High Inflation.

Reinstating I mean - I don’t think the losses this year will be recouped.

FannyCornforth

But there’s more to it than that.
It’s good when people have lots of disposable income, it keeps the economy going.
The people who do all the jobs that travels does will be out of work. Even less disposable income…
Cafes and pubs will close too.
(I’m particularly thinking of my local here - by the time I’m ready to start going out and about again (I haven’t been to the pub in over two years) the blooming thing will have shut down! )

There was a restaurant owner/chef on the local news the other evening. His restaurant well-booked but he's struggling to find another chef even though he's offered increased pay and free accommodation. At the moment he's doing all the cooking himself but is desperate for help

Callistemon21

FannyCornforth

But there’s more to it than that.
It’s good when people have lots of disposable income, it keeps the economy going.
The people who do all the jobs that travels does will be out of work. Even less disposable income…
Cafes and pubs will close too.
(I’m particularly thinking of my local here - by the time I’m ready to start going out and about again (I haven’t been to the pub in over two years) the blooming thing will have shut down! )

There was a restaurant owner/chef on the local news the other evening. His restaurant well-booked but he's struggling to find another chef even though he's offered increased pay and free accommodation. At the moment he's doing all the cooking himself but is desperate for help

The hospitality industry was quite heavily dependent on EU workers, who don't particularly want to come to the UK any more.

Yes, that was one reason he mentioned amongst others.

Casdon, hopefully nobody!

However, I don’t think k they are planning an election until 2024, and will assume that an announcement from September 2022, and a change in April 2023 will be forgotten by then.

Calendargirl

Just listened to the early news on the radio, said inflation is highest for a decade.

Then a quick interview with a couple with two young children, asking how they were coping.

They said, with a laugh, they have had to give up going out. No more coffees, brunches, lunches which they obviously did quite a lot. Nothing wrong with that, but hardly a huge hardship.

I must sound like a grumpy old woman, but so many things that were viewed as ‘treats’ or ‘special’ not so long ago now seem to be viewed as necessities, and not just by the younger generation.

The hospitality industry is, I believe, the fourth biggest employer in the UK.

If people like those mentioned cut back on coffees, brunches and lunches, it will have a knock-on effect. And no-one needs me to point out what the effect will be.

Of course those who can/could afford such treats are in a better financial position than individuals relying on food banks. But those reliant on food banks will often be the very people who will suffer when the hospitality industry shrinks.

I've also cut back on these 'luxuries' but it's a dilemma- because I want my local businesses to survive. We have a couple of 'pavement' cafes here in my small town in The Cotswolds, and the cafes are a draw to the many tourists who visit in the summer. They are encouraged to linger and spend money in other shops thus keeping the town alive. I don't want to see shops close, tourists dry up, and commercial property bought up and turned into yet more expensive private accommodation... which has happened to other towns.

GrannyGravy13

I suppose it’s the difference between getting through each day and living each day to the full?

I like that GG13. Sadly and slightly depressingly, I see it as living from day to day without too much angst and living with constant anxiety.

not wanting to sound "racist" forgive me if I do, but mentioned above that EU workers don`t want to come here anymore,, but of course, we do have all these illegal migrants... so they will replace the missing workers!

Anybody who says that they don't want to sound racist, but...

Well, you can all finish it yourselves, eh?

polnan

not wanting to sound "racist" forgive me if I do, but mentioned above that EU workers don`t want to come here anymore,, but of course, we do have all these illegal migrants... so they will replace the missing workers!

In what way are they illegal?

growstuff

Jane43

MaizieD much as I despise this government the £150 isn’t a loan, it is for council tax payers in Bands A to D but I believe those exempt from council tax won’t get it. The £200 to come later in the year will be a loan to be repaid over several years and most people don’t want it.

Those in a Band A-D property will get it, even if they are exempt. My son is a full-time student and rents a property, but doesn't pay council tax. He told me that the forms he's had to fill in are confusing, so he's probably not the only one who hasn't understood properly.

Thanks for clearing that up Growstuff.

I think a lot of people will either be cutting down on, or cutting out a lot of things that could be considered as treats by some, essential to others and the rise in costs is only just beginning, remember.
It will be interesting to see what the same couple's answer will be in 12 months time!
Sadly I can see that a lot of the businesses that provide the treats that many have got used to , be drastically affected down the line, just as they have been trying to pick up the pieces after the lockdowns.

Germanshepherdsmum

Jane autumn may be a long way off but in the meantime we have the warmer months when heating bills won’t be such a worry.

