Lord Mandelson Got A Roasting On Radio 5 From The Female Interviewer

[EndToBoomandBust]

I'm seeing things on other blogs saying that this is the same money that was announced in September last year. No new money.

Apparently the only new thing is a think tank.

Anyone know if this is true?

[tinker]

Don't you think though that there is a fundamental difference when it comes to the British and buying houses, we accept we will lose money on a car/tv/fridge but a house is an investment, we view a house purchase as more than just buying a product, it is about getting on a train that is moving on an upward direction.

If people get a sniff that prices will fall then they are likely to hold off, after all prices are falling quicker than the average wage, you can't beat that if you want value value for money and can wait

When I bought my house (took out a mortgage), it was home, never really thought of it as an investment... never worried at how much it was worth, but that's me. I think the house as an investment thing is something that has been hammered by the media, the VIs and the spivs over recent years. We need to reverse that mentality - we'll be wealthier and saner for it.

Lower house prices are a good thing, and need to happen; the market needs to find a new, more realistic and sustainable level - without all the interference trying to prop thing up.

Distorted by cheap credit, hype and incompetent, self-serving government, inflated house prices are such a mis-allocation of resources, and hard work.

Eventually, we'll get back to 'reasonable' and 'fair' and the market will move again - hopefully, properly regulated.

Edited January 28, 2009 by tinker

[casper_uk]

Maybe they will go for the Japanese option with older cars being banned from the road unless it's a classic? It's one way to get people buying cars or giving up driving completely, got to think about the climate after all!

[uptherebels]

When I bought my house (took out a mortgage), it was home, never really thought of it as an investment... never worried at how much it was worth, but that's me. I think the house as an investment thing is something that has been hammered by the media, the VIs and the spivs over recent years. We need to reverse that mentality - we'll be wealthier and saner for it.

Lower house prices are a good thing, and need to happen; the market needs to find a new, more realistic and sustainable level - without all the interference trying to prop thing up.

Distorted by cheap credit, hype and incompetent, self-serving government, inflated house prices are such a mis-allocation of resources, and hard work.

Eventually, we'll get back to 'reasonable' and 'fair' and the market will move again - hopefully, properly regulated.

Spot on +1

[robo1968]

When I bought my house (took out a mortgage), it was home, never really thought of it as an investment... never worried at how much it was worth, but that's me. I think the house as an investment thing is something that has been hammered by the media, the VIs and the spivs over recent years. We need to reverse that mentality - we'll be wealthier and saner for it.

Lower house prices are a good thing, and need to happen; the market needs to find a new, more realistic and sustainable level - without all the interference trying to prop thing up.

Distorted by cheap credit, hype and incompetent, self-serving government, inflated house prices are such a mis-allocation of resources, and hard work.

Eventually, we'll get back to 'reasonable' and 'fair' and the market will move again - hopefully, properly regulated.

I think a lot of people have thought that if they don't buy a property they would miss out as prices rose, simlar to 1990 and other events where greed and miselling have taken hold.

I agree about low prices and I hope that we get somewhere near a mean level of say 1.5 times 1997 level but...and it is a big but.....how many people will be in negative equity if that arose and how would that affect spending.....terribly I reckon.

It is difficult to see how the economy will cope with that size of correction

[Converted Lurker]

I'm seeing things on other blogs saying that this is the same money that was announced in September last year. No new money.

Apparently the only new thing is a think tank.

Anyone know if this is true?

could be, Ken Clarke was suggesting the govt is now "out of money", given he's part of various international steering committees he'll know, QE is deffo on the way.

Edited January 28, 2009 by Converted Lurker

[The Generation Game]

With an estimated 20M cars say idly by - when will they need to build some more? about 2090?

(Ok way ott estimate of uk cars unsold)

If they keep building all these cars where are they going to put them all???

Probably just an excuse to get the go-ahead for a third runway at Heathrow.

[Converted Lurker]

If they keep building all these cars where are they going to put them all???

