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1

TommyKaye,

UK 29/09/2008 01:02:51
Northern Rock, HBOS, Bradford and Bigley all on GORDON BROWNS watch oh dear prudence what happened to you.

Then he stumps up at the UN to say no more cheap credit he the man who has provided over the biggest credit giveaway the UK has ever seen.

Buy tinned food, get a gun and lock your doors GORDON BROWN is going to bring the country down.

2

,

29/09/2008 02:04:03
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3

,

29/09/2008 02:28:47
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4

Boy Wonder,

29/09/2008 07:36:23
I can't help think that a few rotten and greedy b*st*rds somewhere have made a small fortune out of all this financial mess ... and are rubbing their hands in glee at the havoc. I hope they die horribly!
5

OLD GIN,

METHIL LEVEN 29/09/2008 07:38:18
BACK TO NORHERN ROCK. IS IT NOT ABOUT TIME THEY STOPPED USEING OUR CASH TO Sponsor NEWCASTLE FC. THE DEAL WAS WITH THE PRIVATE COMPONY NOT THE NOT THE NEW GOVERMENT ONE/////
6

Evan Owen,

Snowdonia 29/09/2008 07:38:48
No word from Mr Greenspan? Can he comment on what is now unfolding AFTER he retired, Gordon Brown was just one of the sheep in the herd that followed Mr Greenspan. So much for the 'Masters of the Universe', they are the masters of diddley squat, they are 'experts' in nothing, zilch. They are simply elf-promoters with massive egos who mess on their own doorsteps, the Man on the Clapham Omnibus is left to clear it all up while dying penniless, homeless and miserable as sin. I hope it doesn't get as bad as I predicted it would, a year or more ago, this financial cancer is everywhere.
7

Red Tower,

Dunoon 29/09/2008 07:43:06
De-regulation was the "toxic" philosophy that caused the present financial crisis. De-regulation was the brainwave of Thatcher and Reagan. And Thatcher's children, Blair and Brown have kept strictly to mummy's doctrine.

To hand over the governance of Britain to Cameron's Tories in no way cures anything. The Conservatives still see the Iron Lady is someone to worshipped
8

A Better Way,

Scottish Republic 29/09/2008 07:46:31
Does the nationalisation mean Scotland own 10% of the combined bank, and come to think about it do we own 10% of the Bank of England as well.

Between them and our 10% of the Army,Navy and Raf equipment we should have a pretty terrific Defense Force in our Independent Country.

Does anyone know how to divide up the Trident Missiles. Oxy Acetelyne does a fairly good job I think.

10% of the crown estates and the complete assets register of the UK would give us a great income. We can take 10% of Westmonster Parliament. We should take our 10% brick by brick, and to do a good job we should take every bottom brick to see how it stands after that.
9

Marian,

29/09/2008 07:50:47
The chickens are now coming home to roost after 11 years of New Labour's "age of irresponsibility" (to quote G Brown himself). None of this needed to happen if the UK financial services industry had been properly controlled and managed as was done in other European countries who are escaping relatively unscathed by this disaster.
10

GrahamH,

Edinburgh 29/09/2008 08:08:43
All very fashionable to blame GB for this, but doesn't that deflect from the directors of financial institutions in general who took bonuses in the hundreds of thousands of pounds. These guys are the real villains.

Salary packages in total for individuals, worth millions of pounds and the justification being if one building society or insurance company didn't pay it another would.

The justification also being that these companies needed the 'best' people - look where these 'best' people have taken these companies.

These guys must have backed political parties or would surely have been pursued in the courts for this grand theft.
11

steve 1511,

aberdeen 29/09/2008 08:10:05
were doomed with broon i tell you ,doomed
12

Bigwull,

edinburgh 29/09/2008 08:14:22
Seems to me English banks get saved by the government, Scottish banks get allowed to die.
10 I think you'll find it was the other mob that deregulated the city institutions
13

Marian,

29/09/2008 08:19:08
To quote David Cameron “We have to ask the question, who brought us and our economy to this position? Who was it that spent and spent and borrowed and borrowed and gave us that massive Budget deficit? Who was it who said that he, and he alone, had rewritten the laws of economics to end boom and bust? The answer is our Prime Minister, the then Chancellor, Gordon Brown.”
14

Tynietiger,

29/09/2008 08:34:55
To quote a letter in to-day's Scotsman..
While it is true that many who have over-borrowed have only themselves to blame for the credit crunch, there is no banking crisis in France or Norway, where the central banks and governments do not encourage boom and burst economic policies.
It is the duty of the UK government to protect its citizens from the allure of 125 per cent mortgages, and Gordon Brown and Alistair Darling are culpable as they failed to take action when it was obvious the regulations were far too lax.
15

