Friday, 5 December 2008

Prepare to have your savings stolen.

Its time for "Grand Theft Gordo"

Well, there was always a risk of it happening in the open instead of by the back door via Government Debt. The BoE is preparing to reduce the value of our savings by starting up the printing presses.

Imagine if you were a brewery and you had a warehouse containing full barrels of beer, your savings. The State is coming. It is driving up in a tanker full of water. It is about to break into your warehouse, water down your beer and then cart off that tanker; not with the water it came with, oh no, but a load of your now diluted beer so it can sell it off for its own profit. This is called theft in all other circumstances. 

For some reason it is "permitted" for the BoE to steal my wealth. This is happening in part because the BoE is instructed to protect against price inflation. All those years while true currency inflation was being masked by cheaper imports, the BoE kept interest rates artificially low. This is frankly absurd. The BoE should be there to stabilise the value of the currency, for it has an obligation to uphold its value to those who have exchanged their wealth for those same promissory notes the BoE issues.

Get ready for a "Quantitative Fisting".

The BBC are complicit. They call it a "cash injection". No, it is a SALINE injection into a body that is already suffering from anaemia. Once complete, the blood-letting will recommence.

We really will be Les Miserables!

RED! The ink for overdrawn. BLACK! The heart of Gordon Brown.
RED! Our future they will pawn! BLACK! The abyss they'll pull us down!


Stef said...

Whilst I agree in principle with your concerns I wouldn't let all the 'savers' off the hook

It's one thing, say, to put aside a portion of your income every week or month

An altogether different thing to score a few hundred k selling your deceased auntie's overvalued house at the top of a property boom

At least a portion of the 'savings' now at risk owe their existence to the debt bubble which now threatens to consume them

The galling part will be that those of modest means who, through thrift, common sense and luck, managed to come out slightly on top thus far are about to be fleeced, whilst those much higher up the food chain are certainly going to keep their much larger gains

Roger Thornhill said...

I am not interested in envy politics.

Any attempt to differentiate between two groups will, IMHO, introduce more injustice than could ever have been "solved" even if you believe there is something to solve in the first place.

The idea that people up the food chain will "certainly" keep their gains is not something I hold.