Off Topic The Politics Thread

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Should the UK remain a part of the EU or leave?

  • Stay in

    Votes: 56 47.9%

  • Get out

    Votes: 61 52.1%
  • Total voters
    117
  • Poll closed .
sb_73 said:
No, because the equivalent interest rate cut would be from 15% to 7.5%. I understand why they have done it, but I don't think it will make a shred of positive difference on its own and will make the people who can least afford it have harder lives, if only fractionally. But hurrah we can rack up more debt and bigger mortgages on relatively lower rates.
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No, it's a 0.25% cut, not a 7.5% cut. Don't fudge the numbers, mate. It's a cut of a quarter of one percent, nothing more extreme than that.
 
durbar2003 said:
It's actually a 50 % cut
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No, it's a cut from a rate of 0.5% to a rate of 0.25%. Every £100 invested earns 25p less a year. Whether that's from a level of 50p or £15, the actual reduction in interest paid is the same - 25p for every £100.
 
TheBigDipper said:
This. The rate has been reduced by 0.25% from 0.5%, resulting in a cut of 50% in the interest actually paid. If you are a prudent yet cautious person with savings, on a fixed income, using your interest income of £300 per month to pay bills, this leaves you with a deficit of 50%.
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If you are earning £300 interest a month, at 0.5% your capital is £720,000. Hardly poverty line stuff.
 
Chaz said:
No, it's a cut from a rate of 0.5% to a rate of 0.25%. Every £100 invested earns 25p less a year. Whether that's from a level of 50p or £15, the actual reduction in interest paid is the same - 25p for every £100.
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Chaz "never knowingly prepared to give ground" ™

It's a simple difference between an absolute figure and a ratio. The Bank of England rate has been reduced by 0.25%, which is a 50% cut on the previous rate. To repeat your example, the same cut to a 15% interest rate would equate to 7.5%.

Whatever, if you have looked after your finances and are debt free with some savings, you are being taken for a mug. I may be wrong but I thought you were an admirer of Thatcher, with all of her 'prudence' and irrelevant references to domestic budgeting. What we are seeing is the prudent being punished. For who's benefit? Not business, because the ****ing banks still aren't lending any of their money, which was apparently the point of this.

The Bank is financing its £60bn of quantative easing by a reverse auction (buy back) of long term gilts. These are the things that banks, insurance companies and pensions like as they help them hedge against long term liabilities. So we are mortgaging our future, yet again, for some wing and a prayer stuff on the short term economy.

Apparently the new Duke of Westminster will be paying virtually no inheritance tax on his £9bn windfall. Now there's a surprise.
 
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sb_73 said:
Chaz "never knowingly prepared to give ground" ™

It's a simple difference between an absolute figure and a ratio. The Bank of England rate has been reduced by 0.25%, which is a 50% cut on the previous rate. To repeat your example, the same cut to a 15% interest rate would equate to 7.5%.

Whatever, if you have looked after your finances and are debt free with some savings, you are being taken for a mug. I may be wrong but I thought you were an admirer of Thatcher, with all of her 'prudence' and irrelevant references to domestic budgeting. What we are seeing is the prudent being punished. For who's benefit? Not business, because the ****ing banks still aren't lending any of their money, which was apparently the point of this.

The Bank is financing its £60bn of quantative easing by a reverse auction (buy back) of long term gilts. These are the things that banks, insurance companies and pensions like as they help them hedge against long term liabilities. So we are mortgaging our future, yet again, for some wing and a prayer stuff on the short term economy.

Apparently the new Duke of Westminster will be paying virtually no inheritance tax on his £9bn windfall. Now there's a surprise.
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Whatever way you want to paint it, it's an ACTUAL cut of 0.25 percent, which means a reduction in interest earned of 25p for every £100. That's the absolute figure, and the one that people will actually experience. Your figure of 50% is so high due simply to the very low interest rates we've had for years now. It actually doesn't matter a jot what the rate was before, and what it is now. The number that people need to focus on is the difference between the amount of interest they earned before and the amount they now earn - which is 25p for every £100 invested.

Any debate on that will be tainted by hatred for bankers - something tangible, but not anything that will affect the actual numbers involved.
 
durbar2003 said:
The rate has been cut 50%, 0.50% to 0.25% . Chaz, stop.
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The rate has been cut from 0.5% to 0.25%, a drop of 0.25%, Durbar. YOU stop.

What is important is the AMOUNT of interest people will receive, not the starting point before the cut. And that has reduced by 25p for every £100 invested. That's the important number, not some arbitrary number based on what was already an extremely low base.
 
Chaz said:
The rate has been cut from 0.5% to 0.25%, a drop of 0.25%, Durbar. YOU stop.

What is important is the AMOUNT of interest people will receive, not the starting point before the cut. And that has reduced by 25p for every £100 invested. That's the important number, not some arbitrary number based on what was already an extremely low base.
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Whatever.
 
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