Design a site like this with
Get started

And the poor get poorer. #financefriday

This week interest rates went up across Europe and the US, piling on the misery. They have been too low for years though, robbing the thrifty who save and invest their money. The rich however have been borrowing money at ultra-low interest rates to invest, while spending their own money on more and more property. The rich got richer and the poor got poorer. Now we are all poorer because of this bad management of the economy. Increasing the money supply a little is a good thing but the Bank of England printed shed loads of money during the 2008 crisis and then again during the covid pandemic. Then it had a bail out the pension funds during the Kwarteng catastrophe.


It has been another bad week for investors. Even banks, which should benefit from higher interest rates are in the doldrums along with the rest of the market. Small investors are getting screwed again. I’ve been spending over £8 a day just on energy and keeping warm. My heating system didn’t get the house up to temperature so today I have more radiators on to try to hit at least 23C!

I wasn’t looking forward to going out to my car but I decided to check it today. The doors were frozen stuck and the whole thing was covered in ice and snow. The battery seems low but it did start so I’ve left it running after using hot water to thaw the driver’s door. It’s costing money just to unfreeze the car. I might need to use it tomorrow hence I had to take action today. The temperature outside is 1C now but there is no sign of anything thawing.

Looking at the stock market, I see Natwest and Standard Chartered are on the up and so it’s not all bad news. I think those traders in the city get moody and sell on days like this and are more likely to buy when their mood is more positive. Unfortunately, sunny days are quite a long way off. Let us hope they all go out for Christmas drinks and we get a late Santa Rally!

I’m quite thrifty and frugal and so I have a little cash to invest and I’m not too worried about the extortionate energy bills we all have to pay. I am going to be less frugal this Christmas though and have family coming for food and drinks this weekend. I think I’ve spent more on Christmas gifts too. I’m getting on a bit now and I can’t take it with me. I shall be cooking soup to have before my Christmas dinner, I think. I’m cooking a duck with all the trimmings and will have a glass or three of port with it. I’m not sure if soup will mix with that. I have a delicate digestive system! Anyway, I’m not rich but not too poor either, so I’m grateful for what I do have.


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: