Right! That was before the post brexit red tape nightmare with piles of Uk fish and lamb rotting instead of being delivered on a daily basis as in good old time. 
Maybe Truss is a Russian spy.
@caricature , " back in the EU !!"
Wot goods that! Dyou think their gonna bail us out?? NTF !
Best thing to do is cancel their borrowing plans FCS!!
Mei, one of the reasons for leaving Brexit was the red tape the EU created. No surprises that there’ll be some on our way out.
If you are answering my China comment … it dates back to a BBC article 2020 .
1 Like
Which other country’s central bank has had to introduce emergency measures to prevent many pension funds becoming insolvent due to the run on government bonds? Certainly there are elements of common problems but no other country is experience the financial crisis that the UK has given itself.
2 Likes
How long have you got strathmore?
The Chief Secretary to the Treasury, Chris Philp, will write to government departments in the coming days about and identifying spending efficiencies and living within the spending review, a Whitehall source has confirmed.
Weakened pound rallies against the dollar
The weakened pound has rallied more than 1% against the dollar, taking its value to $1.0843.
Few Conservative MPs are commenting publicly about Chancellor Kwasi Kwarteng’s handling of the economic turmoil sparked by his mini-budget - but they are not mincing their words in off-the-record conversations.
Inept, humiliating, naive and reckless are just some of the words that have cropped up.
What is so irritating to many of them is that this financial instability was predicted - by none other than former chancellor and leadership candidate Rishi Sunak.
One Tory MP told us: “Kwasi is a clever man but economic theory has just collided with political and market reality.”
Another MP said the chancellor had hugely overestimated the level and speed at which economic growth could be generated by the measures announced.
One rapidly approaching date in Mr Kwarteng’s diary is his speech to the Conservative Party conference in Birmingham on Monday. Hardly the backdrop he would have wanted to his first as chancellor.
The Tories will probably close ranks in public but there might well be dissension off-camera … 
1 Like
Wonder when the stamps with Charles III will be issued. There’ll be a few envelopes with them on them landing on the Graham Brady’s doormat soon, to go with those that have already been sent.
1 Like
Whatever way you look at it its worrying.
1 Like
OGF - I don’t think they are ever doing it deliberately just all incompetent?
2 Likes
An investment fund manager friend just posted that the reason for the interest hikes is to safeguard pension funds. So pension fund companies are going broke because of trusseconomics…
2 Likes
Just watching Peston, and they were discussing this very point. Really not looking very good at all.
1 Like
I saw this earlier but wasn’t sure what it meant so I thought I must have missed something - now I know:
The Bank of England stepped in to calm markets after some types of pension funds were at risk of collapse.
It pledged to buy £65bn government bonds after Friday’s mini-budget sparked turmoil on financial markets and the pound plunged.
Investors had demanded a much higher return for investing in government bonds, causing some to halve in value.
Pension funds, which invest in bonds, were forced to start selling, sparking fears of a fresh market downturn.
The Bank said its decision to buy government bonds at an “urgent pace” was driven by concern over “a material risk to UK financial stability.”
The government borrows money to fund its spending plans by selling bonds, or “gilts”, to investors such as pension funds and big banks on international markets.
But a collapse in the price of those bonds was forcing some pension funds to sell gilts and assets, further forcing down the price.
If that process had continued, there was a risk that those pension funds could have got to a position where they couldn’t pay their debts.
To stop this from happening the Bank said it would buy around £65bn of gilts on Wednesday.
Editorial Comment:
The Bank will now, for a temporary period, buy up government bonds in unlimited quantities. But it was not a decision made by the Bank’s Monetary Policy Committee, who were informed of the decision after it was made by the Bank’s financial experts.
It comes at exactly the same time as that committee had been committed to do the exact reverse policy - selling government debt. That process was due to start next week and has now been delayed.
It is a massive intervention, and while it will not solve the government’s problems, it might buy them some time.
But it could confuse markets about the clarity of policy making and lines of accountability.
So, the left hand doesn’t know what the right hand is doing … what a shambles … 
any tory party member who voted for this madness should have their personal assets confiscated
1 Like
I’ve got a tiny ISA which I set up a few years ago and haven’t done much with. It’s interesting to have a look at it every so often. Had a nosey earlier, and it’s dropped from circa 18% profit a few weeks ago to 2.3%. Pretty much every company invested in has dropped in value. The market is not a happy place, so no wonder pensions are in big trouble.
1 Like
Hi
People often complain about Public Servants not doing their job and not following the rule of Parliament.
The Bank of England was given far more powers after the 2008 Financial Crash and they have just used them to stop another crash, this time of Pension Funds.
The decision was made by men in suits immediately it was necessary and was a big call which could cost some or all of them their jobs.
We now have a Government which is hell bent on deregulation and no criticism or action by the experts who are paid to protect us.
A Government who lifted the cap on Bankers Bonuses which was designed to stop such things happening.
A few bankers made hundreds of millions this week by betting against the £ and putting millions of pensions at risk.
This is just stupid, the people who did this are stupid and treat us with such contempt that they do not even apologize.
Our politicians are out of control and this applies to politicians of all Parties., Corbyn and Abbott as well as Truss and Rees Mogg.
A lot of the problem lies with us,the Voters, for electing idiots rather than reasonable competent people to run the country.
We have to find a way of stopping this happening.
2 Likes