RE: Budget18 Nov 2022 13:20
It's not all true.
I too came from the Thatcher era where my mortgage was circa 13-15%/pa. Where, in addition to sky high rates, it was the norm to take out endowment schemes to 'protect' the mortgage - yeah, right, they worked well didn't they!
I digress. The biggest difference between then and now, is the speed at which it is all happening now . Base rate went from 0.1% (nov 2021) to the current 3%. That is a MASSIVE rate of change in one year! Monthly repayments went/have gone exponential. Thanks to Ukraine - energy. fuel and food prices have followed close behind.
ALL of this has happened over the last year. This is unprecedented in british economic history. And it is this perfect storm which has caught many out!
Previous stressful periods never hit so hard and so quickly.
Where I do agree with you SAS is where 'peeps' have artificially supported the system where debt and greed appear to be the norm in society.
A whole generation has been born since Maggie and they think the world owes them a living and money is cheap.
The government (any) hasn't helped. Blair made debt a part of the daily vocabulary when he told students it is normal to amass tens of thousands in debt with their education, and QE really stood for: quite easy! We lost the plot as a society from an economic perspective and voila - we are and will be paying for it for some time to come.
Worryingly - the opposition will now spend the remaining two years deriding this government for the pain they have placed on society - making them out to be the enemy.
The opposition will promise the world and we will learn nothing as we rinse and repeat with a different government. The honeymoon is over folks - hunker down - going to be a long and painful journey.
Z
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