Good news, inflation down.

kabayiri

lilac_lady wrote: »

Wonderful! What will we do with all the extra money that we'll have in our pockets?

I don't know about you but I'm gonna get me some of those pocket things with the money I have in my ... err, oops.

Out,_Vile_Jelly

shortchanged wrote: »

Well I'm going to treat myself to a kingsize Mars for a change. Bring on the good times.

I've always thought that multi-pack snack size Mars bars taste the best. Something to do with the ratio of chocolate to filling maybe?

wotsthat

shortchanged wrote: »

Well I'm going to treat myself to a kingsize Mars for a change. Bring on the good times.

You might be able to. Food was one of the only sectors showing decreases month on month. In fact you have to go all the way back to May to find food this cheap - happy days.

shortchanged_2

wotsthat wrote: »

You might be able to. Food was one of the only sectors showing decreases month on month. In fact you have to go all the way back to May to find food this cheap - happy days.

Maybe, but I haven't seen the price of a bar of chocolate dropping recently.

Aberdeenangarse

shortchanged wrote: »

Yes I do, hence the the laugh at the end of my comment. I must stop this sarcastic streak.

Don't worry about reweird he lives in a Bungalow - hence nothing up top

OptionARMAGEDDON

Anyone know what the inflation prediction will be once VAT falls out in the new year? Are we talking more than a whole percent? It was my understanding that it will probably fall back to around 3.5%?

Jennifer_Jane

Benefit increases, including the Basic State Pension, are increased annually by the September rate of inflation (yes, I know there is the 3-tier system for the BSP). So this year, it would seem that this will be 5.2%, but that the annual rate for the year will probably be lower.

Does anyone else think that it makes more sense to use an annual figure, rather than one month's?

CLAPTON

Jennifer_Jane wrote: »

Benefit increases, including the Basic State Pension, are increased annually by the September rate of inflation (yes, I know there is the 3-tier system for the BSP). So this year, it would seem that this will be 5.2%, but that the annual rate for the year will probably be lower.

Does anyone else think that it makes more sense to use an annual figure, rather than one month's?

the september rate of inflation is the measure of the change of price between september 2010 and september 2011
i.e. it is the ANNUAL change in prices

Generali

OptionARMAGEDDON wrote: »

Anyone know what the inflation prediction will be once VAT falls out in the new year? Are we talking more than a whole percent? It was my understanding that it will probably fall back to around 3.5%?

That's probably a pretty good guesstimate. I reckon that about 1.3% of the 5% of current inflation is due to increased VAT on the basis that about half of all purchases are VATable so about half the VAT increase will feed into inflation.

That is real back of a fag packet stuff though. If prices of VATable items are rising faster than non-VATable stuff then VAT changes will have a bigger impact on inflation numbers. The converse is also true.

The reality is also that perhaps 5% of the inflation figure is sampling and rounding errors (ie 0.25% of the 5%), this month's change could be entirely noise. As an example of a number I do know, unemployment figures in the UK are accurate to about 100,000 give or take. Virtually every monthly change in unemployment is entirely indistinguishable from noise.

MacMickster

reweird wrote: »

Thanks for explaining it to him. I'm horrified at the level of financial intellect of the bears. No wonder they rent.

I am equally horrified by the number of adults(?) posting on this website who seem to lack the intellect to identify a tone of sarcasm in a post.

Alternatively, perhaps this is a form of autism which explains the need to troll internet forums.