High Inflation.

Oh, yes please Jane. For that but also for the word you see flash past just as you press the "post" button.

Anyone else think that inflation will increase rapidly in EU member states if/when they stop importing fuel from Russia as Ms. Van de Leyen has proposed this week (again)?

I guess it will depend on which one of the 27 countries we look at.

It took me 2 minutes for find out that inflation in France is running at 4.5% and they are only dependent on Russia for 17% of their gas. So for them the impact could be limited.

If an economics ingenue like me can work that out, you'd hope people who actually know how this works would have a good handle on it.

Inflation will rise quickly, it’s probably over 10% now in reality, fuel will add a limited amount there are many other products and services that we are paying more for. At the price fuel is now there are plenty of suppliers willing to ship it to us.

One thing is certain. The utterly idiotic decision of the Bank of England to increase interest rates will make inflation worse by pushing up the cost of borrowing.

Inflation has two main causes; ) increased demand for resources which lead to a shortage of supply, or 2) price increases caused by increased costs for suppliers.

The first can be controlled , in theory, by taking money out of the economy and encouraging savings. That' s where the increase in interest rates is supposed to work, do dampen demand. Increasing rates is useless for the second as it just makes everything more expensive. That's a situation where government could be looking at price controls, mitigations, such as energy saving measures, and alternative sources of supply.

Our inflation is a result of the second scenario.

One thing is certain, our government is doing very little to protect the poorer members of society from the effects of inflation, they've even increased their taxes, which makes them even more vulnerable to inflation.

The value of sterling slumped on Friday to the lowest for 2 yrs, making imports even more expensive.

independent.co.uk
Brexit caused UK food prices to rise 6% as cost of living crisis deepens.

Trade friction is a real issue.

Katie59

The value of sterling slumped on Friday to the lowest for 2 yrs, making imports even more expensive.

Really? Oh dear.
I remember only in February we were getting 1.20 euros to the pound, now I've just checked it's 0.85. "Can't do Maths" but I think that's about a third less?
So how is it lots of people are still able to afford the increased price holidays and the additional amount their spending money costs them?

Joseanne

Katie59

The value of sterling slumped on Friday to the lowest for 2 yrs, making imports even more expensive.

Really? Oh dear.
I remember only in February we were getting 1.20 euros to the pound, now I've just checked it's 0.85. "Can't do Maths" but I think that's about a third less?
So how is it lots of people are still able to afford the increased price holidays and the additional amount their spending money costs them?

Joseanne my guess is that having not been abroad on holiday for over two years now, people will have saved enough for a blowout holiday, and are really going to town. After that, they will be back to reality. Retail sales are down already, and unless things change drastically by the autumn we are going to be in a very bad place.

Sterling has only just plummeted. People have had their holidays booked for weeks, if not months. Most people don't just go on a whim, they plan and book in advance.

Which makes it ridiculous to query how they are still able to afford the increased price. It wasn't 'increased' at all when they booked it. Sterling was still at about 1.20 euros last week...

Joseanne

Katie59

The value of sterling slumped on Friday to the lowest for 2 yrs, making imports even more expensive.

Really? Oh dear.
I remember only in February we were getting 1.20 euros to the pound, now I've just checked it's 0.85. "Can't do Maths" but I think that's about a third less?
So how is it lots of people are still able to afford the increased price holidays and the additional amount their spending money costs them?

I think you've got your fractions upside down .

Currently it's about 1.17 Euros to the pound

volver

Joseanne

Katie59

The value of sterling slumped on Friday to the lowest for 2 yrs, making imports even more expensive.

Really? Oh dear.
I remember only in February we were getting 1.20 euros to the pound, now I've just checked it's 0.85. "Can't do Maths" but I think that's about a third less?
So how is it lots of people are still able to afford the increased price holidays and the additional amount their spending money costs them?

I think you've got your fractions upside down .

Currently it's about 1.17 Euros to the pound

Yes, apologies, told you I couldn't do Maths! My excuse is I was bobbing around on the ferry mid estuary, off to get breakfast in Padstow.
Phew, the other way round is good news. Sorry to scare any European travellers.

My excuse is I was bobbing around on the ferry mid estuary, off to get breakfast in Padstow.

OK, that's just showing off

Rock to Padstow Joseanne.
A lovely scenic ferry service.
Lunch at Rick Stein’s seafood restaurant ?

Ha ha, yes, just bobbed back now. I think I'll save Stein's for another day!
Ferry crossing same price as last year if I remember, no inflated prices (though there were inflated life jackets to hand!) And the puppy went for free. Jolly mood.
Plenty of people drinking coffees in cafés and eating brunches which is where this thread started. People are obviously still pushing the boat out and spending on these kind of treats. So interviewers can find different people to say different things.

I'm sure the people who are being most affected by inflation are thrilled that there are still people who can push the boat out. Hope they all remember to doff their caps as a few pence are thrown in their collecting tins.

volver

^My excuse is I was bobbing around on the ferry mid estuary, off to get breakfast in Padstow.^

OK, that's just showing off

Par for the course.

growstuff

volver

My excuse is I was bobbing around on the ferry mid estuary, off to get breakfast in Padstow.

OK, that's just showing off

Par for the course.

I was joking though. I'm sure Joseanne knew that.

volver

growstuff

volver

My excuse is I was bobbing around on the ferry mid estuary, off to get breakfast in Padstow.

OK, that's just showing off

Par for the course.

I was joking though. I'm sure Joseanne knew that.

I guessed you were. I’ve been on the water taxi, it costs the same as a bus ride - it’s not the same as saying you were travelling in your 200 foot personal yacht, now that would be showing off!

Yes, but going from Rock to Padstow is posh whichever way you travel!

???

Callistemon21

Yes, but going from Rock to Padstow is posh whichever way you travel!

???

Not as posh as going from Barry to Porthcawl though obviously Callistemon21.

Ooh no!

That's well lush!

?

Casdon

Callistemon21

Yes, but going from Rock to Padstow is posh whichever way you travel!

???

Not as posh as going from Barry to Porthcawl though obviously Callistemon21.

Is there really a ferry that goes between Porthcawl and Barry. Ah memories of the fair at Barry Island many years ago.

Casdon

volver

growstuff

volver

My excuse is I was bobbing around on the ferry mid estuary, off to get breakfast in Padstow.

OK, that's just showing off

Par for the course.

I was joking though. I'm sure Joseanne knew that.

I guessed you were. I’ve been on the water taxi, it costs the same as a bus ride - it’s not the same as saying you were travelling in your 200 foot personal yacht, now that would be showing off!

Mine's the one in the far right corner with the 30' mast. I couldn't use it today because it was having a drinks fridge fitted!