Jings ..RusSELL is all yours his a clever bugger I tell you that in advance RusSELL is 100% correct every time.. Problem is you have to take him out for a wine and dine, smokes only the best cigars loves to party all night. When your skint by the end of the night you can ask him any question to do with the future in the banking sector and you can bet you last $£ he will give you right answer it's going to be RUFF RUFF !!!lol
I tried a bit of reverse psychology on him and tested him on politics so asked him about the future of Keith Vaz and you know what it's RUFF RUFF .....I think RusSELL is very good or his on poppers is well .....
I do think it is a combination of spending more on things and things costing more in relation the average income with many not earning the average income.....
The guide is regarding house prices over the past 3 decades ... house prices have gone from around 3 times average earnings of 1 persons wage, to 7 times the income of 2 people . But wages have not followed inline ... So a bigger proportion of income is spent on Housing and renting.... Yes many spend a lot on Mobile Phone use and contract, and sky TV subs... But not on the radar of expense 3 decades ago ..but a way of life to so many today.
So basically things to me have improved with new technology and a desire for things has been created but the means to pay for many extra things we have today are not met by the ability to pay on many current incomes ..after paying for the increasing basic living and utilities costs... That then means the growth in Bank overdrafts and Credit card debt in the UK. and payday loans or whatever.. The cost of street cred by children to their parents is amazing as many parents well know.... The encouragement to spend far more today is far greater than 30 years ago and access to Debt is ridiculously so easy today... in fact wildly encouraged...
Saving up to buy years ago is not some much an option today as credit is a bigger way of life to each new generation it seems.... The days of paying for Gas and Electricity based on what you used has gone, you have to be told to constantly change suppliers for a better deal , which creation frustration and confusion and cost the public more in the end... or why would suppliers bother ...Rail Fares another mine field of prices also creates confusion and creates more profits .. or just a few standard prices would be offered like 30 years ago ..
Looking back 30 years is a real eye opener as to how the cost of things has changed in relation to the average income along the way... Remember pre 1972 there were no credit cards and today they are part of so many people lives ...and God knows what the true amount of personal Debt there really is in and what has risen to since 1972 in the UK.... Money is always a challenging point of any persons budget and that is the issue many find hard to deal with... regarding living within your means... sadly many do not have the means to met the basic needs ..that's where increasing government benefit payments comes in ..But that is a well known growing issue and anther story..
Meanwhile life goes on in so many different ways ... no matter if you earn 5K part time or £10 million a year plus.. This is the UK we now live in... Maybe a return to fundamental basics from Theresa May would be a good idea and way forward for some Stability.
Your points have been noted for some times now, if you read any sociological texts. The real rut in terms of productive capacity of people, their willingness to work hard, to learn a trade or skill that adds to the real economy, this was all degraded under Thatcherism (recall her mantra that there is no such thing as society). When debt replaced prudence, and was encouraged by governments, and capitalism became financialization, then everybody simply toed the line, no one effectively resisted the industrial gutting of the economy. We are living with the aftermath of unintended consequences. When money can be printed out of thin air, interest rates crushed, and negative yield increasingly become the norm, what exactly can be said to carry value? Gold? Land? Certainly not financial assets which are become horribly distorted, mispriced and, indeed, changed out of all recognition with the lumbering addition of all the derivatives that use stocks and other assets to price and collateralize more financial assets. If we remained in the EU, there would be a reckoning. Outside, there will be a reckoning. Either way, something will have to give. We have to return to a market based on something more tangible than city crooks, mediocre TV, pop stars, and crass movies. Let's hope the reckoning does not lead to any kind of war, but only a crises where the zombies are shredded and a new viable market emerges. Good trading!
It seems to me that we all spend much more on 'things' than we ever could in times past. eg: how many are paying a monthly mortgage/rental on a smartphone? Young people especially. Then there is the cost of entertainment, we seem happy to find £60-£100 a head to watch a performer/band/show, etc.. Even going to the cinema can reach £20. All these inevitably mean that there isn't enough left to create a deposit for a house. Every individual has to make their own decisions on how they spend their money. How many actually think about it?
Football. Yes, we are all responsible. I, for one, pay Sky £128 a month. I used to watch a lot of footie but over the past year or two that has reduced by, probably, 60%, largely due to there being so few 'local' lads in any of the Premiership teams, so I am having to question the £128. I still watch a lot of golf but, again, I have to question if it is worth £128. Probably not. Maybe the wider tv audience is moving in the same way? As you say, that will change things, change always comes from the customers (voters).
EU banks under pressure it seems.. Talking of Italy banks on CNBC ..
Low interest rates are not helping banks or savers.. Every week it is another issue .. Hard to think that RBS was 412p 18 months ago.. And even more harder to remember about 8 years ago the SP was around £6 in old money, being £60 in today's terms after consolidation ... The last 10 years has certainly changed the UK and world banking system. It is strange how the 2008 banking crisis hit so many people back then and has now resulted is such cheap money that is pushing house prices back up beyond the pre crisis level and causing even more damage to first time buyers today what a crazy situation of so much to happen in the past decade ... Lack of affordability is a growing trend for each new generation for housing and renting is not far behind...
How banks progress in coming years with low rates and more bad news and fines remains to be seen... And Brexit... One thing is for sure things will be changing all the time.. Any coming rate rise trend will spark a new direction for banks and savers and pushing house buyers under more pressure ... The next 10 years will be very interesting with Brexit, US election, interest rates, Oil prices and any possible EU troubles or break up.. The Labour Party.. And of course terrorism..
A time machine would be interesting to spend a week in 2025 or maybe not...
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