like the queen this thread will never die: in which we ALL resign (ourselves to disgusting miseries to post-boris politics 2022)

US system also has property taxes so perhaps the long fixed rate mortgages are developed on that assumption.

How do you mean, gyac? How does property tax in the US differ from council tax in the UK, in order to to make a difference to the fix of a mortgage?

was it 20 years ago? when all the big UK lenders heavily pushed endowment mortgages at customers, at one point it was hard to get any other kind. that went well

(When I bought my flat in the early 00s, ISTR I fixed for 5 years and there were longer fixes available, 10 years was the longest I recall. The longer they were, the more expensive they got and so 5 years was a balance between the security of the fix and the additional expense.)

tim i guess that makes sense. i think you're saying something like ... fixed rates are more expensive than variable rates to price in the increased risk over 30 years rather than 5. the increased risk is lower US because the the central bank's behavior is more predictable because it dominates the world economy more than, e.g. the BoE.

BoE is not lifting a finger. The markets were looking for a rate rise today/this week.

---

Andrew Bailey says that the Bank is monitoring developments in financial markets “very closely” in light of the significant repricing of financial assets.

And he says that the Bank will make a full assessment of the government’s Growth Plan at its next scheduled meeting in early November.

Bailey says:

In recent weeks, the Government has made a number of important announcements. The Government’s Energy Price Guarantee will reduce the near-term peak in inflation. Last Friday the Government announced its Growth Plan, on which the Chancellor has provided further detail in his statement today. I welcome the Government’s commitment to sustainable economic growth, and to the role of the Office for Budget Responsibility in its assessment of prospects for the economy and public finances.

The role of monetary policy is to ensure that demand does not get ahead of supply in a way that leads to more inflation over the medium term. As the MPC has made clear, it will make a full assessment at its next scheduled meeting of the impact on demand and inflation from the Government’s announcements, and the fall in sterling, and act accordingly.

The MPC will not hesitate to change interest rates as necessary to return inflation to the 2% target sustainably in the medium term, in line with its remit.

xp I don't think it was just the global dominance thing, I think it was something to do with a guaranteeing effect of Freddie Mac and Fannie Mae, but my knowledge has run out I'm afraid.

ah that would make sense too.

More awfulness to come:

New: A token to reassure markets from the Chancellor 👇

🏦 Kwarteng 'will set out his medium-term fiscal plan on 23 November'.
🏦 Will come with an OBR forecast.
🏦 Full Budget delayed to Spring.
🏦 Abandoned new spending review putting the squeeze on departmental budgets. pic.twitter.com/Q1wquZLUUj

— Tom Witherow (@TomWitherow) September 26, 2022

fannie mae etc. allows a bank to more easily/cheaply guarantee a mortgage will be repaid, which would reduce risk over 30 years.

state price controls are fine in the US as long as you're rich enough to buy a house apparently.

presumably mortgages in the uk are not backed the same way, which means banks charge more.

anyway, as you were. just curious why anyone in the uk gives a shit about interest rates given how the mortgage market there works.

How do you mean, gyac? How does property tax in the US differ from council tax in the UK, in order to to make a difference to the fix of a mortgage?

They definitely are!

anyway, as you were. just curious why anyone in the uk gives a shit about interest rates given how the mortgage market there works.

ok. always fun to chat.

Likewise.

i have no memory of that post, but reading it back it's a bad post and it barely makes sense. sorry.

Here are other American internet ppl reacting to mortgage rates

I always forget that mortgage rates in Europe and the uk aren’t fixed https://t.co/mnl9w4RCE3

— suzuki ingmar burgman (@xoayquanh) September 26, 2022

Great, any party will have to deal with Lib Dems till the end of civilization. I vote dictatorship.

BREAKING: Labour conference just voted to support Proportional Representation.

— LCER (@Labour4PR) September 26, 2022

xp: another American who is devastated at these rates.

Aghast to learn the UK has a substantial number of mortgage holders with floating rates. The coming crisis will absolutely devastate a lot of peoples' lives, with lots of folks possibly losing their homes https://t.co/aug2hmgdGW

— René 🟥 (@rcmoya84) September 26, 2022

he should read the bit on money saving expert where lewis tells uk borrowers not to worry about variable rates.

it’s almost as if it were grossly immoral to profit from a system that loads up so much risk onto families and individuals borrowing money for shelter sorry just gonna stop myself there

i thought PR was off the table so conference will just be ignored?

well apparently not. great news for Femi and other melts

What a weird photo

Great to be on the same team as @GNev2. pic.twitter.com/nUCzpSXdfE

— Keir Starmer (@Keir_Starmer) September 26, 2022

Money is made up so..

