Why Mervyn King doesn’t give a toss about inflation

For more than two years, the Bank of England’s monthly inflation forecasts have been wrong. Every single time. In any other job, you’d get fired for such incompetence. But in our overpaid, self-serving, useless public sector, such incompetence is the rule rather than the exception. But is it really incompetence? Or dishonesty? After all, it’s much better for King and his appropriately-named number two, Mr. Bean, to forecast lower inflation and then to be “surprised” that “outside events” have pushed inflation higher than expected, than to admit they are deliberately using high inflation to lower the country’s debts. Remember, King and Bean have inflation-protected salaries and pensions so they don’t give a toss about how high inflation actually goes – they’re all right Jack.

Inflation is basically a tax on savers, particularly pensioners. It impoverishes savers while reducing borrowers’ debt levels. Savers are being fleeced, but King and Bean will live the rest of their lives like multi-millionaires – at our expense.