Property will devalue. People will lose hundreds of thousands of pounds that they have invested throughout their lives. They will be priced out of their homes, unable to sell them because why would you sell your home and be left with a mortgage 5x the amount that it sold for. The economy will need resetting because inflation can’t just go up indefinitely.
this is a great example of the cyclical nature of the economy, history repeating itself.
1980's - house prices in the UK were easily within the reach of the average person on £15k per annum salary, prices were on an upward trajectory. Late 1980s into the 1990s, Interest rates overheated, demand and pressure to own rather than rent led to over-inflated house prices and an eventual crash in demand, homeowners who bought at the top of the market "handing back their house keys" to banks/mortgage providers because they couldn't afford the monthly mortgage payments, suffering negative equity.
Exactly the same economic conditions as now! Plus people losing their jobs due to challenging trading conditions... just like now.
As I was always told, do everything you can to stay in work, now isn't the time to take risks. Don't move house and take on more debt. Keep as much financial stability as you can. Batten down the hatches and the storm will pass. It always does.
During the Pandemic (anyone remember COVID, the last apocalypse on here where everyone was speculating if the world would come to an end?), people on here would flame anyone who dared talk about survival during WWII when our economy was on its knees. Those people weren't prepared to look to lessons from the past, having to survive with rationing, because they were so used to nipping to Tesco or Asda and plentiful food supplies, and seeing empty shelves was freaking them out. What do they think it was like in the 1950's when production hadn't yet recovered!
UK has always survived, we have great talent and resilience - who designed the C19 vaccine, who invented the internet? Two Brits, in our lifetime!