Have A Mortgage? Voted Labour? Oh Dear!

[ToraToraTora]

https://www.bbc.co.uk/news/articles/cjqe82lk5g5o

Inflation busting pay rises translate into higher interest rates down the line. Ironically that is good for me!

[webbo3]

And me 

[wolf63]

I couldn't afford to live if I had to pay mortgage payments.

[Hymie]

In the loony world of the Tories, having an above inflation pay rise makes you poorer??

[jackthehat]

In order to fund the above inflation pay-rises for them as is shouting loudest, the rest of us lowly types are likely to find our wage-packets/out-goings squeezed.

That's how we get the boom/bust Labour hamster-wheel.....

[barry1010]

Good for us savers though.  I did my bit paying 15% interest on my mortgage in the early 90s

[youngmafbog]

15:56, I see no economic acumen whatsover.

Can you really not work it out?

Excellent news for me though.

 

[bednobs]

you postedthis a week ago

[ToraToraTora]

hymie: "In the loony world of the Tories, having an above inflation pay rise makes you poorer??" - yes if you end up paying more for your house that can wipe out your pay rise. It's called arithmetic me old china, you should try it.

[Hymie]

Give the poor no (or below inflation) pay rise and they will become wealthy.

 

This is some new economic model I’ve not heard of before – or perhaps just Tory policy.

[Hymie]

A number of ABers on here (including TTT) must be asking for below inflation (or no) pay rises – realising what happens when they get above inflation pay rises.

[ToraToraTora]

It's not any policy by any party me old china. If you start dishing out inflation busting rises, especially in the public sector you create inflation that rises interest rates. Ain't rocket is it.

[Hymie]

I can assure you that I have only become relatively wealthy by receiving above inflation pay rises, over my working life – I can guarantee you that I’d be as poor as a church mouse if I only ever received at or below inflation pay rises.

[ToraToraTora]

16:17 a point either side is not too bad but +20 points? that's going to hurt, later, the sad thing is it will hurt those they are trying to help. I just retired, the interest rate rise just adds to my pot. Thank you labour, I think you are wonderful, I won't vote for you because I love my country above my own aspirations but as my country decided to let you in, who am I too complain?. My draw down fund has raised nearly £10k since 4th July! more to come! Cheers Rodders!

[gramps85]

And us pensioners who will be funding these pay rises now that our winter fuel allowance has been cancelled.  Next is the Triple lock.  Thank you all you Labour supporters who voted in a party that hits the poorest in our society.

[ToraToraTora]

The sad thing is that hymie, gulliver etc are the ones who will be hurt the most as is usual when Labour get in.

[youngmafbog]

You really dont understand the basics of economics do you Hymie?

Perhaps best not to comment until you do, remember its best to be thought of as a fool rather and put digit to keyboard and remove all doubt.

[Hymie]

So explain to me how I would be much better off if during my working life I had received at or below inflation pay rises every year.

[youngmafbog]

Were your pay rises purely to keep up with inflation or did they include a reward for experience and hard work (most do)?

The problem isnt the individual point or two (as explained above) but 22 points will end up inflationary as everyone else will want it too.  And then the goods or services have to rise in cost to pay for it, and that includes council tax and other taxes or if in the private sector actual goods.

Do you get it now?

[ToraToraTora]

16:41 well if your mortgage rate rise eats up your pay rise you are worse off. tada!

[Hymie]

So explain to me if I didn’t receive a pay rise (or had one at below inflation) – how does that make me more wealthy?