LACK OF INTEREST

Call me cynical but I wanted to share with the world yet another disappointing snippet. 

Following on from the Bank of England’s recent decision to raise the base rate to kerb rampaging inflation, I decided to set up a petition for the Government to legislate and make it mandatory for all banks to pass on any base rate increases to both borrowers AND savers at the same time.

 

Going up but not for savers

As we all know, financial institutions like energy companies or petrol retailers, ALWAYS fail to pass on anything that might benefit punters.  When the price of oil decreases, do we see a drop in petrol prices at the pumps?  No, of course not.  When the wholesale price of electricity goes down, do we see our bills reduce?  Not in a million years.  When the base rate is increased, do savers get to receive more interest for any cash invested in a bank or building society?  Hell will freeze over before we do. 

Most financial institutions immediately pass on any base rate increases to borrowers but rarely to savers, brazenly pocketing the difference safe in the knowledge that they are untouchable.  They fail to behave ‘in the spirit’ but are rarely punished by the Bank of England or anyone else hence my petition because really it is time for the Government to step in here.  Its time for the Fat Cats to share the cream instead of selfishly keeping it all to themselves.  Enough is enough!

 

Summed up brilliantly on Reddit

In true revolutionary spirit, I set up an online petition, got the requisite number of people to support it only to be swatted away by the hand of bureaucracy like an annoying fly.  Here’s the reply I received to justify the reason why this or any other Government is unlikely to do anything to remedy the unfairness of the situation: 

Sorry, we can’t accept your petition – “Legislate so it's mandatory for banks to pass on interest rate rises to savers”.

It’s about something that the UK Government or Parliament is not directly responsible for.

We can't accept your petition because the UK Government and Parliament aren't responsible for the issue you raise. Interest rates are a commercial decision for banks and not the UK Government or Parliament.

Well forgive me for being stupid but I had always been under the impression that it is most clearly the Government’s job to pass legislation.  They were quick enough to legislate for all those pandemic rules we were blindly expected to follow but NOT to pass legislation that might in any way be of benefit to the population at large and encourage more people to put something away for that rainy day.  All they want is for us to spend, spend, spend and keep the consumerist economic gravy train running. 

We’ll soon be reading headlines reporting record profits made by banks and no doubt, shareholders will be amply rewarded with a hefty dividend whilst those who provide these institutions with the very moolah for them to lend out will be kicked again and again until like a booted dog we slink off into the shadows, punished for our disobedience. 

At least I tried.  Perhaps rather than setting up a silly petition, I should have superglued myself to the front door of my local Lloyds Bank branch to prevent anyone else turning up to deposit any more cash with these profit mongering vampires. 

And yes Boris, I will be voting LABOUR at the next election in the hope that Sir Keir might finally have the balls to implement the Windfall Tax he’s been threating to on these greedy, money grabbing corporations.

If only it were true