Where do you think the “inflation” started?
Too many people with time on their hands with free money to spend…
Even now you’ll notice an all-time high of fancy SUVs and 4x4s on the roads, people taking foreign holidays like they’re going out of fashion, and of course “refusing to take jobs” in the UK, leaving the UK still needing EEs to come and do our jobs for us…
As everyone knows, I moaned extensively about the furlough money NOT going out to everyone who got stood down during the lockdown as it could and should have been…
Now this time has come to “Pay the Piper” - all we mortals can do to side-step the bill which we never partook of - is cut your working hours so that your total pay just drops UNDER the new treshold for higher taxes…
“A Life-work Balance” needs to be fulfilled here, I reckon…
Who really wants to work 60-80 hour weeks to earn the same level of disposable income as they did 5 years ago?
2018:
Mortgage payment might be £150 a month
Car Finance payment might be £300 a month.
Food shop for 2 adults and 2.2 kids - £400 a month.
Dual-Fuel energy bill - £80 a month.
Rent: £900 a month
2023:
Mortgage Payment - £1150 a month
Car finance payment - £300 a month
Food shop - £900 a month
Dual Fuel Energy Bill - £400 a month
Rent: £1000 a month…
Guess what folks? If you are renting AND you got furloughed - you became MILES better off than everyone else during the lockdown, and now of course beyond as well!
Notice no increase in car finance payments neither…
So…Most people are going to go for more stuff that has NOT risen in price, rather than sacrifice “unnecessary spending” to meet the higher overheads that don’t actually affect students, generation rent, and of course people living on tick all along…
I gave up drinking alchohol during the lockdown, partly because I couldn’t afford it, but also for the better reason that it was starting to make me feel ill…
I’d already given up foreign holidays and smoking years before, so I can’t really blame the lockdown for that.
The main thing I have changed since 2020 though is “no more 55-60 hour weeks for me”. I’m happy doing 35-40 hours now, and intend to stay that way as long as I am able.
I’m sweating though that the mortgage rate might yet go up another 2% adding a further £200 a month to my mortgage payments…
The main saving I make is not working 6 shifts a week any longer, and going to/from work “out of rush hour” as to save fuel on that as well.
“What you don’t spend” is as good as “windfall cash” if you think about it.
I’ve not included Vehicle Fuel, as that’s pretty much back where it started, 130-140p per litre range.