Standard of living to plunge at fastest rate since 1920s

[OwlHoot]

BoEs job is to keep inflation under control - they might be "independent" but if they are not doing their job (which evidently is the case), what are the mechanisms for this "independent" body to get some reality check, ie fired?

When it comes to this kind of thing you're so naive.

[Peoplesoft bloke]

I find it quite amusing how Mervyn thinks he can sway employers and employees to leave wages alone during a period of massive inflation.....



i.e. If you push your bosses for higher salaries, we'll only raise interest rates and hence your mortgage repayments.... So suck up your pay cuts, and enjoy your tripe sandwiches!

It is the popular concensus now - no wage rises for workforce - huge bonuses rises and pensons for top brass and if you don't like it you're fired. It's a consequence of giving up trade unions.

[lilelvis2000]

Bank of England chief Mervyn King: standard of living to plunge at fastest rate since 1920s - Telegraph

Highlights of his beamingly positive and optimistic economic forecast include:

• Biggest threat facing the Bank’s Monetary Policy Committee was rising inflation
  
• No imminent hope of a rise in interest rates in coming months because of the poor economic outlook
  
• Savers and “those who behaved prudently” would be among the biggest losers in the squeeze
  
• Boom times for bankers

Rising inflation - what he left out was that it was HE who created the rising inflation (with a bit of help from he pal in the US).

Bankers win - again. Perhaps we should just hand the keys to country to them?