Probably just an excuse to get the go-ahead for a third runway at Heathrow.

The logic is baffling isn't it? As someone posted up thread the maunfacturers need to do a Henry Ford; reduce by 50% and sell at a loss, that's the only way they'll excrete the old models and truly be able to start afresh. But similar to the bank bail outs ;give 'em more cash they sit on it and don't lend, give the manufacturers cash they burn it and sit on old unwanted stock. This emotional drivel regarding manufacture, especially cars, needs to stop and quickly.

[shindigger]

Well I am still waiting for a bailout for my theme park game on my PC. I am losing money hand over fist, and all the customers are unhappy. The employees keep asking for more money too. It's getting so bad now, that I am scared to turn it on.

This wouldnt happen to be Dorset Lapland World for the X Box would it??

[Son of Fred]

The logic is baffling isn't it? As someone posted up thread the maunfacturers need to do a Henry Ford; reduce by 50% and sell at a loss, that's the only way they'll excrete the old models and truly be able to start afresh. But similar to the bank bail outs ;give 'em more cash they sit on it and don't lend, give the manufacturers cash they burn it and sit on old unwanted stock. This emotional drivel regarding manufacture, especially cars, needs to stop and quickly.

Of course the thing about Henry Ford was that in the 20's, he did'nt have to worry about building a board room concensus.

If he wanted to do something - like sell his vehicles at a loss - he just did it. No one was going to fire him if he got it wrong!

After nearly 25 years working on the factory floor of the empire he built, I have come to admire him, despite his affection for Adolf.

Ruthless, innovative,brilliant.

Everything his heirs are not.

[lulu]

beat me to it!

I like the way that the prog on the 1929 crash on bbc2 on saturday stated in an indirect way it caused WW2 (Germany were desperate for hope and along came Adolf) a rise from 2% in 1928 to a majority stake in 1933 isn't bad. OK so he popped a few people off to get there but I wonder how much he spent on his campaigns?

As ever the Daily Mash have already done an appropriate article from a couple of months ago.

http://www.thedailymash.co.uk/news/interna...s-200811141396/

[papag]

What we need is a new way of thinking in the UK PLC like privatise all the gains and nationalise all the losses

Oh sorry Fat Gordon already doing that

[Mr Prudence]

A disturbing aspect of this bailout is the constant reference to "when things turn around".

I am afraid, they just don't get it. Many cars have been sold in the past decade on rising house prices, a tide of money from the creditor nations and loose credit from banks.

That is not going to come back within our lifetimes.

The worldwide car industry has to re-size itself to about a half of what it is now.

[Leonard Hatred]

Surely the car industry has been stuffing itself with cash over the last few years: new models everywhere, flying out of the showrooms.

Where has all this money gone?

[interestrateripoff]

In the First depression Henry Ford slashed the cost of a Model T by 50% and sold them at a $20 loss per vehicle.

Did he make the money back on spares?

Was Ford also in profit at the time?

Edited January 28, 2009 by interestrateripoff

[EUBanana]

I have previously wondered: at what point did people start referring to the 'Great War' as 'World War One'?

Before 1939, the European war of 1914–1918 was usually called either the World War or the Great War. Only after the start of hostilities in 1939 did the World War become commonly known as the First World War (or, initially, 'The First Great War'). This is easily observed today when visiting the numerous First World War monuments and memorials to be found throughout the world. Such memorials, most of which were constructed in the 1920s plainly refer to the World War or Great War. Occasionally, a contemporary marker will indicate 1919 as the year the war ended (e.g., The World War, 1914–1919) which refers to the date of the Treaty of Versailles as the official end of the war rather than the Armistice in 1918 which in effect ended the actual hostilities.

The specific term First World War was actually coined during the war. German biologist and philosopher Ernst Haeckel wrote this shortly after the start of the war:

“ There is no doubt that the course and character of the feared "European War"...will become the first world war in the full sense of the word.

