Have we hit rock bottom yet?

[StanleyB]

This fall in the £ is causing quite a few problems. I don't know how companies who are reliant on imports can avoid increasing their prices almost by the week. So far I have seen my own FOB prices go up by 25% since August. I passed on 10% up to last week, but had to add another 5% this week in order to cover my last batch of goods. That means that I am having to absorb 10% of the increased costs.
But how are you guys in the trade who do business with foreign suppliers and customers handling the currency situation?

[Labarum]

I wonder what will happen if the Bank of England drops the Bank Rate more. Stirling might rise. Many say it was impossibly high before.

[Clive]

I wonder what will happen if the Bank of England drops the Bank Rate more. Stirling might rise. Many say it was impossibly high before.

Lot's of talk about parity with the Euro is coming.....however it's also unclear how the single currency will cope with the requirements of countries as diverse as Poland, Slovenia, Gemany and France etc.

[Labarum]

Lot's of talk about parity with the Euro is coming.....however it's also unclear how the single currency will cope with the requirements of countries as diverse as Poland, Slovenia, Gemany and France etc.

Do you mean parity? 1 Euro = £1

or do you mean joining the Eurozone and scrapping the Pond?

I think any Government that tried it would fall.

[Clive]

Do you mean parity? 1 Euro = £1

or do you mean joining the Eurozone and scrapping the Pond?

I think any Government that tried it would fall.

1€ = £1 is what I meant but it may not happen as the Euro will have it's own problems due to diverse economies.

[Filterlab]

I think any Government that tried it would fall.

I think the poxy Government we have at the moment are more than capable of doing that without trying some kind of bailout financial idiocy.

[Primalsea]

Everyone goes on about the weak pound making our exports more competitive. While this is true people tend to overlook something. That is that the many years of having a strong pound completely phuct manufacturing in this country. This means that everyone has to import, now using a weak pound.

Interest rate dropping will cause some more strangeness. When rate lower estate agents want to put property up as people can afford larger mortages. However with no one buying at the moment increasing prices will compound this.

Unfortunately it seems the government has been very reactionary on many things. The house price boom meant thay they enjoyed more income through duty's. Thats great for the short term but it must have been obvious that the arse would fall out of it at some point. Instead of long term plans they just waited until it happened.

If you think about it you have a load of overpaid tossers running the country who get well paid, super pensions, yearly increases and bonuses whether they do a good job or a shit one. They are completely sheltered from the effects of their bad work while the poorest people suffer as a result.

Many political figures have done nothing else ever outside of politics and have no idea the crap people have to deal with. I wonder how many of these people have ever had to deal with not having enough money to put petrol in their car to get to work? I like many of us had to go without just to be able to afford to go to work when I first moved out of home.


Well I feel better for letting that out anyway

[Spectral Morn]

Hi guys

Just watch I would not put it past this government to argue the need to join the euro zone fully. They will do it and take us all to hell. And the people of the UK will just act like sheep and do nothing.

Those that man the barricades will be few in number.

D S D L ------ Neil

[Primalsea]

All it takes for evil to prevail is for good men and women to do nothing

[The Grand Wazoo]

Hmmm,

Yes, dropping interest rates in order to make folks spend is a good idea.

They can borrow some cash to spend & it'll be great for everyone.

But, hang on a minute, the reason the banks have money to lend is because some people are savers rather than borrowers.

The savers are now being discouraged to save because the interest rate is so bleedin' low.

So where's the money going to come from to lend to the borrowers???

Oh, yes of course, the taxpayers..............

.......hang on, the taxpayers are the borrowers AND the savers.

It's simple, the Govt. in the form of taxpayers borrowed a load of cash to buy some banks.
Now we need to go and spend our money & perhaps borrow some more from the banks (that we now own) so they can charge us interest (on the money we taxpayers bought them out with).

What don't you understand?