How are we all coping?

[Sharpend]

So thought I’d ask the collective family how we are all doing through these uncertain and expensive times?
Energy prices - seems ridiculous putting a cap in place as it’s not fixed at all!
Cost of goods is in the ascent
Inflation is out of control and dare I say interest rates will be following to apparently slow the spend- not sure how that works if you only increase interest by 0.5-0.75 percentage points when inflation outstrips that 10-1! But obviously someone knows more than me?

I seem to have less and less time to do anything other than work, fortunately I’m in a reasonably good place work wise but as with any self employed person it could be here today and gone tomorrow so be grateful for today.
Sadly I have a lot going on in the personal aspect of life that’s more an inconvenience then a hindrance, but a pain the the ass regardless.
However being of a working age I still have my health to fight on, but I do wonder how those in different areas of their life manage?
I’d imagine that the retired are hit hard unless there’s a huge pot of money in the kitty.
I also suspect that those employed are feeling the pinch more than ever?
I do wonder where it will end, I’m not sure that modern society is as resilient as the societies of past? So will they bounce back?
I note that many who can are going on strike for better pay -working conditions for the PC. I do wonder how going on strike actually helps in the big picture of the economy?

Anyways, just hope you are all hanging in there and not by a thread.

 

[binky]

Going on strike is more about desperation, austerity has devalued most people's wages by about 20%, Covid has added a 2year pay freeze, and inflation is just taking people over the edge.

As for interest rates, I saw an economic expert on the TV let slip that really just protects financial institutions from bad debt, IE they charge us all more to cover any anticipated losses. Now if there's a sure way to guarantee more people default on their mortgage...

 

[Murdoch]

I seriously can’t see how interest rates going up are going to help slow inflation - because so many people are struggling with their fuel bills - they certainly haven’t got spare money to spend.

but I don’t see much changing of habits around here, the roads are as busy as ever, as are the pubs etc

I don’t think any politician or civil servant has a clue how to deal with this - the silence and lack of ideas is astonishing

I do think that a whole generation or more has no idea how to budget or how to cut back, low interest rates have lulled far too many people into a false sense of security, as has easy credit. Nobody seems to get paper bills anymore, let alone keep in touch with their finances

 

[johnb2713]

It's a complete mess at the minute.

We have the two clowns squabbling who's going to be boss of the circus, one that has little idea but talks the talk, the other that has all of the knowledge but very poor bedside manner and is somewhat arrogant.

The strikers, it's all well and good demanding pay rises to keep up with inflation but that simply fuels inflation, somewhere, somehow the circle needs to be broken. We have just gone through a massive pandemic that financially hit the country and our economy very hard. We have to make good the debts and costs incurred by the country to fight and support us all. That may be by a reduction in living standards / lifestyle for a while.

Energy prices is a direct result of the privatisation that took place in the 70s - 80-s, our infrastructure (comms, water, rail, energy) should be nationalised again. As Binky said, it was like taking your house away from you and then renting it back. The competition that was supposed to happen between the companies never happened, then price caps which now vary makes a mockery of the whole situation. We have calls for freeze energy prices, how is that supposed to work? if we can freeze them we can also drive them down by imposing a lower energy cap, these politicians simply don't think things through, engage brain before putting gob into gear.

Interest rates I fail to see how it helps anyone other than the rich, most people will be adversely affected by interest rate rises, especially amid this cost of living crisis. I fear for many people that are on the poverty line now, were just going to push them under for sure.

 

[Ucatchmydrift]

The government knew it was coming, as did the bank of england. Inflation is just a tax, the biggest of them all, and they count on you and me to work harder and harder and not understanding how the big picture works to put it back into balance. It happens in cycles, and will happen again until one day we wont recover and the economy collapses in the west and the next big powers take over such as china and india in the nearish future. - and the rich will just move their assets there. Bank of england printed £500 billion in the pandemic out of thin air, and another 500 billion since the 2008 crisis, devaluing the pound a huge amount - hence "inflation". The americans printed 4.8 trillion!! Thats why we are in this mess. The system was designed by the rich made to suit the rich and will never change whilst most dont understand it. (i dont understand it fully btw lol, just get the gist).
Im A big fan of bitcoin and cryptocurrency as it was made to combat the way the system works, i just wish more people would learn about it. - sounds like a big conspiracy, but its real life.
One way of beating the system is to use the current crash in markets as the biggest opportunity we may see for decades to invest at low prices with every penny you can afford and hope it all recovers in a few years so you can profit from it.