Heating bills are only a part of it though. We have the long school holidays when children have to be fed and I remember how much my boys used to eat. Electricity costs will also be higher when children are at home all day.

When my DS was very young & I had separated from my Ex we had very little money. I had Utilities, Mortgage & usual bills still to pay on a very reduced income. We qualified for free school dinners so my DS had a sandwich for tea in the evenings. I had for dinner a boiled egg slice of bread then a slice of bread & cheap jam for tea. we survived & I lost a lot of weight, would not recommend it though. Now being a 77 year old pensioner on basic pension but thankfully getting pension credit I am looking at maybe going back to how I ate all those years ago. My Utilities direct debit has increased from £48 to £170 so have to cut back considerably to afford that. What makes me angry was an article on how much our MP's can claim for! From the article they can claim for their Utilities among many other things - WHY!!!

Why ? SillyNanny321 because they have stables to heat you know!

Interest rates up to 1%

Highest since 2009.

Trying to suppress inflation. Not quite sure how that will work as the inflation is not home grown.

Whitewavemark2

Don’t forget the profit. That’s why they are in business, everything else is an inconvenient expense.

Don't tar all businesses with the same brush!!!
Out of that profit, especially for small independent businesses, is the payment to the owners for their work.
Also out of the profit is tax, which goes towards paying for the public services we all use. It's all interconnected.
That's the reason you pay more for your fish and chips at different places - from your local chippie, cheap and cheerful café or posh restaurant.
Even at the same place (shop, restaurant, online or any business) you pay different amounts at different times with offers etc.
Costing is extremely complicated - as are most things once you start looking into them. I try to avoid commenting on anything I don't know much about....

Suehappynana

Whitewavemark2

Don’t forget the profit. That’s why they are in business, everything else is an inconvenient expense.

Don't tar all businesses with the same brush!!!
Out of that profit, especially for small independent businesses, is the payment to the owners for their work.
Also out of the profit is tax, which goes towards paying for the public services we all use. It's all interconnected.
That's the reason you pay more for your fish and chips at different places - from your local chippie, cheap and cheerful café or posh restaurant.
Even at the same place (shop, restaurant, online or any business) you pay different amounts at different times with offers etc.
Costing is extremely complicated - as are most things once you start looking into them. I try to avoid commenting on anything I don't know much about....

I’m not tarring businesses. ?. Just saying that you can’t leave the profit motive out of the equation.

It is our economic system.

polnan

not wanting to sound "racist" forgive me if I do, but mentioned above that EU workers don`t want to come here anymore,, but of course, we do have all these illegal migrants... so they will replace the missing workers!

For a start, they are not 'illegal migrants', they are, until proved otherwise, asylum seekers.

And while they are applying for asylum, which can take months and months to decide, they're not allowed to work.

So that rather knocks that one on the head, doesn't it?

We should not be a service based economy. We have relied too much in the past on the wealth generated by bankers, insurers, etc etc. We should be moving towards an economy that has a larger proportion of manufacturing industries that at present.

We are also very good at the performing arts which get little support from governments but which were a very good source of revenue.

WWM2 Profit - for the self employed equates to their "salary" on which they pay Classes 2 and 4 NIC and income tax, depending upon the level of their profits of course.

Dinahmo

WWM2 Profit - for the self employed equates to their "salary" on which they pay Classes 2 and 4 NIC and income tax, depending upon the level of their profits of course.

? yes I do know.

Perhaps you can tell me how a rise in interest rate won’t put further downward pressure on the

economy!

Dinahmo

We should not be a service based economy. We have relied too much in the past on the wealth generated by bankers, insurers, etc etc. We should be moving towards an economy that has a larger proportion of manufacturing industries that at present.

We are also very good at the performing arts which get little support from governments but which were a very good source of revenue.

That was the Thatcher vision, wasn't it, Dinahmo?. Saint Maggie who so many people admire greatly...

She destroyed heavy industry because of the power of those industries' unions and huge swathes of the electorate applauded her. She placed the emphasis on the service sector institutions you list and, as EU members, with access to the Single Market she 'championed', we did very well in terms of GDP.

But now we're out on our own, and the world is a much colder place.. and we still don't support our own industries...

People have different priorities these days. Some can’t do without eating out a couple of times a week, having takeaways delivered, 2 holidays a year, huge cars, etc, etc. I think myself lucky that I have a roof over my head, food in my stomach, clothes on my back - something the people of Ukraine don’t have at the moment.