It's me!,

29/09/2008 08:55:52
#14 Demutualisation is the reason why these organisations have gone under. The greed perpetuated by Thatcher and her government are to blame. The chickens have come home. Unfortunately, it's the innocent who have suffered and the rip off merchants have prospered. The conservatives have a lot to answer for.
16

J.M.,

Cupar 29/09/2008 08:56:46
One thing seems to have escaped the notice of the public. The governments of the USA and the UK now own a huge percentage of the homes of their respective citizens. The Orwellian implications of this situation are extremely grave.
17

Voice of reason,

EDINBURGH 29/09/2008 09:10:47
bradford and Bingley is an English business so the job losses are nothing to do with us and are not our problem .
18

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29/09/2008 09:12:26
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19

Calum10,

29/09/2008 09:29:18
The taxpayer is now exposed to over £100 million of bad bank debts with Northern Rock and B&B - all thanks to that financial genius Gordon Brown.

Who needs novices when you have an irresponsible politician in Gordon Brown to muck things up large.
20

Red Tower,

Dunoon 29/09/2008 09:30:23
#14

I thought the day had long gone when anyone's faith in politicians was such that they saw them as messianic figures whose words could be quoted verbatim as gospel truth.

Such innocence however has a certain charm in this cynical age.
21

Voice of reason,

EDINBURGH 29/09/2008 09:31:44
16 - garbage . The last 10 years have been one big con by Labour who have deliberately encouraged the growth of credit to create a " feelgood " on the back of paper rises in house prices . They knew the mess the country was in but did nothing for political ends . The banks were reacting to irresponsible demand from consimers and yes they are partly to blame . Traditional , responsible tory bankers were ousted in favour of Blairite spivs who were only interested in their own commission . Oldies were pensioned off in favour of bright young things who clearly knew nothing about banking .
22

Alastair the First,

29/09/2008 09:37:23
As the song says: "Gordon is a Moron". insert the appropriate adjective before "moron". I'd suggest something beginning with "F"....
23

suchaparcelofrogues,

Scotland 29/09/2008 09:38:07
"Nationalisation of Bradford and Bingley is 'least worst option'"


Because its not a Scottish financial asset we can sell off to somebody else and weaken their constitutional position outside of the union.
24

Voice of reason,

EDINBURGH 29/09/2008 09:40:20
Gordon Brown , pensions thief . Amidst all the crises , let no-one forget what this criminal has done to our pensions , stealing tax credits to buy votes of families with children . Let's mobilise everyone on the streets at the next election . The incoming Tory Govt must restore tax credits immediately .
25

Alan B,

29/09/2008 09:44:39
#16

How can you seriously try to blame the tories for Browns sheer incompetetence. They have not even been in power for over 10yrs.

The failure here is that Brown changed the regulatory regime and the regulatary framework did not regulate with any prudence.

If there is a problem with demutualisation where they became banks then fundamentally you are saying is banks are not stable.

The problem is the drying up of the credit markets. ie banks lent money in mortgages funded by borrowing from other financial institutions. That rather than demutualisation is the problem. Institutions that did not demutualise did not have access to these financial instruments.

As there are 2 issues. One why and how to prevent the credit markets drying up. And secondly to limit banks lending to a proportion of its deposits so that they are not as dependent on the credit markets.
26

Red Tower,

Dunoon 29/09/2008 09:46:02
A Tory government with a massive majority is precisely what we don't want. Cemeron is in essence as much a child of Thatcher as Blair and Brown. And the Yuppies were born in her era.

The best possible result at the next election is a hung parliament. Big majorities create deaf governments.
27

Alan B,

29/09/2008 09:46:07
#Voice of reason

Completely agree. He only got away with plundering the pension funds as it take yrs to work its way through the system.

But it has been one of the most disgusting short term political stunts.
28

Doh,

29/09/2008 10:01:25
#26 Alan

Of course Labour are to blame for the credit boom and now the credit crunch.

But the reason they are to blame - is that they followed Tory policies of deregulation and mistaking greed for growth.

The Tory policy of demutalisation has been a disaster with all the former building societies (that used to be heavily regulated) now either bought over (decreasing competition) or bust (nationalised).

Labour copying Tory policies and we all pay the price for their greed and stupidity.
29

Calum10,

29/09/2008 10:07:47
The Dodgy HBOS Deal heralded by Gordon Brown stands in marked contrast to the nationalisation of both Northern Rock and Bradford & Bingley.

Scots have been needlessly exposed to bad bank debts in England whilst facing massive job cuts under an illegal takeover of the Bank of Scotland.

This is the Union Dividend - Scotland's economic future will be sacrificed to save the London markets and England's faltering economy.