 

[Murdoch]

Bank of england printed £500 billion in the pandemic out of thin air, and another 500 billion since the 2008 crisis, devaluing the pound a huge amount - hence "inflation". The americans printed 4.8 trillion!! Thats why we are in this mess.

And the ECB and other major currencies around the world - huge time lagged inflation is now on us.

The world can't keep printing money out of thin air with no consequences.

 

[Sharpend]

And the ECB and other major currencies around the world - huge time lagged inflation is now on us.

The world can't keep printing money out of thin air with no consequences.

Of course they can it is worthless anyhow.

 

[binky]

The government knew it was coming, as did the bank of england. Inflation is just a tax, the biggest of them all, and they count on you and me to work harder and harder and not understanding how the big picture works to put it back into balance. It happens in cycles, and will happen again until one day we wont recover and the economy collapses in the west and the next big powers take over such as china and india in the nearish future. - and the rich will just move their assets there. Bank of england printed £500 billion in the pandemic out of thin air, and another 500 billion since the 2008 crisis, devaluing the pound a huge amount - hence "inflation". The americans printed 4.8 trillion!! Thats why we are in this mess. The system was designed by the rich made to suit the rich and will never change whilst most dont understand it. (i dont understand it fully btw lol, just get the gist).
Im A big fan of bitcoin and cryptocurrency as it was made to combat the way the system works, i just wish more people would learn about it. - sounds like a big conspiracy, but its real life.
One way of beating the system is to use the current crash in markets as the biggest opportunity we may see for decades to invest at low prices with every penny you can afford and hope it all recovers in a few years so you can profit from it.

The rich have already invested in China and India, at the expense of western jobs and economy - free market capitalism at it's best! Most galling is our pension funds have also probably invested in the same economies, detroying the chances of our own businesses surviving and the employees jobs that pay into the pension fund. What I dont understand is how China has been allowed to keep it's currency undervalued to gain an unfair advantage? Fact is you can beat China by investing in manufacturing automation, but, those with money havn't been arsed to do so, and our governments have allowed the decimation of the industries that made us world powers in the first place. There was a time when certain industries were considered strategically important, such as steel. Edwina Curry summed up the free market attitude of the Tory party when she said "why bother when you can buy it cheaper from abroad" on a TV interview many years ago. It reminds me of drug dealers giving away heroin to get people addicted, but then they have control of the supply, and the addict...

Bitcoin, I worked out years ago the cost of the leccy to mine a coin was more than it was worth at the time - ho hum! I'm still not convinced by crypto coins, they remind of the dot.com bubble before that burst, and I can't help feeling governments will eventually block them?

Crashed markets, good time to take a punt if you have money you can afford to lose.

 

[binky]

And the ECB and other major currencies around the world - huge time lagged inflation is now on us.

The world can't keep printing money out of thin air with no consequences.

In my opinion inflation has been too low for far too long. It has been artifically used to prop up our ailing economy by encouraging over borrowing, spending on imported consumer products, and rediculous house prices. I am also very much of the opinion that no party has really had a decent economic plan for decades and the above has been used to conceal the truth whilst keeping money flowing for the wealthy, even 'cheap' money attracts interest payments. In my most cynical mood, I would go as far as to say it's been deliberate to keep us all at the grindstone to finance the debts - good for the financial industry, those barstewards we bailed out in 2008. Good also in stopping people arguing with the boss about pay and conditions, coz you can't afford to lose your job if you have big debts.

 

[binky]

That may be by a reduction in living standards / lifestyle for a while.

I suspect for a long time. My eco head says this is quite a good thing as that means less money wasted on consumerist crap, like fashion. Good for the planet if not so good for jobs. I can see a lot of businesses going bust as consumer spending on hospitality collapses, the local McDonalds drive through queue is much shorter these days, as is the local hand car wash. What is good is the growth in upcycing furniture and retro-clothes, reminds me of the frugal way my grandparents lived. perhaps the general public will be forced to re-evaluate what is actually important, Gucci handbags or growing their own food?

