An aul Clare flag would do the trick surely would it, have it hanging off a tree or something where no one could see it.
It is. There will be food rationing by the end of the year in some areas reliant on wheat and sunflower oil to name two examples. Food inflation is going to go bananas as the cost of materials and production and logistics goes through the roof. There will be casualties soon. Leon closed their retail outlets yesterday
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100% , for anyone with assets held. Absolutely.
You couldn’t say its a good thing for us broadly as a nation with the national debt we have now though, mate.
Things could get cut back very quickly if the national debt interest rate even increased by 3/4’s of one percent.
I don’t think it is good for the economy at the rate we are seeing it at the moment it is out of control. But it isn’t a bad thing for the national debt in the long term
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Inflation is fantastic for the national debt.
That is a fair summation. But could we end up borrowing more off the back of said inflation?
Inflation is exactly why you never pay down your mortgage early
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In a functioning financial system it is.
Most likely we will
Exactly. I’d be concerned about that to be honest. Its 40 years since we’ve had inflation at this rate and we’re already carrying a crazy national debt relative to GDP.
Repayments could be called in earlier. Rates even 50 basis points higher annually etc will mean less government spending.
People on fixed incomes particularly the elderly if this inflation continues at this rate are in for a hard time.
Its not good lads.
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It’s one of the hidden reasons to buy vs rent. Owners can fix the mortgage and inflation will reduce the real value of the debt. If you are renting on a fixed income you’re goosed.
It will continue at this rate for another 12 months anyway. And little or nothing can be done really they are worldwide issues
At the moment we have massive inflation, massive payroll inflation, a scarcity of labour, energy costs doubling for geopolitical reasons and likely worldwide food shortages on the way. Buckle in
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Fact
There is a fuel allowance for those facing fuel poverty
Will it be sufficient though, mate?
With the current trajectory of energy prices - it will need to be increased substantially.
People facing fuel poverty should avail pf thevgree retrofitting
Councils need to step up too
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I agree totallly. But with the greatest will in the world, it won’t be done before next winter unfortunately.
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It is, and it isn’t. Depends on the bond/gilt market.
We never paid back the crippling national debt of the 80’s early 90’s we just inflated it away. The ECB has been more than a decade desperately attempting to kick start inflation for that reason. They didn’t really want it like this, but you would hope the nature of this inflation i.e. the war, supply chain breakdowns due to covid zealots etc. is that it will pass after a time and can be managed without massive interest rate spikes
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Ireland is in an odd position in all this. The wage is far higher than other countries across pretty much all trades and professions, propped up by fdir. If this starts to wane, as all empires must, it’s going to be a slog. We are staring down the barrel of inflation from a starting point of sky high wages and prices already. Competition from places like Poland, with a highly intelligent multi-lingual young workforce is what I would fear, as they have a huge geographical advantage. Once they learn to duck and dive with the MNC’s tax payments like we do, we are in trouble as transport becomes an issue.
With the infrastructure we have, I’d worry in the medium term. The low corporate high individual tax policy has worked well as the prevailing wind has been pretty favourable, but we need another Charlie Haughey badly.
The interest rate has little to do with us, for better or worse.
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