We face multiple housing crises all at the same time. Mortgage rates are soaring, yet renters face a broken market for years with rising rents and a shortage of properties. Buying is out of reach for many, but renting is just as bad. There is a growing division between an elder generation who have paid …
Recently I have been writing a lot about the economic crisis in the UK and the rest of the world. With inflation, rising interest rates and recession, it can all feel a little depressing. So this blog takes a very different view – looking at some of the unsung success stories of the past few …
The UK is heading for an energy crisis this winter, with average bills set to rise from £1,100 per year to at least £3,600. And with the possibility of prices rising to over £5,000 in January 2023. The lowest income families may see energy costs rise from 7% to 24% of income. (Link) For better-off …
Historical Interest Rates in UK since 1800 Interest rates in the UK since 1800. Bank Rate 1830–1972 and 2006–09, Minimum Lending Rate 1972–81, London clearing banks’ base rate 1981–97, repo rate 1997–2006. End year observation.
Readers Question: As the cause of inflation to a large part is down to energy costs, if they are temporary, will we see large deflation if we see a return to something close to ‘normal’? Typically deflation would be a bad thing, but in this case would it be? Firstly, you are correct a large …
Recently I wrote about impact of rising bond yields on long term bonds. There is uncertainty whether the rise in bond yields reflects economic growth or worries over government debt. This post explains the inverse relationship between bond yields and bond prices Bond Yield Curve Definition: The bond yield curve reflects the yield on government …
Secular stagnation is a term coined to describe a prolonged period of lower economic growth. Economists, such as Larry Summers have written on secular stagnation arguing the world has entered a period of substantially lower economic growth. He points to factors, such as ineffective monetary policy and weak demand for explaining the lower rates of …
