Wages Rise, Unemployment falls again....

lisyloo

Someone with a large mortgage and boe tracker might not want rates to rise in isolation (that doesn't mean massively indebted, some of us can pay it off but prefer to make a profit on ultra-Low rates).

However some of us can see past the personal issues even if we don't have our own kids and want better things for our society as a whole.
I don't see how high house prices are serving our society as a whole - only those who are able to take advantage of the situation.

Morally I couldn't argue against measures (like say an over-occupancy tax) that made me personally worse off but society as a whole more equitable.

wotsthat

mwpt wrote: »

I was curious why someone wouldn't want to see interest rates raised. I speculated that if I was leveraged and low rates were good for my income, I wouldn't want rates to rise. I extrapolated from there. If it's not true, it's not true.

..but what does it prove anyway? Turkeys don't vote for Christmas?

If you've got a big mortgage and no savings then of course higher household expenses won't be welcomed.

If you've got a load of cash and no debt then interest rate rises can't come soon enough.

I doubt the BoE much care what people want or why.

alberty

I wonder how evenly spread that wage growth is. Probably just a few property investors in London skewing the figures.

[Deleted User]

alberty wrote: »

I wonder how evenly spread that wage growth is. Probably just a few property investors in London skewing the figures.

http://forums.moneysavingexpert.com/showpost.php?p=68610185&postcount=17940

antrobus

ciaccino wrote: »

http://forums.moneysavingexpert.com/showpost.php?p=68610185&postcount=17940

ciaccino wrote: »

They count self employed working an hour a week as fully employed.....

No, they don't. The LMS has seperate count for Self-employed people working full-time and the Self-employed people working part-time.

ciaccino wrote: »

...If you just divide total wages by number of workers, wages are up but it's only an elite at the top eating most of the cake.

Whilst that is arithmetically possible, it takes a bit more than you saying it is so, to make it so.:)

purch

Generali wrote: »

Great news.

FWIW, you'd expect real wages to increase at a 2-2.5% pa so I reckon this is right at the very top end of normal.

You'd be bonkers to assume that the Bank are not watching this very closely, but you would be equally bonkers to assume that the Base Rate will be much over 1% in 12 months time.

I suspect that the MPC are keen to move the benchmark slightly higher, and are more likely to react to the employment/wage numbers than they are to other indicators that may show a weaker scenario.