Official: UK Inflation tops 20%

Today’s M4 money supply announcement: 18.8% year on year.  That’s a huge increase in money sloshing around.

The real figure for inflation is the difference between money supply growth and growth in the real economy.  But the latter is negative: -2.8% projected by IMF.  That makes the annual rate of inflation 21.6%.

With politically-distorted interest rates around 20% lower than that (-20% real interest), it’s no wonder noone wants to lend money!