Shocking threat to inflation in the UK!

[AtW]

TV prices to go up after Christmas
Up by a third
By Nick Farrell
Tuesday, 16 December 2008, 07:57

IF YOU ARE PLANNING to buy a new telly, it is probably better that you do so now, as manufacturers are planning to jack the prices up by nearly a third next year. Or so the makers would like you to think

While punters are staying away from buying TVs and years of price warfare has taken its toll on manufacturers' profits, it seems that the poor lambs have had enough.

According to AP, the TV manufactures are warning that they will increase the prices of TVs by 30 per cent early in the New Year.

Retailers can currently keep prices low because they have shedloads of inventory on hand. But currency values have plummeted in most western countries and retailers will have to start buying new stock early next year at the new exchange rate.

Sony have said that they will increase the cost of televisions by between ten and 30 per cent early in the New Year. Panasonic and Samsung also have suggested that they can't hold their current pricing either and will have to increase the price.

Either that or it's just another fiendish plot to get you to buy that new 42-inch plasma sooner rather than later. Hmmm... sneaky! µ

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Source: http://www.theinquirer.net/inquirer/...fter-christmas

That could take inflation up to 10% easy!

[BrilloPad]

Their sales will go through the floor then : people will repair or get second hand.

What proportion do electronic goods contribute to inflation index anyway?

[TimberWolf]

The government may have to remove electrical goods from the price inflation index. After all with the pound falling against the Yen (60% in 6 months), foreign goods are going to become more expensive, and therefore price inflation would otherwise go up.

Haven't the recent drop in house prices also in affect pushed inflation into the teens? After all, a house worth two Chinese villages 6 months ago is now only worth one, so the money is worth less. This probably isn't strictly called inflation, but the effect is the same in a global economy. Our money is worth less.