“For many households, the pain limit has been passed”

Laura Hartman believes that the limit for the interest rate level has been passed.

— The situation is becoming increasingly absurd. Another interest rate hike will make no difference to inflation, which is already on the way down. The Riksbank puts unnecessary pressure on already severely vulnerable households, she says.

She directs criticism at what she believes is a lack of independent monetary policy on the part of the Riksbank.

— Just blindly following the ECB and other central banks is not sustainable. The Swedish economy differs on crucial points from other countries in Europe when it comes to wage formation and indebtedness.

“That’s when you should take advantage of the opportunity when you have an independent central bank, but you don’t do that now,” says Laura Hartman.

Two-part mode

Günther Mårder, CEO of Företagarna, emphasizes that it is mainly small businesses in the retail trade, service industry and construction that are affected by the strained economic situation.

— It is a bifurcated financial situation for several companies. At the same time, we see that Swedish export companies are benefiting now, among other things due to the weak Swedish krona.

He does not judge that the limit has been reached for when the Swedish economy is broken by the high interest rates, but points out that the consequences are already tangible.

The attitude to risk is affected

— Who is it that sits with Black Petter here? It is those between the ages of 25-40 who have moved to the big city from the small town, says Günther Mårder.

— They have acquired a high level of education, have a bright future ahead of them with relatively high lifetime incomes, have just started a family and bought a home in recent years. They have upgraded from having maybe two small homes to buying a large one.

This group’s attitude to risk will be affected for the rest of their lives, according to Günther Mårder.

— They will get a scar. In a similar way to how we saw a generation of 60s and 70s suffer serious heartburn during the housing crisis of the 1990s.

— This means that they will dare to take risks to a lesser extent, which has consequences such as lower pensions, fewer companies started and fewer who dare to resign from employment where they are unhappy. The entire pace of development in society is lowered if this occurs.

Tough autumn awaits

Nordea’s chief economist Annika Winsth assesses that today’s interest rate announcement will mean a tough autumn for households.

— Households have held up unexpectedly well, but there is an obvious risk that the autumn will be significantly tougher. There are retail companies that will have to draw on staff, then it is another signal to households that they have to hold on to their wallets.

“We don’t know where the pain limit is for how much the housing market can take.” Households will have to be more careful. They haven’t really taken to heart that it’s not finished but that there could be even more cost increases, adds Annika Winsth.

Social Democrats party leader Magdalena Andersson comments on the interest rate increase by criticizing the government’s economic policy.

— I think many households are worried. Many people are still feeling the effects of the electricity bills last summer. That is why it is important to have an economic policy that prioritizes ordinary households over high income earners, she tells TT.

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