Zero percent fantasies.

Last year I made a video describing how the Bank of England were to my eyes far too optimistic about the economy:

Their chief economist back then, Andy Haldane had boasted that UK households had stashed billions in savings that were about to be unleashed upon the post Covid economy.

I was quite stunned as I thought this would have a negligible effect on the economy, but his job was to talk up the economy so that was that.

Fast forward to early 2022 and the signs were not looking good at all. So I made another video describing how my hunch had been proven correct as the bad economic news started to pile up:

Fast forward even further to May 2022 and the situation is looking dire. There is no way you can keep interest rates at zero percent without huge consequences. The zero percent fantasy party is over, it's time for pay back for all those years of easy money.

Zero percent interest rates have ruined the UK. It has fuelled a crazy housing bubble and encouraged people to accumulate debt piles. It's made a whole generation of younger people virtually homeless, relegated to the state of perpetual renters.

I can remember when the interest rates were 6% or so back in 2006, and the world was just fine. Now they are freaking out over a small increase to merely 1%. Ridiculous.