• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

Doomed

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    Doomed

    http://news.bbc.co.uk/1/hi/business/7120460.stm

    Mortgage lenders have made a plea for the Bank of England to cut interest rates to shore up their finances.
    The latest report from the Council of Mortgage Lenders (CML) warns that, "funding pressures have started to crystallise for a number of lenders".

    It says their ability to borrow from other financial institutions is getting worse, not better.

    The CML calls on the Bank of England to cut interest rates sooner rather than later.

    If that gap cannot be made up by lenders borrowing in the wholesale markets then the mortgage tap may be turned off.

    "Firms have various other options, including the ability to influence the volumes of new lending business they write in line with their funding pipeline," said the CML.

    "But, the overall impact is to limit the availability of mortgage credit and to raise its cost for prospective borrowers," it warned.



    But inflation is rocketing. If BoE cut interest rates, we'll just see an even bigger debt bubble form.

    #2
    But inflation is rocketing. If BoE cut interest rates, we'll just see an even bigger debt bubble form.

    Soon be lot's of cheap repossessed properties on the market for me then
    Confusion is a natural state of being

    Comment


      #3
      Originally posted by DimPrawn View Post
      But inflation is rocketing. If BoE cut interest rates, we'll just see an even bigger debt bubble form.
      I'd settle for them sustaining the debt bubble for another year or so, 'cos then I'd have time to sell up and watch things go BOOM from a safe distance.

      Comment


        #4
        just as a tangent - anyone knows where the BoE got £25bn from to shore up
        Northern Rock?
        How fortunate for governments that the people they administer don't think

        Comment


          #5
          Originally posted by Troll View Post
          just as a tangent - anyone knows where the BoE got £25bn from to shore up
          Northern Rock?
          Contractors mostly
          Confusion is a natural state of being

          Comment


            #6
            Originally posted by Diver View Post
            Contractors mostly
            not me matey... make yer gross your nett that's my motto

            HTH
            Last edited by Troll; 30 November 2007, 11:05.
            How fortunate for governments that the people they administer don't think

            Comment


              #7
              Originally posted by Troll View Post
              just as a tangent - anyone knows where the BoE got £25bn from to shore up Northern Rock?
              It's created from nothing. The oldest trick in banking - charge interest on money that never really existed.

              Comment


                #8
                Originally posted by Troll View Post
                just as a tangent - anyone knows where the BoE got £25bn from to shore up
                Northern Rock?
                Lets see. Imagine you are the BoE and you have all these lovely machines that can print money, and a load of banks suddenly need to borrow billions of pounds.

                How might you resolve this problem in a very short-termist way?

                Comment


                  #9
                  Originally posted by DimPrawn View Post
                  Lets see. Imagine you are the BoE and you have all these lovely machines that can print money, and a load of banks suddenly need to borrow billions of pounds.

                  How might you resolve this problem in a very short-termist way?

                  Hey that sounds familiar!! any other countries done this? I expect it's all different this time because it's backed up by all that bullion in the BoE's vaults
                  How fortunate for governments that the people they administer don't think

                  Comment


                    #10
                    Originally posted by DimPrawn View Post
                    Lets see. Imagine you are the BoE and you have all these lovely machines that can print money, and a load of banks suddenly need to borrow billions of pounds.

                    How might you resolve this problem in a very short-termist way?

                    Hey that sounds strangely familiar!! are there any other countries that have done this?

                    But I expect it's all different this time because it's backed up by all that bullion in the BoE's vaults
                    How fortunate for governments that the people they administer don't think

                    Comment

                    Working...
                    X