Hmm, pound is looking a bit scary today!

shortchanged_2

Generali wrote: »

I'm not being funny but a change in the petrol price of 2p is less than eff all.

Get a grip, seriously.

But it's not 2p, it's been 4 or 5p and it's the knock on effect these rises have in the wider circles can have quite an impact.

The rise of petrol prices over the last few years have done a great deal of damage to the UK's economy and to dismiss rises of 4-5p a litre with the economy in it's current state is a bit flippant Gen.

sabretoothtigger

True it just keeps going sideways really but see if it hold 1.54 last years lows. Its set to get especially negative within that range which people dont like.
When it was last that low oil was cheaper so a bad combo this time but this is what boe and fed promote



All I said was it'd top out, which is again is in line with every years top price and those have been declining so a negative trend for sterling. Not sure otherwise but its hit head again

Generali

shortchanged wrote: »

But it's not 2p, it's been 4 or 5p and it's the knock on effect these rises have in the wider circles can have quite an impact.

The rise of petrol prices over the last few years have done a great deal of damage to the UK's economy and to dismiss rises of 4-5p a litre with the economy in it's current state is a bit flippant Gen.

The problem with the UK's economy is that the Government is too big. That's why petrol prices are so high: everything needs to have eye-watering amounts of tax put on it to pay for the Government. A few pennies on petrol isn't a problem, it's the fact that about 80p of the price is tax, paid for with income that has 40-50% tax paid on it!

Excluding tax credits, the Government is the best part of half of the economy. That's the problem and it's why petrol and everything else costs so much. To fill my car with petrol in the UK, I'd need to earn about £165 before tax! Focusing on the 3p misses the 80p problem.

Harry_Boyle

shortchanged wrote: »

But it's not 2p, it's been 4 or 5p and it's the knock on effect these rises have in the wider circles can have quite an impact.

The rise of petrol prices over the last few years have done a great deal of damage to the UK's economy and to dismiss rises of 4-5p a litre with the economy in it's current state is a bit flippant Gen.

What would your solution be?

As has been mentioned many times, the vast majority of the cost associated with petrol is tax. Is your solution to lower the tax take? The problem inherent in that is that the tax is reduced on petrol then the government will have to raise taxes elsewhere. Plus, as an oil producer, the UK benefits from increases in oil prices via taxes levied against oil companies.

With this tax revenue in mind, perhaps the 'damage' is not quite as extensive as you think? Certainly I'd suggest you carried out a more indepth analysis into the subject is required to determine the true impact of high oil prices on the UK economy before you can flippantly announce that a 'great deal of damage' is done.

shortchanged_2

So by your theory renoman it would be a good thing if we all started paying £2 a litre for petrol, is that right?

There is a pretty obvious link with high oil prices and therefore petrol prices and recession and I don't doubt that the high prices at the pumps over the past few years have been quite damaging to the UK economy.

Harry_Boyle

shortchanged wrote: »

So by your theory it would be a good thing if we all started paying £2 a litre for petrol, is that right?

I don't know what 'theory' of mine you are trying to bring in here. Are you perhaps trying to build a strawman argument in order to get away from having to provide details on your own solution? So, no that's not right.

shortchanged wrote: »

There is a pretty obvious link with high oil prices and therefore petrol prices and recession and I don't doubt that the high prices at the pumps over the past few years have been quite damaging to the UK economy.

If you don't doubt this, then I'm sure you can provide details that support your argument. I'm sure that if it's so 'cut and dried' as you make out that the information will be easy to find.

I don't have an issue with people expressing opinions, but let's not fall into the trap of dresing opinions as facts?

shortchanged_2

Harry_Boyle wrote: »

I don't know what 'theory' of mine you are trying to bring in here. Are you perhaps trying to build a strawman argument in order to get away from having to provide details on your own solution? So, no that's not right.



If you don't doubt this, then I'm sure you can provide details that support your argument. I'm sure that if it's so 'cut and dried' as you make out that the information will be easy to find.

I don't have an issue with people expressing opinions, but let's not fall into the trap of dresing opinions as facts?

A little article for you to read renoman, and there are plenty out there, although I'm not sure you'll be too happy about the possible link between high oil prices and lowering house prices.

http://www.theoildrum.com/node/7562

purch

We don't need to start panicking until Cable is trading below 1.37

1.54 no worries

1.47 slight worry

1.43 start worrying

1.37 worry

1.32 panic......next stop 1.08 :eek:

Masomnia

Are markets anticipating further monetary easing by Carney?

Harry_Boyle

shortchanged wrote: »

A little article for you to read, and there are plenty out there, although I'm not sure you'll be too happy about the possible link between high oil prices and lowering house prices.

http://www.theoildrum.com/node/7562

You seem determined to build strawmen arguments, your latest is saying I'm unhappy about falling house prices.

As far as your discussion about oil prices and the UK economy, I'd suggest that linking to a blog on an obscure and seemingly biassed US website isn't the sort of detailed analysis required to prove your point. To coin your own phrase, it seems a little flippant.