Tuesday, 16 March 2010

This is £20...

...at the moment twenty quid is just under four hour's pay at minimum wage. For that note, you can (approximately) buy two tickets to a suburban cinema, a modest Chinese takeaway for a family of four or around half a tank of petrol in a small car. In many parts of the world, £20 is not a bad weekly wage. In many countries I have travelled to, £20 is ample for a full day's living; that is accommodation, food, travel and 'fun'.

£20 is the second highest denomination issued by the Bank of England (after the £50 note) and like the £5 (fiver) and £10 (tenner) notes it has it's own nickname – a Score.

At the moment, you would think twice before breaking a twenty pound note, but usually, most shops will have change for it, if spending a reasonable amount over £1 (say, £1.34). By the time you spend £2, most punters will expect change for a £20.

But how much will it be worth in a year? Or two years? Our currency is depreciating fast, and what may seem a small fortune to a worker in McDonalds, is going to (probably) seem pretty worthless in the near future. Wages will rise and any savings (ha!) that people may have will be wiped out.

An election is happening soon. And instead of dealing with matters of import, such as the economy, our current government seems more interested in dogs. Great.

Only those close to me knows who I am going to vote for, but here is a hint. I want the guys who are going to increase interest rates to get into power. Yes, I know the Bank of England is independent, but I wonder how much of the current policy is politically influenced? After all, no one wants repossessions thise close to an election (or ever) but the fact of the matter is that we a country that is living beyond its means. If we cannot pay off our debts, than we have to claim bankruptcy and let someone new take-over the running of the mess.

So yeah, how much will that £20 be worth in a year's time?

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