Does the proposed energy plan signal the end of interest rate increases?

RetSol

If Liz Truss carries out her promises we will be looking at higher rates, not lower ones....

These guys agree with you.. 

mlc2009

Truss: Package will curb inflation by up to five percentage points

Prime minister Liz Truss claims that capping the price of energy will help reduce the rate of inflation by 5%.

The Bank of England expects inflation to peak at 13% - though many economists reckon it could go much higher.

Rising energy bills have driven surging inflation.

It will be interesting to see what the economists have to say about this claim - we'll find out a little later.

does that mean 5 percent from the current levels, or 5 percent from the expected peak?

masonic

mlc2009 said:

does that mean 5 percent from the current levels, or 5 percent from the expected peak?

They are estimating that the peak will be 5% lower and will come earlier than if they did nothing. Easy to say as it will be impossible to be proven wrong.

RG2015

masonic said:

mlc2009 said:

does that mean 5 percent from the current levels, or 5 percent from the expected peak?

They are estimating that the peak will be 5% lower and will come earlier than if they did nothing. Easy to say as it will be impossible to be proven wrong.

Brilliant!

Their estimate for the effect of their energy plan will reduce the current inflation estimate by 5%.

Come the election and they will claim amongst their successes..........

"We reduced inflation by 5%!!!!"

sevenhills

RG2015 said:

Come the election and they will claim amongst their successes..........

"We reduced inflation by 5%!!!!"

The economy can be vital in deciding how people vote. But if people feel poorer, which they will, claiming it could have been worse will be not sway them.
The voters no longer think the conservatives are good with the economy, they prefer a fresh pair of hands.

RG2015

sevenhills said:

RG2015 said:

Come the election and they will claim amongst their successes..........

"We reduced inflation by 5%!!!!"

The economy can be vital in deciding how people vote. But if people feel poorer, which they will, claiming it could have been worse will be not sway them.
The voters no longer think the conservatives are good with the economy, they prefer a fresh pair of hands.

Sorry, but I don't follow the point you are making.

For clarification, I am saying that politicians will spin anything, however spurious, in their quest for votes. In this case with my tongue lodged firmly in my cheek.

Bigwheels1111

Why not wait until Thursday next week.
Then we will know.
It will go up, or it won’t.
Im voting for raise after raise.
Thats just me.

Descrabled

Bigwheels1111 said:

Why not wait until Thursday next week.
Then we will know.
It will go up, or it won’t.
Im voting for raise after raise.
Thats just me.

But, but, I don't think you have a vote; do you?

Expotter

Bigwheels1111 said:

Why not wait until Thursday next week.
Then we will know.
It will go up, or it won’t.
Im voting for raise after raise.
Thats just me.

We'll have to wait a week longer, meeting has been postponed to Sep 22nd.

Sg28

Expotter said:

Bigwheels1111 said:

Why not wait until Thursday next week.
Then we will know.
It will go up, or it won’t.
Im voting for raise after raise.
Thats just me.

We'll have to wait a week longer, meeting has been postponed to Sep 22nd.

Maybe they're planning to shock the markets with a 1% rise and dont want it so soon after the queens death!