 

[Murdoch]

I always think that a picture is better than 1000 words :

 

[Murdoch]

What I dont understand is how China has been allowed to keep it's currency undervalued to gain an unfair advantage?

That's had me perplexed for a few years too.

So as it stands China has an advantage against the whole world, and they have huge cash reserves, which, if their currency floated properly would make ALL their exports more expensive, and would allow other countries across the globe to compete.

Its a bit like Germany - if they had kept the DM, their reserves would have made their exports much more expensive - so the Germans who keep all their money, don't share it properly with other Euro countries.

Most odd to say the least

 

[binky]

That's had me perplexed for a few years too.

So as it stands China has an advantage against the whole world, and they have huge cash reserves, which, if their currency floated properly would make ALL their exports more expensive, and would allow other countries across the globe to compete.

Its a bit like Germany - if they had kept the DM, their reserves would have made their exports much more expensive - so the Germans who keep all their money, don't share it properly with other Euro countries.

Most odd to say the least

I suspect it suits the stock markets who don't give a toss who makes money for them whilst they sit on their yachts in Monaco

 

[apprentice87]

Yes, but it is all ********.. Apparently the power companies have all been making RECORD profits.. Funny how EDF have only raised power prices a little bit in france, but hugely here.. It is all just profiteering and the only way to put a stop to it is to FORCE the government to do so. The only way you will achieve anything is a general strike. This will make the tories [for it is them that have done/caused all this] to take notice. The people sticking together is the only thing they understand.. Why do you think they have done so much to try to break the unions??

For them that would knock the unions, just read this.. [It was not written by me by the way]

To all those bitching about the unions, especially the PAYE people so that's MOST of us, if it wasn't for the unions you wouldn't have paid annual leave, sick pay, maternity pay, health and safety at work, you wouldn't have the right for protection from arbitrary sacking, the right for redundancy payments, you know those things you take for granted but which were fought for and won by the Unions over the last 60 years, the very unions you now ***** about. The Tories are trying to finish what they started in the 80s, so ***** on if you'r happy for the tories to slowly destroy these rights and return us to age of the Mill Owner where you could be sacked without reason, no sick pay, no paid leave in fact no leave at all, 7 day week, basically work or die, in fact most people did both. Your excuses that so and so has better pensions and T&C's than me, and so on and so forth, they are just that, excuses, not happy with your job conditions?? then JOIN A UNION AND FIGHT TO GET THOSE THINGS FOR YOURSELF

Remember...when you stand alone you beg......when you stand together you bargain

Now, before anyone pops up and says that you are all self employed so do not have any of them things, your customers do, and if your customers are reduced to poverty, then so will you too.. Think about it..

john..

 

[Murdoch]

^^ France may have capped rises to 4% but how much in the way of "bungs" are the French Government extending to EDF?

Its all smoke and mirrors in France

 

[johnb2713]

Yes, but it is all ********.. Apparently the power companies have all been making RECORD profits.. Funny how EDF have only raised power prices a little bit in france, but hugely here.. It is all just profiteering and the only way to put a stop to it is to FORCE the government to do so. The only way you will achieve anything is a general strike. This will make the tories [for it is them that have done/caused all this] to take notice. The people sticking together is the only thing they understand.. Why do you think they have done so much to try to break the unions??

For them that would knock the unions, just read this.. [It was not written by me by the way]

To all those bitching about the unions, especially the PAYE people so that's MOST of us, if it wasn't for the unions you wouldn't have paid annual leave, sick pay, maternity pay, health and safety at work, you wouldn't have the right for protection from arbitrary sacking, the right for redundancy payments, you know those things you take for granted but which were fought for and won by the Unions over the last 60 years, the very unions you now ***** about. The Tories are trying to finish what they started in the 80s, so ***** on if you'r happy for the tories to slowly destroy these rights and return us to age of the Mill Owner where you could be sacked without reason, no sick pay, no paid leave in fact no leave at all, 7 day week, basically work or die, in fact most people did both. Your excuses that so and so has better pensions and T&C's than me, and so on and so forth, they are just that, excuses, not happy with your job conditions?? then JOIN A UNION AND FIGHT TO GET THOSE THINGS FOR YOURSELF

Remember...when you stand alone you beg......when you stand together you bargain

Now, before anyone pops up and says that you are all self employed so do not have any of them things, your customers do, and if your customers are reduced to poverty, then so will you too.. Think about it..

john..

