In my view the dramatic reductions in house building in the UK and Eurozone and the sharp drop in UK house prices are the result of policy failures. Monetary policy was too easy for far too long, partly as a response to disastrous austerity policies.
#BankofEngland #eurozone #UK

In answer to the statement that the UK Govt. has no alternative to the support the actions of the #BankofEngland, it would seem there are some alternatives if you wanted to look over to #Europe.... but of course we wouldn't want to do that would we.

https://www.theguardian.com/commentisfree/2023/aug/03/spain-inflation-lower-bank-england-interest-rates

I'm in Cambridge to do research on inflation. They should know a little something about it around here.

#inflation #UK #BankofEngland

#UK #Inflation saw a surprise drop in June, easing pressure on the #BankOfEngland to further raise #InterestRates. Inflation fell to 7.9% from 8.7%, due to falling #FuelPrices and slower food price increases. Still far above 2% target. #UKInflation 📉💷

https://maxfr.me/46TraPO

And again, the #BankofEngland & its pet #economists are trying to pin the current persistent period of #inflation on rising #wages

This really is getting pretty tiresome & exposes the policy problem:

they have only one tool (#interestrates) & are more interested in #classwar than actually doing that much about inflation, because to do so would mean they would have to be looking at #corporations seeking to 'maintain' their profit margins, not #people trying to survive the #Costoflivingcrisis

Predictions on #interestrates are heading upwards - now some #economists are expecting them to hit 7%.... the sado-monetarism of the #BankofEngland continues...

Without some alternate strategy the Govt. is allowing Threadneedle Street to burn the UK to the ground - this is the triumph of ideology over compassion, but perhaps we shouldn't expect anything else from a bunch of overpaid, out-of-touch ideologues secure in the sinecures?

Should the Bank of England accept sticky higher inflation for longer or should the target be revised up? No! If there is a permanent supply shock, how will adjustment take place, if mortgage rates settle at unsustainable levels and capital is subsidised? Keeping rates too low has produced the current mess that mortgage payers are suffering for. What we need is better competition and regulation enforcement and public investment.
#BankofEngland #Costoflivingcrisis

The BOE has this forecasting model only a computer can solve and then they go for a surprise bigger interest rate rise, because they read the same news as us. Would a less complicated more realistic model not serve better and led to more gradual earlier changes?
#mortgagecrisis #BankOfEngland

In advance of the next (likely) hike in #interestrates the Q. is how high will the #BankofEngland push them?

The FT reports many economists expect rates to peak at between 5.25-5.5% before or during next year;

partly driven by the old adage 'if is not hurting its not working', the refusal to look at other mechanisms is loading the costs of dealing with inflation onto those (now) least able to afford any further shifts in their necessary expenditure(s)!

Some other policy is needed!

Brexit to blame for soaring inflation, former Bank of England boss says: ‘We told you so’ | The Independent
https://www.independent.co.uk/news/uk/politics/brexit-inflation-interest-rates-bank-carney-b2359489.html

#Brexit
#Inflation
#BankOfEngland
#BOE
#Carney
#Hunt

Charles Darwin has left British bank notes but he's still very readable in the history of evolutionary biology. #charlesdarwin #Evolution #originofspecies #BankOfEngland

UK #Bond Yields are rising, a strong indicator that UK interest rates set to rise further. The worry is the #BankofEngland projections & computations don't come over with the intellectual clout we're used to, confidence in models lacking. See http://penninecity.eu5.net/ exposition.

Why does our Government continue to squander power over #MonetaryPolicy, leaving it in the hands of the #BankOfEngland?

#FiscalPolicy is only one half of the equation, and unless you have control over both, you have control over nothing!

The current #MonetaryPolicyCommittee appear to be completely oblivious to the impact of their decisions.

Ironically, the blame for this all sits with #GordonBrown.

#UKPolitics #UKPol

https://www.theguardian.com/politics/1997/may/07/economy.uk

The #BankofEngland has returned to its rhetoric of a 'wage-price' spiral where falling wage rises are seen as good news (even as these continue to fall short of #inflation thus gradually impoverishing the #workforce).

#JeremyHunt says: 'we support them 150 per cent' in this squeeze on inflation;

so let me get this right; the man who is at the top of the Treasury thinks you can put 150% support behind something; a mathematical nonsense that tells you a lot about #Tories handle on the numbers!

Firms seeking massive profits are driving inflation, not workers

'People should simply accept they are poorer,' says someone earning about £180000 (Bank of England chief Economist).

#Inflation
#CostOfGreedCrisis
#CostOfLivingCrisis
#CostOfSurvivingCrisis
#Profits
#Wages
#Unite
#BankOfEngland
#Profiteering
#ProfiteeringCrisis
#FoodPriceInflation
#FoodPrices
#FoodBank
#Brexit
#InstutionalPoverty
#Destitution
#Poverty
https://www.thecanary.co/uk/analysis/2023/05/02/as-uk-firms-rake-in-huge-profits-one-senior-economist-tells-workers-to-accept-their-lot/

The Guardian view on Britons getting poorer: don’t accept it - The Guardian https://apple.news/AwjlNE-WHSHKJM4ApMoNmwg #uk #BankOfEngland #costofliving #Greed

Huw Pill is right that unless it is accepted that higher energy costs mean a reduction in income, inflation will be high. However, this neglects that while profit margins since 2010 have been generally healthy, real wages have suffered.
#CostOfLivingCrisis #BankOfEngland

Dear Mr Bank Manager,

I would accept being poorer if I had some back-up money, which I presume you have.

Not all of us have savings, property, and a well-paid job, you know.

Regards,

The Working Class.

#banks
#workingclass
#money
#finance
#emptypurse
#BankOfEngland

I've also already heard from conservative pundits we need to get 'natural' wage increases to 'get out' of it, and to do we need to get more productivity.

This should also be rejected, because 1) productivity has never been higher, yet our standard of living is still going down, and 2) productivity and wages have been decoupled decades ago by the wealthy. Most of the extra productivity you do will be taken for even more profit by the owners.

#Wages #BankofEngland #Capitalism #anticapitalism

*as for why the Mail are saying this now, when they definitely don't really care about the working class?

Well I suspect it's because 1) the Bank of England have gone 'woke' with their environmental and diversity policies, and 2) their economic 'policies' have hurt their beloved Tories in the polls. And their readers definitely do not like that.

#Wages #BankofEngland #Capitalism #anticapitalism