Did the UK stage its own mini-financial crisis... and who was responsible?
This is Money Podcast
This is Money
4.1 • 650 Ratings
🗓️ 30 September 2022
⏱️ 63 minutes
🧾️ Download transcript
Summary
It has been an incredibly turbulent week for the UK economy as the Bank of England stepped in to protect pension funds, the pound hit a record low against the dollar before rebounding and lenders pulled mortgage deals to re-price them at far higher rates.
So, is the UK economy in crisis… again? How much is the Chancellor's 'mini' Budget to blame? Or was this the culmination of problems that stem from the Bank of England? And what can the Government and Bank do now?
This week, Georgie Frost, Simon Lambert and Lee Boyce tackle what has been a truly remarkable one in the world of personal finance with a message of: don't panic.
Simon gives an economics 101 on why the pound fell and why the Bank of England stepped in, seemingly with a u-turn on plans for quantitative tightening.
What is happening to mortgages? With lenders pulling deals and replacing them with higher rates, how will that impact first-time buyers, those looking to remortgage and the property market in general?
Will base rate continue to head higher and what does that mean? And a chink of light for savers: this week, NS&I boosted Premium Bonds, while savings rates continue to race higher.
Transcript
Click on a timestamp to play from that location
| 0:00.0 | Welcome to This Is Money Podcast. I'm Georgie Frost and joining me and editor Simon Lambert |
| 0:07.2 | today is Deputy Editor Lee Boyce. And coming up, what a week. What started with the record drop in the |
| 0:14.6 | pound in the early hours of Monday morning, moved on to bond yields spiraling mortgage deals |
| 0:18.9 | pulled left, right and centre in the Bank of England |
| 0:20.9 | forced to step in to protect pension funds. Is the UK economy in crisis? Again, how much is |
| 0:27.7 | the Chancellor's mini budget to blame? What can the government do now? Anything? Or are we all |
| 0:32.5 | going to hell in a handcart? Don't forget you to stay up to date with all the latest breaking money |
| 0:36.4 | news just go to this ismoney.co.com or download the app. Market updates and conversations around the financial |
| 0:43.1 | world don't have to be boring. The Digest and Invest podcast by E-Toro is a great way to tune into |
| 0:48.6 | what's happening in a fun and easily digestible format. Discover the Digest and Invest podcast |
| 0:54.0 | etorro.com forward slash |
| 0:55.6 | academy forward slash podcasts. But first, well, well, well, when we gave our debrief last week, |
| 1:03.0 | Simon Lee, on what we made of the Chancellor's mini budget, did we see any of this coming? |
| 1:08.8 | In this episode, we're going to break down what all this means |
| 1:11.1 | and then tell you what on earth you can do about it to protect your cash. But first, Simon, |
| 1:15.9 | in a nutshell, if you can, a rather large nutshell, I would imagine. Just give us a rundown of |
| 1:23.3 | what's been going on. I don't think we quite expected the full scale lurch from |
| 1:30.5 | inflation beaten struggling economy to full on mini financial crisis that we've seen over the |
| 1:38.7 | past week but i suppose you could have mapped out the path if you wanted to last Friday. |
| 1:46.0 | I think a lot of us thought the reaction last Friday to the mini budget would maybe peter out over the weekend and the start of this week. |
| 1:53.0 | But instead, it escalated. |
| 1:56.0 | Markets decided that they didn't like the look of the debt-funded tax cuts and the unfunded |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from This is Money, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of This is Money and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2025.