Letter from Mark Langabeer, Hastings and Rye Labour Member
The thirteenth interest rate rise will more than likely prove a disaster for most. The latest rise has been justified by both the Government and the Bank of England. Inflation remained the same and the representatives of big business want to reduce inflation at any price.
The Institute for Fiscal Studies say that the latest increase in interest rates will reduce the disposable income of 1-4 million people by a fifth. A recession and a return to mass unemployment is a price worth paying – that is the real message of this Government.
I was listening to a caller on the Nicky Campbell show on the radio, who described his situation. He was a resident in Northern Ireland and fell into mortgage arrears after losing his job during the Covid crises. He asked the mortgage provider to extend the mortgage for six months. They refused and the interest rate rises mean that his only alternative is to sell the property.
He said that we need a general election because nothing has improved over the last thirteen years of Tory rule. This was echoed by other callers. The labour movement must lead a mass movement to drive the Tories out and introduce socialist measures that can solve the current cost of living crisis.
