Thread: Price increases
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Old 21st April 2021, 13:12   #5
Darcydog
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Quote:
Originally Posted by torque2me View Post
You should have gone through the 70's - 20%, pah!

Kev
God yes - a time I would rather forget. Buying our first house I remember being relieved when I got a £5 a month pay rise and then before I had seen the first increase our mortgage went up £8 a month.

Talk about one step forward, two steps back

Inflation was peaking at over 20% a year. And the BoE base rate was 11.25% in 1975 and was rarely less than double digit for the whole decade.

From my experience, having lived through that decade, I think managing debt with a BoE base rate of 0.1% is an absolute breeze.

As for price rises - commodities are sometimes difficult to get hold of. Lockdowns the world over is causing price hikes.

Let’s not spin this into a political “hit job” - because the history of who was in power historically when the economy tanked is very much binary
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