Bank of England continues with 81% of investments in Index-Linked Gilts!
As was exactly the case for last year, as pointed out by this blogger, the Bank of England pension fund retains more than 81% of its investments in gilts giving returns tied to UK inflation.
All the indications, including the above fact, which is surely the best guidance of all, is that another round of printing garbage-bin bound banknotes is about to begin.
As John Redwood points out this morning, in a post titled "Inflation is 5.2% – so let’s print some more money" linked here:
It is timely to repeat two postings both made in February 2009, which warned of the inevitable consequences of this policy, which are already clearly in evidence, one of which indicated David Cameron's complete indifference to the plight of the British people, as was so clearly illustrated in the completely callous, Conservative Party Political broadcast, last evening (see here):
The above was avoided by cancelling Prime Minister's Questions the following week, and there has, as far as I can trace, never been a parliamentary debate on this policy ever since, but I would welcome being corrected on that point:
All the indications, including the above fact, which is surely the best guidance of all, is that another round of printing garbage-bin bound banknotes is about to begin.
As John Redwood points out this morning, in a post titled "Inflation is 5.2% – so let’s print some more money" linked here:
The problem the MPC should grasp is that the main cause of the economy slowing is the high inflation they have allowed. Last year people’s real incomes fell, leading to a fall in private sector consumption. The main cause of the fall was the inroad made into people’s personal budgets by the big rises in the prices of essentials like energy, and the tax increaes to help pay for the large public sector.
The MPC’s interest rate strategy has cut the living standards of the prudent by slashing interest rates on savings. It has cut the value of everyone’s income, owing to the inflation. It allows the governemnt to borrow at very low rates at the expense of everyone else. Small and medium sized enterprises and individuals do not borrow at anything like the low interest rates we hear about as the MPC’s great success.
The MPC’s interest rate strategy has cut the living standards of the prudent by slashing interest rates on savings. It has cut the value of everyone’s income, owing to the inflation. It allows the governemnt to borrow at very low rates at the expense of everyone else. Small and medium sized enterprises and individuals do not borrow at anything like the low interest rates we hear about as the MPC’s great success.
It is timely to repeat two postings both made in February 2009, which warned of the inevitable consequences of this policy, which are already clearly in evidence, one of which indicated David Cameron's complete indifference to the plight of the British people, as was so clearly illustrated in the completely callous, Conservative Party Political broadcast, last evening (see here):
Wednesday, February 18, 2009
Surely Parliament should vote before trashing the currency?
A report in This is Money, linked here, states that the MPC of the Bank of England voted 9-0 in favour of printing money without resources thus trashing all our pensions and savings. The article states that this will proceed on receipt of a letter from the expenses fiddling Scot Alistair Darling, I quote: The minutes said: 'The committee unanimously agreed the Governor should write on its behalf to the Chancellor to seek authority to conduct purchases of government and other securities, financed by the creation of central bank money.' What is Parliament for if not to at least have a vote to prevent such a disgusting betrayal, destroying at a stroke the hard work and savings of millions of citizens?
Surely Parliament should vote before trashing the currency?
A report in This is Money, linked here, states that the MPC of the Bank of England voted 9-0 in favour of printing money without resources thus trashing all our pensions and savings. The article states that this will proceed on receipt of a letter from the expenses fiddling Scot Alistair Darling, I quote: The minutes said: 'The committee unanimously agreed the Governor should write on its behalf to the Chancellor to seek authority to conduct purchases of government and other securities, financed by the creation of central bank money.' What is Parliament for if not to at least have a vote to prevent such a disgusting betrayal, destroying at a stroke the hard work and savings of millions of citizens?
The above was avoided by cancelling Prime Minister's Questions the following week, and there has, as far as I can trace, never been a parliamentary debate on this policy ever since, but I would welcome being corrected on that point:
Wednesday, February 25, 2009
Parliamentary Disrespect Towards the Nation
Last week the MPs at Westminster were on one of their almost constant holidays and thus unable to question the Prime Minister on his decision to begin the endless printing of banknotes to inevitably destroy the economy and thus the jobs, well-being, savings and pensions of the people of Britain. Shamefully they have now suspended today's opportunity to question the Prime Minister on this and other serious matters facing the nation at this moment of crisis. Yes it is tragic for the family of the Leader of the Opposition that he has lost his six year old son who has been ill since birth. The request to suspend PMQ was apparently at Gordon Brown's suggestion, who can be surprised at that. Cameron has done enough damage by his obvious distraction over the past many months, but to now permit the Opposition to concur in the suspension of PMQ should be the last chance he is given to let the drift continue! The action of Parliament, on top of the recent relevations of the shameful abuses of MP privileges is an absolute disgrace! There will now be a three week gap between the worst Prime Minister in Britain's history being asked to account for his woeful performance. This at a time when the Bank of England is likely to be authorised to trash the economy and accept hundreds of billions of pounds worth of more unlimited liabilities on the mainly English Taxpayer.
Labels: PMQ Suspension
Parliamentary Disrespect Towards the Nation
Last week the MPs at Westminster were on one of their almost constant holidays and thus unable to question the Prime Minister on his decision to begin the endless printing of banknotes to inevitably destroy the economy and thus the jobs, well-being, savings and pensions of the people of Britain. Shamefully they have now suspended today's opportunity to question the Prime Minister on this and other serious matters facing the nation at this moment of crisis. Yes it is tragic for the family of the Leader of the Opposition that he has lost his six year old son who has been ill since birth. The request to suspend PMQ was apparently at Gordon Brown's suggestion, who can be surprised at that. Cameron has done enough damage by his obvious distraction over the past many months, but to now permit the Opposition to concur in the suspension of PMQ should be the last chance he is given to let the drift continue! The action of Parliament, on top of the recent relevations of the shameful abuses of MP privileges is an absolute disgrace! There will now be a three week gap between the worst Prime Minister in Britain's history being asked to account for his woeful performance. This at a time when the Bank of England is likely to be authorised to trash the economy and accept hundreds of billions of pounds worth of more unlimited liabilities on the mainly English Taxpayer.
Labels: PMQ Suspension
Labels: Funny money, Quantitative Easing
posted by Martin at 8:33 AM
1 Comments:
I feel quite nauseous after watching that video. If anyone ever doubted how out of touch our politicians are, they now know.
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