Mark Carney has said he will not raise the interest rate until unemployment drops below 7 percent. The head of the Bank Of England has told the BBC that they would consider raising interests rates until UK unemployment drops to 7 percent or lower. He has admitted that this would take 3 years and the creation of 75,000 jobs.
This sounds like good news to me. From what I gather interest rates bump up prices of certain things like houses and loans. So if they’re going to stay at a flat rate for a while this has to be good. People can’t afford stuff in this country and prices are getting higher and higher. There’s going to be a point where nobody in Britain will be able to afford anything.
There’s also talk of creating more jobs. In a time when all you hear is the public sector is loosing jobs and the public sector has to cut jobs to survive, it’s actually refreshing to hear someone actually talk about creating jobs instead of cutting them then saying ‘That we’re all in it together’.
Granted savers are going to complain about this but you are not going to please everybody.
I don’t know much about Carney but I’m starting to like him. He done well with the Bank of Canada and it looks like he going to pull us out of recession.