Black Monday anyone? The tories should be in jail

[Upthebracket22]

The pound is now at its lowest point against the dollar since decimalisation in 1971 at 1.03. It’s probably going lower and the Bank of England will likely need to step in with an emergency interest rate rise today. Black Monday possibly?

All because of the mini budget on Friday. The Tories should be in jail. Especially if their rich backers were shorting the pound as it appears to get rich.

In a way, it is weirdly fascinating to see the mental gymnastics that some Tory supporters are going through at the moment. They must know, in their hearts, that they're on a hiding to nothing, but still can't quite bring themselves to admit it. The cognitive dissonance must be astounding.

What is the driver for this total capitulation to The Party? What do they think is going to happen if they turn around and say, actually this is fucking madness?

The markets aren't chopping the UK because of a £2b tax cut, its because KK has no plan on how the UK will pay back £200billion of extra borrowing or rather the markets have no faith in his plan.

I'd advise anyone who has a pension log in to have a look at the value of their work or yet to be taken pension.

Welcome to hell. Most working people will be so tapped and worn out trying to keep a roof over their heads and food on the table they will be broken and despondent of trying to fight back. Like Truss has said she admires the China work ethic or Singapore-on-Thames as they put it. She's worth 12 million btw and after her services to her billionaire chums when she leaves office she will get to 50 without sweating. In China, they sometimes shoot corrupt officials maybe we could learn from that.

“996” schedule — which means being available to employers from 9am to 9pm, six days a week — a “huge blessing” for young workers. “If you don’t put out more time and energy than others, how can you achieve the success you want?” Ma posted on Weibo, referencing the early days of building his e-commerce empire.

Agree. We are heading to a crash.
Businesses will close on a massive scale. House repossessions and evictions. More visible street homelessness. Higher crime rates. Riots. Mass redundancies. Stretchers of dying people in A&E corridors. Queues round hospital buildings. A general strike. No public transport. Bins overflowing. Rats on pavements. The smell. The army in public to keep the peace.

But the rich will be ok so nothing will change.

Remind me of the Chancellor’s qualifications for the job.

Friend of Crispin Odey's iirc. How convenient.

Many of the people you are accusing of being Tories are floating voters who think ALL politicians are criminals.

@Cherrygenoa, what do you think the government should do? Giving the money to people to spend is a bad idea according to you and should be kept with the government instead? And you trust them to spend better than people would do themselves?

We do need growth. We need to put money in the pockets of people who will spend it, not give to people to store in banks and who have clever accountants to help them not pay tax. If you want money to circulate then give it to the poor.

This budget was the final straw and annoyed off such a disparate range of groups, from the National Trust to the Trussel Trust, moderate tories, farmers, NHS workers, manufacturers. And SME owners, who can’t personally take advantage of tax cuts if their business is undermined by a weak wider economy or lack of infrastructure investment / poorly workers because the NHS is in such a state.

I think there will be a general strike, calls for an election. Enough is enough are making plans but it could go much wider than the usual suspects.

Gosh yes, better run to Downing Street, I might be late. Got a country to run after all. Better stop wasting my time on Mumsnet.

😁😁😁😁😁😁😁😁

It's back up at 1.0750 since London opened. FTSE is rising too, it needs a few days to settle. I'm not panicking at the moment.

He has PhD in economics from Cambridge doesn’t he?

The Tories inherited massive debts. You can't turn that around in months or even a few years.

They did inherit massive debts, following the world wide banking crisis. They have had a decade to do something about it, which they allegedly tried to do with years and years of Austerity measures, so far more than months or even a few years.

So basically exactly what would have happened during Covid if there hadn’t been the huge bailout. This shit was always going to bite. You can’t print vast swathes of money whilst people were paid to not work and then come out the other side in a great position. What we hadn’t bet on was fucking Putin dragging the continent into a war the crafty little devil. Yes we are now completely skint. Hopefully we’ll now qualify for aid and perhaps some of the developing countries will through some cash our way.

*throw

Well they're not voters then, floating or otherwise. They're fence-sitters, and a big part of the problem.

They don’t want money being spent by poor people. That fuels inflation and they’re trying to stop the high prices setting into the economy. They’re trying to give tax relief to the people that create businesses and jobs to get the economy moving. It’s a gamble though and no one is convinced it will work.

The markets aren't chopping the UK because of a £2b tax cut, its because KK has no plan on how the UK will pay back £200billion of extra borrowing or rather the markets have no faith in his plan

Yes, I agree with this. The cuts were a bad idea.

I'd advise anyone who has a pension log in to have a look at the value of their work or yet to be taken pension

Have you done this today? What magnitude of changes are you expecting to see?

@vera99 - agree. comparing U.K. to Singapore is stupid. U.K. want to emulate the low tax, but don’t want to emulate the govt support for local business and low and middle earners (massive social housing, subsidising public transport, taxes on luxury goods and cars, investments in local businesses).

Please tone down the rhetoric here, no need to call for politicians to get shot

This is why the markets are UK negative. No OBR report makes it look as if this was a pure gamble based on gut-feeling. The markets do not 'trust Truss'. Bit of a misnomer that and neither is the cabinet 'conservative' any more.

Interest rate rises are beyond forecasts of the last 6 months. The sort of debt that has to be funded will need some substantial compound annual growth rates in the UK economy. That is not going to happen for some time and requires some degree of societal confidence, which is not going to happen in a high interest and high inflation environment. The Conservatives will lose votes from many sections of the electorate who voted for them before. Labour does not provide an effective alternative. What is needed is trust and those who voted conservative last time, who will be willing to vote away, do not see a clear choice. That is the elephant in the room.

So basically exactly what would have happened during Covid if there hadn’t been the huge bailout. This shit was always going to bite. You can’t print vast swathes of money whilst people were paid to not work and then come out the other side in a great position

Not sure that we were in a fantastic position pre Covid, debt as a percentage of GDP was 78% prior to covid, its gone up to 96% now and the Government are keen to borrow more ?

Yeah, they are getting screwed as well (unless they are super rich and they don't as rule I think post on Mumsnet!) and their children they are getting royally screwed. We are looking down the barrel now of an everything crash with a PM driver that wants to accelerate into the oncoming brick wall.

Boris (this is the only time I ever want to use that name!) would never have done this shit probably as he would have realised how unpopular it would be. Dominic Cummings has described Truss as “about as close to properly crackers as anybody I’ve met in parliament”.

Markets have no confidence in sterling, that is not going to help anyone.

What is absolutely crazy is that this is entirely self inflicted but even crazier is you think giving people a tax cut means people will collectively pool their money and build a road/hospital or school.

10yr Gilt yields are over 4% & rising, they were 0.5 last year.

Not true. Fence sitters will decide where to vote nearer the time. We watch and listen and make a decision based on policies. Completely non- problematic.

The real problem is those so entrenched into the loyalty of a party that they can’t see the wood for the trees. You think Labour holds the answer to this? Absolute nonsense. You think Conservatives hold the answer? Nope. We are going to wade through this horse shit until times get better or worse and there’s not a damn thing we can do about it.