Savers you've never had it so good?

[Deleted User]

a ridiculous concept, there is no `one size fits all`

some will be better off, many will be worse off

harryhound

gozomark wrote: »

seeing as you ask so nicely, I'm in my 40's and retired, living off savings

Hi gozomark,

You are not a foreign "rentier" by any chance?

I am finding it difficult to picture you as someone, early retired, looking with such equanimity, half way through your life, at a situation where your currency has been devalued by 30%, you home is probably down 20% (already) and your business investments are down 30% and you still have half your life to live.
(even if you are an early retired banker;), like "Sir Fred"):eek:

On the other hand, if you were clever enough to be resident in a tax haven, and invested much of your boom wealth in something that has not suffered such depredations, (gold bars?) then you should be well placed to buy sensible real assets at fire sale prices from the rest of us fools..

Good luck.

Harry

http://en.wikipedia.org/wiki/Rentier_capitalism

PS I forgot ..........and your government is spending/borrowing billions against your taxes and "giving" it to those who gambled and lost, in a final throw to try and maintain "business as usual" - because "in the long run we are all dead".

Arthurian

Originally Posted by MiserlyMartin
I am sorry but I don't buy this deflation arguement, RPI has been distorted by lower mortgage repayments due to stupidly low interest rates

I have to agree. If RPI includes mortages, and we all know mortgage repayments have been drastically cut, then how can it be otherwise?

gozomark

hence why in many ways CPI is a better index, and why BoE targets CPI not RPI

Paul_Herring

If you want RPI without the mortgages, use RPIX. (See post 220.)

Reaper

There have been various posts on here saying Council tax, travel and food go up much more than official inflation figures suggest. So for balance here is the other side...

Council tax: Council taxes in England are expected to only average 3% this year (ie same as CPI inflation)
Train fares: Fares are limited to RPI inflation + 1%. Since many expect the official inflation figure to go negative the train companies said they didn't want to be made to drop them (eg -1% if inflation is -2%). This has just been rejected by the government so they may have to drop fares in the future. Particularly useful is the fact they use RPI inflation figure which is currently 0.1%.
Food: I've seen articles saying prices will go and up prices will go down, so take your pick.

Nomad25

Food: I've seen articles saying prices will go and up prices will go down, so take your pick.

Definitely up so far.................

Just_landed

Council Tax UP 5% :mad:

Reaper

Just_landed wrote: »

Council Tax UP 5% :mad:

I was quoting the expected average, there are always exceptions. Here's one that is going down 1% though that is far from normal.

hexham1_2

Well all that is very well if all you have to do is pay utility bills and buy food and clothes. How are pensioners going to cope with capital outlays such as holidays, house repairs, replacing electrical goods and repairing or replacing their car. It is not quite so simple as interest rate v inflation is it?? If capital continues to be eroded, it will reach zero eventually. Am I missing something??