Bank profits rise again, as homeowners face costlier home loans
Cost-cutting, reductions in bad debt, and expanding mortgage lending have swelled banks’ profits.
Banks’ after-tax profits for the last three months of 2021 jumped by 6.7 per cent to $1.61 billion from $1.51b in the previous three months, analysis by KPMG shows.
But the upward rise in profits could be challenged this year by inflation, rising interest rates and falling house prices, said John Kensington, KPMG’s head of banking and finance.
Once upon a time when the Left were more focused on class and economics, we would have had a plethora of responses to this madness.
The economic stress TDB has been pointing out for sometime will hurt everyone except the very rich…
Leading economist says inflation will worsen, could see Kiwis pay ‘bit more’ towards their mortgage
A leading economist has a grim outlook for inflation over the rest of the year saying “it’s not going away soon” and could result in Kiwis paying more for their mortgages.
…sadly the entire movement is infected by woke identity politics with no intellectual muscle beyond micro aggression policing and cancelling people on Twitter.
The Right look for recruits, the Left look for traitors and right now, the dangerous far right are winning. The Dumb Lives Matter violence on Parliament’s Lawns proved that.
Thanks to Middle Class Marxists, the Left have spent more energy on virtue signals than hegemonic economic reform.
Look at this…
…In 2010, the 388 richest individuals owned more wealth than half of the entire human population on Earth
By 2015, this number was reduced to only 62 individuals
In 2018, it was 42
In 2019, it was down to only 26 individuals who own more wealth than 3.8 billion people.
And in 2021, 20 people own more than 50% of the entire planet.
This isn’t democracy, this is a feudal plutocracy on a burning Earth!
Labour have failed us over 5 years because they had no plan to scare the public service into serving the public. They see the lumpenproletariat on Parliament’s lawns as an embarrassing reminder that they haven’t been transformational and so label all protestors as Nazis.
Because all the Left are intellectually capable of is deplatforming opinions they don’t like and calling that progress, the powers that be continue to milk billions in profits to the detriment of the very people the Left claims to care about!
We need to tax the banks!
Financial Transaction Tax – TAX BANKS!
Society needs money for social infrastructure and to rapidly adapt to the climate crisis. It is unacceptable that citizens pay more tax. A Financial Transaction Tax set at .001 cent would capture all those speculators who trade and the banks that enable their gambling. Hit the corporates with this tax and the beauty is that it’s unavoidable because every electronic financial transaction is recorded. This would see billions available each year and start to push back on corporate power.
Keeping Covid out isn’t enough. Those 200 000 kids in poverty, those 25 000 on emergency housing wait lists, the 50 000 households living in poverty and the generations locked out of home ownership deserve better.
We need to be kinder to individuals and crueller to corporations.
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Remember poor man’s Gordon Brown and Beetroot Orr pumped the majority of $100B into unsustainable one-off capital purchases secured by landed assets. You can’t blame banks if the government encouraged them.
This is all on Robertson as he swept all his shit spending choices under the carpet and bet on house price inflation as being a good thing.
Oh, the homeowners… oh, the propertied class! *clutches pearls* Nothing wrong with renting for life like a regular peasant, eh 😉
But there’s one thing guaranteed.
Whether it be a LINO or the NATZ government that get voted in next year.
Nothing will change. The moaning will carry on and shit will happen.
Neoliberalism is well and truly embedded into the kiwi psyche.
Unfortunately…
“Thanks to Middle Class Marxists”
Nope, thanks to Labour.
National too of course, but then that is not surprising.
What IS surprising is that Labour have proven more effective at it.
“Greedy NZ Banks make more while you suffer – tax them, tax them now!”
But yea, but nah.
JUST the banks?
Listening to David Kluk just now on Checkpoint, my reckons are he could go half way to saving Labour’s bacon at the next erectionb ib regards to supermarkets – who are also creaming it.
Problem is, he’s waiting for advice from ‘officials’
It seems nothing can happen these days without the OK from ‘officials’.