If it is true that the Tories leaked information to Truss supporting hedge fund managers about the mini-budget which allowed them to make billions by betting that the pound will fall, then this is a scandal of Watergate proportions which should bury them for a generation pic.twitter.com/g3S1RrIH0A

— Stephen Reicher (@ReicherStephen) September 26, 2022

FT looking for a cut in spending with a heavy heart 💓

https://www.ft.com/content/d357477c-4021-4fb2-adfd-73cfc20f014c

Bullish bets and going long on the pound would mean hedge funds lost money, mind.

https://www.tomorrowspapers.co.uk/wp-content/uploads/2022/09/Daily-Star-20.jpg

a+ headline

Haha...yes!

I hate to admit it, but Keir Starmer is good at politics.

The most mentioned word in Machiavelli's Prince is 'necessity'. Doing what is necessary is all Starmer is driven by. The left should watch, and learn. Me for @unherdhttps://t.co/dRK4A12kM6

— Aaron Bastani (@AaronBastani) September 26, 2022

If he convinces enough people that the poll lead is because Labour is the party of rules and responsibility, it's going to be a very long rest of eternity.

i think we can expect some genuinely socially unpleasant stuff from a Kieth government, but as with everything in UK politics i get no sense of the reality of how much of the public is invested in him or Labour from social/media, polls etc

one of the most important reasons not to vote Labour for me is the hope that these creeps won't be able to claim a mandate based solely on dislike for the incumbents

hah hah did Bastani lose a bet or something.

(xp) That's how it works though.

Lilico knows

I still think the market reaction was mainly to what the mini-Budget said about the BoE decision, but I've thought of a potential secondary factor. The market may have felt that the mini-Budget implied a Labour victory in 2024/25 is more likely than they had previously thought.+

— Andrew Lilico (@andrew_lilico) September 26, 2022

The odd thing about Bastani's claims now is that he has frequently stated before that KS is *bad* at politics, because inexperienced. So he seems to be U-turning on this particular assertion.

PR and electoral reform would be good. It is good that the Labour conference voted for them. The fact that the Labour leadership then states they will ignore this shows that what conference votes for is meaningless and they might as well not hold a conference. The media do not mention this last fact.

i imagine the implied hook of bastani's piece is that this piece represents -- or just plain presents -- an epiphany (which is indeed a fancy greek term for u-turn)

i'm also guessing that he only properly read machiavelli pretty recently and it BLEW. HIS. MIND.

but the second bit may be unfair (also unfair: i'm not going to read this piece, bcz no one needs to read bastani in any longer format than the tweet)

He has been talking about things like Machiavelli for years - I think this is a long-term reference point for him. Part of his schtick is to use very old theories and models, especially eg: Italian Renaissance, amid C21 modernity.

lol sounds like i'd enjoy reading him (not going to tho)

writing it in unherd is the cherry on the cake. He frequently has made bad grandstanding posts and then later taken an opposite position with no acknowledgement that he was previously full of shit - as seen in some of the replies when he's posting about The Labour Files. I'm not going to give a click to unherd or this daft cunt, but he seems to have done a reverse version of what I described here. Another of his previous takes was Kieth is bad at politics and his politics are bad, but you've still got to vote for him.

What is Unherd? Is it like Spiked or something, right-wing libertarian?

yes pretty similar and right-wing libertarian. The funny thing is, apparently they don't even pay that much.

A second Woodrow has hit the Bastani

— labourfan69 (@labourfan69) September 26, 2022

https://unherd.com/author/terry-eagleton/

😃

it has pretensions to being an inclusive intellectual journal albeit one weighted towards the right -- and at one time it *did* i believe pay quite well but no longer (tho as is the way of things it may bung useful names a lot more than e.g. mere scribblers like me) (i have never pitched to unherd)

tbf i don't think it's as flagrantly and needily cynical as sp!ked but what is

Jeremy Corbyn’s Labour would crush civil society
BY ROGER SCRUTON

time to see if the salisbury review still exists

it does!

oh yeah Pinefox, I forgot to mention Douglas Murray has written a lot for them.