Scotland does not need enemies when we have the Labour party.
30

Red Tower,

Dunoon 29/09/2008 10:18:49
Labour deserves all it gets. But to rewrite history is not the right way to attack it. Demutualisation started before Labour came to power. We all remember the windfalls many investors in building societies got in the process of their transmogrification into banks. This started long BEFORE 1997.
The raid too on people's pensions is not something initially pioneered by Labour. The raid on the Coal Board pensions helped to fund the mining industry's privatisation.
Labour certainly deserves to go but I cannot see a Tory government with a massive majority as a good alternative.
31

Nevsky,

Moscow 29/09/2008 10:23:10
How much of Bradford and Bingley's business is conducted in Scotland and England? Are the Scots taxpayers to be expected to bail out another failed English bank?
32

Alan B,

29/09/2008 10:26:34
#Red Tower

The raid on pension funds came by Brown when he closed a pension fund tax break.

If you are going to do that fine but make sure you put something in its place. Pensions are a mess.
33

Alan B,

29/09/2008 10:38:21
#Red Tower

People are blaming Brown for poor regulations and not dealing with the problems effectively.

Brown took regulating the financial sector from the BOE and set up a new body. This new regulatory framework failed.

Demutualisation is not really the problem. All demutualisation did was turn them into banks. Banks should not be unstable institutions and should be regulated so the banking sector is stable.

Being a bank meant these institutions could use financial instruments not available to building societies. These banks funded there mortgages by using the credit markets.

Whether they are banks or not, this should have been regulated properly.

Also by saying that they should remain building societies you are saying they should not use the credit markets. Is this really a unjust way of financing stuff. The problem is more over exposure or too heavy a relience.

Finally the underlying domestic problem is a complete failure to control house price inflation. And then the consumer debt associated with that. If the government had put in place proper control of house price inflation then these institutions would not have gone to such a large extent to the credit markets to fund the credit boom.

As such the blame lies fairly and squarely with labour and Brown. (whether the tories would have been any better we seriously cannot say).
34

danbob,

29/09/2008 10:39:08
9# Don't forget English taxpayers want their 90% of the forth road and rail bridges, 90% of the Tay bridge will do nicely, Oh and dont forget our 90% of the M74 motorway. Works both ways your childish attitude dosn't it.
35

Calum10,

29/09/2008 10:39:40
Here is the level of risk to Scotland.

HBOS - 17,000 jobs in Scotland.

Bradford & Bingley - 66 jobs in Scotland.

B&B gets nationalised and HBOS gets thrown to the Lloyds wolves.
36

Red Tower,

Dunoon 29/09/2008 10:42:42
#33

I fully accept that Brown's raid on pension funds was deplorable . All I am saying is that raiding pension funds was not exactly a Labour invention . It had precedent in the Thatcher years.
37

Nevsky,

Moscow 29/09/2008 10:43:49
35 danbob#

Paid for easily with the non-existent Scottish oil fund that has been mysteriousely lost by Westminster.
38

57vintage,

Keith 29/09/2008 10:44:47
Nationalisation? YES! More please.

Innit funny how this is only an alternative when the capitalist system fails spectacularly and we have to bail out the free marketeers who resisted any regulatory legislation?

I'd vote for Broon tomorrow if he pledged to renationalise public transport, utilities and pharmaceuticals and run them as services to the people.

But there's as much chance of that happening as Salmond thinking before he issues his next populist soundbite, I suppose.
39

JayJay,

Right here 29/09/2008 10:45:40
We have had ten years of hearing news of the latest salary award for the chief exec of whatever financial institution. £2m per year, plus share options, plus giant bonus, and that has to be paid, to "attract the very best, and remain competitive". What a load of cow plop!
Well where are these great business leaders now? Are they justifying their enormous salaries, or are they bleating about a "global crisis" this years equivalent of "a big boy did it and ran away"?
I am no tinpot socialist, quite the contrary, but we need to hear more from these masters of the universe, we need to understand the real depth of their intellect. What plans do they have to justify their vast salaries, to lead us out of this crisis? I suspect the absence of any morality, any real leadership, any innovation in the boardroom fitered all the way down to the bottom rung of the ladder. Bank branches with sales tables, staff under horrendous pressure to meet targets. The whole infrastructure is and was built on a culture of excess and I want to hear much more from the millionaire board members as to why they though this would all work out fine.
Right now, these villians seem to be getting away scot free.
40

Alan B,

29/09/2008 10:53:04
#Doh

"The Tory policy of demutalisation has been a disaster with all the former building societies (that used to be heavily regulated) now either bought over (decreasing competition) or bust (nationalised)."

Have to disagree somewhat.

Firstly is it really a disaster that building societies have merged or being taken over. If that is the case then you would have to say the same about the banking sector which is probably far worse.

The fact is it irrevelent whether they are building societies or not. The government have allowed a consolidation of the banking industry.

If we are against the consolidation then that is a matter for competition policy and not the specifics of demutualisation.

Do we really lack competition in our banking industry? Did the merger between halifax and BOS really reduce competition in any serious way.

