I want interest rates to stay at rock bottom for ever

System

Long term interest rates need to go up, but if we do this too soon and too quickly you will find that the economy will collapse.

People will have less disposable income because mortgage rates hiked, spend less. Plus lots of repossessions.

Savers need to be savvy and not be afraid of the stock market.

It would help of course if we got a pay rise once in a while!!

Glen_Clark

talexuser wrote: »

because people can then afford houses - David Cameron according to the Telegraph:

http://www.telegraph.co.uk/finance/personalfinance/interest-rates/11199833/David-Cameron-I-want-interest-rates-to-stay-at-rock-bottom-for-ever.html

Cameron is treating us like fools, trying to tell us the BoE is independent when Osborne appointed Carney!!
Through their pretence of an independent BoE we have political interference without accountability - the worst of both worlds.

kidmugsy

Glen_Clark wrote: »

Cameron is treating us like fools, trying to tell us the BoE is independent
Through their pretence of an independent BoE we have political interference without accountability - the worst of both worlds.

A scheme introduced by .....?

G Broon.

Thrugelmir

Glen_Clark wrote: »

Cameron is treating us like fools, trying to tell us the BoE is independent when Osborne appointed Carney!!
Through their pretence of an independent BoE we have political interference without accountability - the worst of both worlds.

Sums up the level of debate in this country unfortunately on a political level. Carney's CV is pretty good. Not least the transformation he achieved in Canada.

Care to name a better candidate?

ColdIron

kidmugsy wrote: »

A scheme introduced by .....?

G Broon.

Aye, Glen sees conspiracies everywhere when it suits his political outlook but seems blind to them when it doesn't. I've ceased to take many of his posts seriously because of their partisan and non-objective nature which is a shame as he is often very good

Glen_Clark

kidmugsy wrote: »

A scheme introduced by .....?

G Broon.

Brown was awful, but Osborne has not only increased our debts more than Brown, but more than the 300 years before Osborne started - since records began. Thats quite an achievement in 4 years!!

Glen_Clark

ColdIron wrote: »

Aye, Glen sees conspiracies everywhere when it suits his political outlook but seems blind to them when it doesn't. I've ceased to take many of his posts seriously because of their partisan and non-objective nature which is a shame as he is often very good

Some say we should separate politics from savings and investment, but we can't because they are inseparable. Political interference in the markets is what creates the best and worst investments.

C_Mababejive

SW17 wrote: »

I wonder what Mr Cameron will say in a similar meeting when a group of pensioners (or anyone debt-free, but pensioners are more electorally critical for him) say that it's a disgrace interest rates are so low and they are become poorer in real terms...

Perhaps he will be as two faced as Blair? Fish and chips in sedgefield and Fettuccine in Islington..

talexuser

It just goes to show what I've suspected for years - that talk of interest rates rising soon they roll out every now and then is just hot air. Remember forward guidance? Remember 7% unemployment trigger?

Our recovery is based entirely on cheap money and debt as the only option left. How long it can go on without a sea change in productivity and exports remains to be seen.

talexuser

http://www.telegraph.co.uk/finance/personalfinance/savings/11201634/Savers-attack-David-Camerons-insensitive-remarks-about-interest-rates.html


The PM must hope all the older fixed income tory voters will forget this story next May.