Building Societies feeling the pinch too?

I am so sorry for them, apparently the Building Societies are feeling the pinch too!

Don't you feel sorry for them? Mortgage rates at theri lowest ever and yet House sales are flat
 - I wonder why.

What did I say a few weeks ago? THis article in Money Mail, explains everything I was saying. 

I remember when Mortgage rate got to 15%! WE don't want that but stable (and low) bank rate is bad for Building Societies. They make their most "profits" on a steadily falling interest rate. They reduce the rate paid to savers immediately but fail to pass on the benefit of lower rates to borrowers for a month. Thus they gain from the borrowers with a bigger margin. If the housing market was steadily risingthen Buildinng Societies would feel safer lening closer to 100% LTV thus giving buyers a better chance to move up the market with smaller deposits required. Its not really the low interets rates that is the problem, great for borrowers so why is the Housing market flat? No confidence that prices will rise, and reluctance of the lenders to take a "risk" lending money.

Yes jolly old HMG can GIVE money (our money), to Private banks, (run for the profit of the Shareholders), who then go off and take massive bonuses and stop lending out to you and me, and promptly slash interest rates paid to us ggod folk who scrimp and save for our retirement (keeping this country afloat!).

So thanks Mr G.  Brown. I thought Labour were the party for the "Working man?" - silly me!