Maybe we should elect ‘officials; rather than membranes of parliament. It’d eliminate the necessity for the elite having to piss in each others’ pockets and improve electorate accountability.
As for the banks – if we applied the same criteria we do to expats and their immigrant enterage (read baggage), none of them would be “of good character” and their residency would have been reclinded decades ago. Ain’t that right @BossHogg’s’lilgurlie and your wonder gurls (if they’re not on another deep and meaningful career building course, or updating their LinkedIn profiles)
the excuse of listening to officials is a standard pollies excuse for not implementing a good idea
pardon the mistakes in the comment. It’s what happens when you combine interruptions with arthritic fingers and other shite. But you get the idea hopefully.
And yes @gagarin. The pollie and the official exist to piss in each others pockets. (self preservation)
THEY clearly don’t want to fix the problems, they just want to look like they’re trying to fix it.
Never mind taxing the, as you put it, ‘NZ Banks’. Get rid of them instead. Ban them from operating here. Asset strip them, then kick what’s left of them out.
Then, conduct a very, very public inquiry into exactly how, and who, it was that enabled them in their greed in the beginning.
ANZ? That’s jonky’s bank. Enough said.
ASB, that’s an Auckland Bank as the name suggests, so, sorry? Pardon? What does Auckland export to earn foreign exchange again? Tourists?
BNZ? Well, that was a jimbo bolger/fay/richwhite con job. jimbo The Bolger took what was to be a superannuation payment increase for our old people here and instead effectively paid fay/richwhite group to skim it on to National Australia Bank. That cost the AO/NZ taxpayer $300 million.
Westpac. That’s not a NZ bank so why’s it mentioned here? And why do so many of our systems use westpac? Like the Police, the tax department and WINZ, if I’m correct.
Taxing the banks merely gives them further purchase in our AO/NZ’s economy thus effectively further legitimising them. Think of it as laundering their tarnished image? ” Oh, well that’s ok then. Since the banks now pay higher tax rates it must be ok for them to continue to fuck us on the deal then.”
The banks are responsible for the ludicrous house price scam, the cost of food and other essentials and if we tax them, they’ll simply increase charges etc to cover that cost increase. Get rid of the bastards. We don’t need them.
The greedy banks and their property speculator mates made a killing with John Key’s Rock star economy between 2010 and 2017 and also Labour 2020/21. $6bn went to Aussie thru those aussie banks and the NZ economy is the loser. Luxon is inviting banks and speculators back on the tit if he is govt.
Tax every single person who tries to get ahead by buying some stock? That is ridiculous. It doesnt tax just banks, it slams you & me too. Come up with another solution.
the banks have a choice…accept a lower level of profit and pay tax or fuck off back to oz…
‘costs’ don’t have to be ‘passed on’ that’s a lie, margins can just as easily be cut….maybe not by the local dairy but banks ain’t skint.
of course none of the spineless pollies on either side will actually put that choice to them
The current Labour Government’s refusal to put in a mortgage moratorium during the pandemic is large part responsible for Labour’s drop in the polls, and the rise of the far right.
The disgruntled small business people, retailers and workers who lost business and jobs during the pandemic, could have been protected if the government had brought in a rent and mortgage moratorium.
While everyone else suffered the banksters continued to make huge profits right through the pandemic.
Labour’s reluctance to bring in emergency measures to limit the banks profit takings from rents and mortgages, created a huge pool of people who could not afford their business premises on reduced income.
This huge pool of disgruntled people were fodder for the far right and conspiracy theorists, feeding into far right politics.
But it was not always that way. Before the Labour Party became infected with neo-liberalism, to overcome past major crises a Labour Government would not have hesitated in imposing a mortgage and rental moratorium.
…..by 1931, it was clear that further intervention was necessary to prevent widespread foreclosures and mortgagee sales…..
…..This Act also extended to lessees [renters] the same protection
that had been granted to mortgagors,
The modification of mortgage conditions was not new in New Zealand. A ‘mortgage moratorium’ had been imposed as a war measure in 1914,
http://www.nzjh.auckland.ac.nz/docs/1987/NZJH_21_2_03.pdf
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