The minimum wage, which was introduced to ensure fair play, has seriously damaged potential homebuyers, in as much, that jobs in the private sector are nearly all, with a few exceptions, minimum wage. It is a way for business to cut their overheads. Thirty years ago, when I left the merchant navy, I researched who the top earners in the country were, and what they did. At that time, excluding professional people, it was salespeople. Out of the top 10% of earners at that time in this country there were salespeople.
They didn`t look for jobs based on an hourly rate, they looked at O.T.E, typically, a job would be advertised with say 15k basic, ote 32k. Obviously there were other jobs within different sectors that paid more, some less, but the big difference was you could bank on 30k in the above example. Don`t forget, I`m talking thirty years ago. Today, if you are on 30k a year, life is not too tough, but don`t forget, back then it was a good wage as well.
The point I`m trying to make is that everything has gone up! But 30k is still considered a decent wage! I`m not talking about the bankers who gamble on the stock market, just ordinary people, people who go to work, who have maybe a degree ending up on minimum wage! it`s shocking in this world, but true, you see “back in the day” if you didnt want to work for the butcher, for lets say £3.00 an hour, you could go to the chippy and see what they`d pay you, now its the same everywhere, the golden arches, minimum wage, that chicken place, minimum wage, honestly, you don`t stand a chance! I know that if you are there its because you have to be there, no choice,
In thirty years, 30k a year as a wage has remained pretty static, its still considered good money. Problem is you are never going to get a mortgage, average house price is what £180.000, £200.000? most brokers only lend at around 95% of annual income! The government has screwed you over old son! sorry. But there is hope. Look around you, you are in a high street surrounded by charity shops! know why? The smart money has retail outlets in posh places, regent st. etc. And they have an online presence! all you need to do is tap into that, another revenue stream, and you are laughing! why? because they have millions in their marketing budget! dont forget we are all skint all the time, But we are still one of the richest countries in the developed world!! how does that work? Mr Osbourne got it in his budget, buy 330 pints, the last one is free, and now you are so drunk you dont care!
till next time mate