in that I have to start shortening it with each remortgage. I was offered 4.75X without even asking!

  8. 6 hours ago, winkie said:

    Could be more the quality of the debt no longer the quantity ........ Lenders make their money from the interest they charge, they might now have to start asking for more...... inflation brings inflation of many things, inflation of wages, goods, services, labour and price of debt........surely thinking about it we have had years of new liquidity created from cheap abundance of debt pushing up the cost of assets.......now are not the government saying they want to push up the cost of work, see that wages increase after years of a drop in real wages and a massive increase in inflation of homes......are the tables turning? Is not just the talk of interest rates rising a sign to fix, like recently fixing household fuel costs...... protect yourself?;)

    Do they? I thought these were bundled up and sold off in the securities market. Lender makes the loan and sells the revenue stream. 

    If we get wage inflation what will that do to house prices?

  9. 48 minutes ago, hurlerontheditch said:

    assume you have  a slush fund if you lose your job

    With the additional cash coming out I can pay the mortgage for 5 years if I stopped working tomorrow. 

    I'd also be up for a decent chunk of severance - we pay a month for every year. I've been there 6 years and just broken teh six figure barrier. £30K ex-gratia tax free too.

    Furthermore, a chartered accountant is rarely idle but I do take your point. I try to mitigate risk as much as possible while allowing myself some exposure to reward. There's always risk there. 

  10. 1 hour ago, winkie said:

    Less cheap money about, term funding coming to an end at end of month?......savers money becoming more valuable meaning will have to pay more for it?;)

    This seems like the same wishful thinking that stopped me from buying a house for the better part of a decade.

    I've just remortaged. My interest rate is 0.99%. I took out an extra £30k to do stuff to the house. My monthly repayments are £200/month lower!

    The best bit...... the mortgage broker cam back and told me I could have a further £30K and that is without my bonus being taken into consideration. 

    I look at this like I could have outbid myself by £60K when I bought the ex out two years ago.

    With that in mind how is there any less money about?

    I do accept that inequality has increased during the pandemic but all I see around me is houses selling fast and plenty of skips, scaffolding and works going on.

  11. 11 minutes ago, Horseradish said:

    If you shove it into an excel spreadsheet you can see that there are a lot of lower prices, desppite the higher interest, that actually lead to paying back much less than if you buy at a higher price but with lower interest. But it's a curve and it's affected by both factors, so not a simple true/false thing. All completely depends on the combination of the drop and the rates level. Though I would say that there will be a period where loans are hard to get, and then lenders will eventally start lending again, at which point people will be able to buy in (get in fast, heh).

    As an academic exercise yes, but 1% increase on a £250K mortgage is an extra £200/month for initial period. 

    But my point is, as you say, get in as soon as you're able.

  12. 9 minutes ago, henry the king said:

    Almost certain.

    The plan is already out there. Just like 2010-2012 we are going to inflate our way out of this thing.

    So anyone with cash you need to get in assets. Either property, shares, bonds, commodities, all of the above. 

    Just get out of cash asap

    I'm trying my best to short cash. Extending the mortgage and using that cash for investments. Let the cost of those investment get eroded and realise the capital gains down the road to clear what remains of that debt. 

    below 1% is just insane!

    • Felt the same way. Graduated with an economics degree in 2007 and just knew Labour had blown the bubble so hard it was bound to unwind, plus I had a part time industry related job at that time too. Then the crash happened and I just sat there waiting. I'd been good money wise - I had £15K saved up (mostly my student loan that I'd put in an ISA, lived at home to save money and worked part time) and I just held off telling everyone else to do the same. 

    My friends and ex GF that bought in 2009 hit the jackpot. I say jackpot because nobody knows really do they? They aren't financial geniuses or anything but just had enough money at the right time and a good enough salary to get a mortgage. I eventually bought somewhere 8 years later in the wake of the Brexit vote. I feel I lucked out in way. Although I'd been hold back and waiting for the result as I suspected the silent and vilified majority might clinch it and then what for the housing market. In 2016 is was roaring along but I managed to buy a bit of a wreck for what I feel was a great price. I couldn't afford to have bought it the year before and I would have to take on a much bigger mortgage now that I wouldn't bother. 

    QE was a game changer. I'd never thought that would happen in my wildest dream.... cos inflation innit. Guess what though? It's not even been unwound 12 years later. Covid added to it. 

    Maybe it'll revert:

    • When the last bear capitulates
    • When 'they' have to raise interest rates
    • When the sun rises in the West

    In the entire time I've been on this site there's been a narrow 12 month window that represented a 'reasonable' time to enter (in the South East) but only in hindsight. Never been a cheap time since I've been an adult. 

    Now I'm sitting here and the house I bought is 'worth' about £100K more than I paid four years ago. Money is even cheaper - so much so that I can take tens of thousands out of the house and still pay a couple of hundred less per month!

    When there is another dip (and there will be) the risk is you miss out again because nobody is lending, or at such a punitive rate it just isn't worth it. 


