Bank of England solves entire financial and debt crisis

[-:Undertaker:-]

http://www.telegraph.co.uk/finance/e...f-England.html

Pensioners biggest winners from QE - Bank of England

Pensioners and older workers have gained the most from quantitative easing despite claims that they have been hardest hit by the policy, a Bank of England study has shown.

The Bank has been under attack for months from pensioner groups who have claimed the Bank’s £375bn of money printing has triggered a "death spiral" in pensions, by slashing income from annuity rates.

However, the Bank fought back on Thursday by claiming pensioners have gained from QE and that the effect on those preparing to retire has been “broadly neutral”.

Those to have suffered from the Bank’s response to the financial crisis and recession have been the young and the poor, the study found, while the richest 10pc the population are estimated to have seen their wealth rise by more than £120,000 per household.

Pensioner groups have argued that QE has forced down gilt yields and, consequently, reduced the value of annuities bought on retirement. However, the Bank claimed that the lower interest payments had been offset by an increase in the size of the pension pot used to buy the annuity.

In addition, the Bank said that QE had helped “boosted the value of households’ financial wealth held outside pension funds” by about £600bn. More than half of those holdings are held by people aged 55 and over, and roughly 40pc by the richest 5pc of households, the study said.

Well there we go, according to the Bank of England and it's Mugabenomics programme of printing money out of thin air, printing £300bn odd doesn't just make us £300bn better off - it makes us £600bn better off! well there we have it, so the Bank of England just needs to print another few lots of £300bn and all our debts will be written off, after which there'll be rainbows in the sky and we'll all be happy happy happy.

Solved, just like that! wow, why were we even worried about the debt/economy when we have such geniuses in charge?

Thoughts?

[FlyingJesus]

The populus: "Excuse me you kinda messed up here, we're losing a lot of money"
Government: "Bank of England, is this true?"
Bank of England: "Nope"
Govt&Media: "Well that settles that"

[GirlNextDoor15]

that was my wishful thinking when i was like 10.