Indianapolis Star September 20, 1914[2]

”

This is the first known instance of the term First World War, which previously had been dated to 1931 for the earliest usage. The term was used again near the end of the war. English journalist Charles A. Repington wrote:

“ [Diary entry, September 10, 1918]: We discussed the right name of the war. I said the we called it now The War, but that this could not last. The Napoleonic War was The Great War. To call it The German War was too much flattery for the Boche. I suggested The World War as a shade better title, and finally we mutually agreed to call it The First World War in order to prevent the millennium folk from forgetting that the history of the world was the history of war.

The First World War, 1914-1918 (1920)[3]

[hourkid]

No fan of mandy, but I heard the interview and she was talking $h1t. She wanted them to give credit to people to buy cars and he rightly said they didn't want to give directionless help.

Typical radio 5 popularist garbage from her.

Victoria Derbyshire? She can be really annoying: in particular when she gets challenged by her guests or callers about her 'impartiality' or lack thereof.

[durhamborn]

he tried verbals along the line of the loans will be granted if they look to introduce new green polices, she actually got quite heated with him asking what was going to happen to all the cars parked up at Southampton docks etc?. WTF is the UK doing bailing out US/Indian/Japanese manufacturers simply to temporarily save jobs? Here's a plan, in order to get their market moving sell the cars at cost, that's all Mandy has to advise them on surely?

The problem CL is cost isnt much less than the price.The margins in cars\trucks etc is only around 5% to 8 %.Car\commercial vehicle plants rely heavily on operational leverage.The plants are hugely expensive to run,and to make a profit or indeed break even you need to be running the plants at around 90% capacity.

The VAT on a new car is probably 50% more than the profit.

They could of launched a scheme where the government paid you £2k for any car over 10 years old if used against a new car purchase.

This would simply of done away with the VAT on the new car,so if it encouraged new car buying cost the government zero.

The rise in NI to pay for the VAT cut will also hit car\commercial manufacturers hard as wages make up a large part of costs at car plants,and especially engine plants are very labour intensive.

One slight positive Nissan has seen demand growth over the last 2 weeks in Eastern Europe,especially Russia meaning capacity is being filled on shift 2.Doesnt save shift 3 or the 1200 job losses anounced.

Another constraint is exporting the cars.Instead of wasting 12 billion on 10p off a chinese takeaway that money would of been far better spend upgrading port facilities.

UK industrial policy has been a disaster from this government.

[Wad]

3rd September, 1939?

I never forget that date. I was born exactly 24 years later - which is when the 20th Century really got going along with the very birth of the current credit crunch. I blame my parents.

[DeepLurker]

In the First depression Henry Ford slashed the cost of a Model T by 50% and sold them at a $20 loss per vehicle.

Another titbit from the history books: after WW2, this country was practically bankrupt and the factories were manufacturing stuff that was no longer needed (ring any bells?).

The government then told manufacturers "export or die", in order to bring in much-needed foreign cash. For example car manufacturers who exported most of their production got priority access to scarce steel resources.

Whereas today, the priority seems to be to line the pockets of foreign shareholders :angry:

[leafygardens]

I heard that in france a (goverment?) allowance of £2500 is made to exchange old cars for fuel efficient new cars.

No sure about the details.

[durhamborn]

I heard that in france a (goverment?) allowance of £2500 is made to exchange old cars for fuel efficient new cars.

No sure about the details.

I think Germany are doing the same thing.Too sensible for Brown im afraid,he prefers complex schemes that cost billions but gain zero apart from civil servants to run them.

[dredwerker]

I think Germany are doing the same thing.Too sensible for Brown im afraid,he prefers complex schemes that cost billions but gain zero apart from civil servants to run them.

Yeah I saw that - £2k for scrapping older cars. I would definitely buy a diesel if i had a job so they need to work on the other front as well.

[jp1]

Would that be a footballer/News Of The World style of "roasting" ?

Poor Lord Mandelson of Boi!