  13. 10 minutes ago, markyh said:

    The vast majority of new 2019-2021 EV's are in the SUV , Compact SUV formats. We will swap a Hatchback for a Telsa Model Y when available to buy, that's an SUV.  Is is the body shape, lifestyle statement, or piss poor ICE economy you dislike? 


    None of the above.

    I dislike the size, taking up more of the road by people who seem to be generally less space aware than your regular driver. The poor visibility afforded to all other road users, the inherent inefficiency of driving something that shape, size and weight when there's simply no need. 

    I read somewhere that the X5 costs 24 tonnes of CO2 to manufacture. Ridiculous. That's before it's been driven to school and back for 5 years choking up the town!

  14. 9 hours ago, yelims said:

    You do realise you would not be in this mess if there was more gas and electricity interconnection?


    but hey blame those who warned that burning bridges is a dumb ass idea 

    Playing devil's advocate here but you do also realise we wouldn't be in this mess if we didn't have the interconnectors in the first place since a fire in the come-ashore transformer wouldn't have been able to drop us 2GW of imports..... just saying. 

    That said I'm all for it - pricey fossils makes renewables look cheap and certainly better to tax them out of existence and raise revenues than subsidise an industry that wont learn to stand on it's own two feet. I'm really looking forward to more expensive petrol. Maybe £3 a litre to keep the chav-scum and their dumb AF loud and pointless crap off the roads and ideally also to penalise all the SUV drivers.

    In the meantime I've ordered a tonne of coal for my stove. 350 quid! It'll easily last a winter. 

  15. 1 hour ago, wighty said:

    Re holiday home, I'm just waiting for the autumn statement. Even if it drops then I'll just wait on, at worst Pas it down to the kids.

    'Free' holidays on all spare weekends plus a couple of weeks during peak. Renting it should ensure it washes its face and you'll get capital appreciation over the long run (really currency devalued). My issue is the ball ache of looking after a place miles away and also not sure I would like to be in the same place year after year. But if I ever get rich enough to warrant a pilots licence and a share in an aircraft then maybe Padstow or surrounds as can fly from local airport here down to Newquay. 

  16. 2 hours ago, PropertyMania said:

    Think the house price boom was in the early seventies and once inflation kicked in prices fell. 

    If you think that's going to happen, you're better off holding an unleveraged asset like gold. Although be careful as gold isn;t especially cheap by historical standards

    It seems like that's not what happened from the charts I've seen. Inflation, wage growth and house prices all remained very positive throughout the 70s. 

    I don't like gold - imho it's a nonsense as bitcoin as an asset. I'd rather hold a useful metal (like really useful and actually rare). Each to their own. 

  17. 1 hour ago, Locke said:

    Right. We all understand that inflation eats away at the NPV of the debt.

    What you seem to be missing here is that there is no guarantee that the price of money (interest) will remain low, nor is there any guarantee you will be able to keep your job.

    Just like higher prices make the prices more vulnerable to falls, lower interest rates exacerbate the impact of any rise.

    So if your gamble pays off, well good for you. I would say that going by the current situation vs historic norms, that is increasingly unlikely.

    Not missing that at all and in fact it is something I flag as a risk. I merely pointing out that this access to cash isn't restricted to boring old me but to millions of other across the country. 

    Maybe it seems like a gamble? But how so? The fix is five years, the cost is below 1% (insane!). I could literally take that cash and whack it in a structured product with a guaranteed return. The biggest risk for me is deflation rather than rising rates. 

    another way of looking at it is the MEW added to my existing savings would pay the mortgage for five years so worst case scenario I have somewhere to live for that period......

  18. 4 hours ago, winkie said:

    Got to look at where the money is coming from to buy.......extra debt or consolidation of property ie; selling flats and leasehold to buy a freehold.......we are seeing certain property falling and other types of property rising depending where it is located and what the supply of the more desirable property is in that location......also because of the expense of moving up the ladder is important to choose a property will be living in for longer carefully, mistakes can be costly.;)

    Agree. Money is super cheap.

    I'm re-mortgaging right now and the rates are such that I can add £30K (MEW if you like - but need it for home improvements not holidays, cars and phosphorous teeth) and fix for five instead of two years and my repayments FALL by £200/month.

    I don't plan on ever doing this but with the extra cash plus my savings I could easily incorporate a holiday let company, get a loan and buy a little cottage by the sea and I'd wager I'm not the only fella in this position. I'm a one man band too - my partner and I are not in a financial partnership... if we were we probably would be looking at a holiday home after finishing this place. 

  19. 9 hours ago, TheCountOfNowhere said:

    Wage inflation, price inflation makes it harder to service debt. 

    In the 70s we didn't have a detachment between prices and wages and prices rise in line with wages. 


    Housing bubbles only started when Thatcher unleashed the bankers 

    I agree in that scenario and I agree in 1970s we didn't have detachment. but it also seems the detachment is relatively recent:


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