How would you feel as a small employer if your staff were telling you what their payrate would be? I have experience from both sides of the fence here, employer and employee. Sometimes (not always), employees don't know what the big picture is, they only see the surface not what's below. It seems wrong to me that employees can hold companies and indeed country's to ransom, the tail wagging the dog.

 

[Murdoch]

I do think that low earners on tax credits need to review their benefits

as it stands they are “penalised” for doing overtime or getting a better paid job unless it takes them completely clear of said benefits

its a catch 22 - something needs to change

 

[Kama]

It's a complete mess at the minute.

We have the two clowns squabbling who's going to be boss of the circus, one that has little idea but talks the talk, the other that has all of the knowledge but very poor bedside manner and is somewhat arrogant.

The strikers, it's all well and good demanding pay rises to keep up with inflation but that simply fuels inflation, somewhere, somehow the circle needs to be broken. We have just gone through a massive pandemic that financially hit the country and our economy very hard. We have to make good the debts and costs incurred by the country to fight and support us all. That may be by a reduction in living standards / lifestyle for a while.

Energy prices is a direct result of the privatisation that took place in the 70s - 80-s, our infrastructure (comms, water, rail, energy) should be nationalised again. As Binky said, it was like taking your house away from you and then renting it back. The competition that was supposed to happen between the companies never happened, then price caps which now vary makes a mockery of the whole situation. We have calls for freeze energy prices, how is that supposed to work? if we can freeze them we can also drive them down by imposing a lower energy cap, these politicians simply don't think things through, engage brain before putting gob into gear.

Interest rates I fail to see how it helps anyone other than the rich, most people will be adversely affected by interest rate rises, especially amid this cost of living crisis. I fear for many people that are on the poverty line now, were just going to push them under for sure.

I do agree, my first mortgage hit 17%, with a 20% min deposit, Over a period of many years we have become used to the better life, having more luxury goods, holidays, cars etc etc, it looks like it has caught up with us, and its time to pay for it all.
I do feel sorry for all of those people that have stretched themselves to the limit to give a better future for their families.

 

[Ucatchmydrift]

Incase there are people on this forum that are finding it difficult financially, there are ways to make money on the side, tax free, legally... If your ok using a pc/tablet/phone etc. You wont get rich from it, but it helps quite a bit.. I do as much online money making as i can (i have a full time job also). Such as: refer a friend deals - try such and such company and they offer you some free cash (look up beermoneyuk on reddit). There are plenty of bank switching offers atm (such as santander which i just switched too, free £175 for literally 10 mins work, plenty of them..) Go from one to the other, then do them all again in a couple of years...
But the main money earner is matched betting.. Look up oddsmonkey, its all 100% legit and tax free as its classed as winnings.. It doesnt last forever as youll get stake restricted from all the bookies eventually,, but to give you an idea, ive been doing it for 2.5 years now and have made just over £13,000.. Hopefully it may help someone out a bit on here... Messege me for any questions...

 

[Mike.J]

Not generally known, but France has a maximum of a thirty hours week, overtime is not allowed therefore the employers have to hire more, it is almost impossible to get rid of employees, the only sackable offence is attacking your employer, but even then it goes to tribunal to see if it was a provoked attack, this artificially manipulates the employment figures in France and paints a much rosier picture than the real statistics, do I dare mention it's a Socialist country.

I admit that the unions did a good job when the workhouse's where prevalent and those with money took advantage of the poor with bad work conditions and no Health and Safety to speak of, but those days are long behind us, and it seems the unions now are just trying to run the country into bankruptcy, by demanding higher pay for their members during this time of massive inflation does only one thing, it fuels the inflation that we are trying to control.