Jump to content
House Price Crash Forum

Recommended Posts

Inflation to climb month on month now the £ is falling. Another excuse not to raise interest rates will disappear (and be forgotten about by TPTB)

Warning signs when both Morrisons and Tesco could manage a good Christmas. The British consumer free from the shackles of Arabian and Russian despots is spending the difference on stuff. Think most stores are having a laugh this year when it comes to their sales, there aren't any.

Share this post


Link to post
Share on other sites

The Great Deflation, 2015.

RIP.

#turningjapaneseisbollocks

Edited by R K

Share this post


Link to post
Share on other sites

The Great Deflation, 2015.

RIP.

#turningjapaneseisbollocks

You're barking mad.

Ben Brettell, of Hargreaves Lansdown, said: “This continues the trend of inflation being at or very close to zero and places little pressure on the Bank of England to lift interest rates.”

UK inflation hits an 11-month high...of 0.2%y/y.
— RBS Economics (@RBS_Economics)

Share this post


Link to post
Share on other sites

Quite a feat to actually get an increase in the official inflation rate despite energy prices falling through the floor.

Well done Government/BoE - you've managed to increase the cost of living for people when it should be falling. Makes you wonder what's going to happen when oil bottoms and starts to rise again, as it inevitably will. With all the geopolitical instability in the ME that could be sooner rather than later.

Share this post


Link to post
Share on other sites

From the radio - all down to transports apparently. During a period of rapidly falling oil prices. Unless there was a massive squeeze on haulage/deliver costs can't see it.

Share this post


Link to post
Share on other sites

Quite a feat to actually get an increase in the official inflation rate despite energy prices falling through the floor.

Well done Government/BoE - you've managed to increase the cost of living for people when it should be falling. Makes you wonder what's going to happen when oil bottoms and starts to rise again, as it inevitably will. With all the geopolitical instability in the ME that could be sooner rather than later.

I think it may have something to do with the disappearance from the index of the oil price reduction about a year ago. Once a price fall disappears out of the index it will most likely go up. Services are still going up at a fair rate and an increase in the CPI as a whole has always been on the cards at this time.

Share this post


Link to post
Share on other sites

....keeps pension payments/wages down.....keeps saving rates low.

I find it hard to work out how they come to the figures they do, but I find it quite easy to see why they do. ;)

Edited by winkie

Share this post


Link to post
Share on other sites

RPI includes housing costs ie mortgage costs not purchase prices, interest rates and therefore mortgage rates are low.

....but if you have to borrow three times as much to get the same.....the mortgage cost will be three times as costly.....interest rate x 3......three times as much debt. ;)

Edit to say that is why they rarely use the RPI now, as if housing costs and debt form a small part of many peoples monthly expenditure.....

Edited by winkie

Share this post


Link to post
Share on other sites

My personal feeling is inflation is around 4 or 5%, if the pound weakens further and the oil price shoots up, thinks could get interesting (though no doubt interest rates will stay at 0.25%)

Edited by reddog

Share this post


Link to post
Share on other sites

My personal feeling is inflation is around 4 or 5%, if the pound weakens further and the oil price shoots up, thinks could get interesting (though no doubt interest rates will stay at 0.25%)

Inflation is a personal thing. For us, we are probably in deflation, we are mortgage free. Though because we will eventually buy a more expensive house, the increasing hpi is probably deferred inflation.

Biggies for us are...

Council tax (about +1%)

Food (0%)

Eating out (+5%)

Heating (about -20%)

Car fuel (about -20%)

Share this post


Link to post
Share on other sites

Inflation is a personal thing. For us, we are probably in deflation, we are mortgage free. Though because we will eventually buy a more expensive house, the increasing hpi is probably deferred inflation.

Biggies for us are...

Council tax (about +1%)

Food (0%)

Eating out (+5%)

Heating (about -20%)

Car fuel (about -20%)

Older debt free with falling oil prices don't do inflation.......in future unless they stay healthy, health will be their biggest inflationary expense. ;)

Share this post


Link to post
Share on other sites
3 hours ago, Little Frank said:

Zugzwang, not so much

Oh, I don't know. I've been waiting to buy for thirteen years. I think that qualifies as barking mad.

Great to see you back btw, and apologies for the banter.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Recently Browsing   0 members

    No registered users viewing this page.

  • Next General Election   90 members have voted

    1. 1. When do you predict the next general election will be held?


      • 2019
      • 2020
      • 2021
      • 2022

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.