The problem is not lack of competition. We have actually quite alot of competition becasue of the advent of phone and internet banking meaning many new starts funded by other financial institutions.

The problem is banks perusing too high a risk strategy based on building market share of the mortgage market. (also buying foreign debt as other institution off load some domestic debt to share risk). Much of this mortage debt funded by the credit markets.

If the global credit markets were working properly would there be a problem. The answer is no. Although companies with exposure to the US sub prime debt would have some issues.

The other problem is the failure to control domestic house price inflation. Poeple see house prices going up and up and know they have to take risks to get on the property ladder. Failure to control house price inflation also means people are encouraged to borrow more than they can afford as they will lose out otherwise, because of that inflation. It has alos lead to level of unsustainable consumer debt.

The problem with the government not controll house price inflation is a vicious cycle. Mo
41

Richard,

west lothian 29/09/2008 10:54:01
What is it with these Yorkshire folk and their inability to run banks? :-)
42

Alan B,

29/09/2008 10:54:57
cont...

The problem with the government not controlling house price inflation is a vicious cycle. More people borrow and rush to make money out of it. Banks have to do more to fund that growth by funding that growth through borrowing.

We can blame individuals but there plight in many cases is understandable. We can blame the banks but they to an extent are just doing waht we expect. Making money based on the market regulated by the government and the circumstance controlled by the government.

As such the government as i see it directly responsible for much of the situation we now find ourselves in.

43

Alan B,

29/09/2008 10:56:47
#57vintage

We had mass nationalisation in the 70s and it was a disaster.
44

connaughtboy,

stonehaven 29/09/2008 11:00:33
Another New Labour inspired failure. So much for Prudence Brown!

Glenrothes looms for Toom.
45

connaughtboy,

stonehaven 29/09/2008 11:01:42
#39 Unpleasant troll !
46

Red Tower,

Dunoon 29/09/2008 11:01:44
#34

De-regulation was a mantra chanted by Thatcher and Reagan during their dogma love-in. Henceforth both Britain and the USA were to follow similar economic paths and even to this day little separates the regulatory models there and here. It should be no surprise therefore that the same basic trigger started our current common economic difficulties, the so-called "toxic" mortgage debt.
Blair and Brown are Thatcher's children and I am afraid to say it but Cameron is yet another sibling
47

Alan B,

29/09/2008 11:03:24
#Calum10

"B&B gets nationalised and HBOS gets thrown to the Lloyds wolves."

Think that is a completely unfair analysis. Nationlisation is the last option for the government if they cannot find another way out.

Nationlisation of NR effectively means running down the banks. Nationalisation of B&B looks like meaning selling as many assets as possible to the Spanish bank with the government keeping hold of the unwanted mortages.
48

Nevsky,

Moscow 29/09/2008 11:04:35

The economy was built on the myth of unlimited credit, problem is that there was no money in the first place; just a continually extended line of inter-dependent guarantees.

I firmly believe that financiers knew how fragile the system was, even i knew it, we all knew it!
49

Alan B,

29/09/2008 11:11:53
#47 Red Tower

I am not disagreeing that the tories started the deregulation process. And i am not saying they would not necessarily have been as bad. However it stretches things to blame policies in the 80s for government inepitude 20yrs later.

Deregualation and industry within the private sector is to a large extent correct. However bad regulation with banks running high risk strategies is wrong. Banks are not like other businesses and should have regulation to ensure stability. Labour changed the current regulatory framework and that failed. Regulation also in the 80s is not necessarily what is needed 20yrs later with globalisation and technology changes.

The tories encouraged people owning their homes. That does not mean they can be blamed for future governments allowing massive house price inflation. Without that house price inflation the problem would not exist (domestically). We cannot control what the US does.

50

connaughtboy,

stonehaven 29/09/2008 11:13:02
#37 red Tower

It's just that new Labour took the thieving to a new level !
51

connaughtboy,

stonehaven 29/09/2008 11:14:27
#39 57

Quote:

"I'd vote for Broon tomorrow if......"

Well, there goes your credibility down the tubes !!
52

Alan B,

29/09/2008 11:15:02
#Red Tower

If you look at the ideological economic philosophy that underpinned thatcherism it was monetarism.

That philosophy was based on the concept of control inflation through controlling the growth of the money supply ie the growth of credit. (agree the tories made a mess of it)

The current problem is the complete and utter failure to control the growth of credit.
53

Alan B,

29/09/2008 11:18:11
#Red Tower

Regarding pension. Brown did bring in (i believe( a good policy to ensure that private pension funds were fully funded. In the tory yrs companies could dip in a remove monies.

However Brown did not make sure public sector pensions were fully funded and it will rely on future government/tax payers to fund this underfunding.
54

Doh,

29/09/2008 11:57:18
#41 Alan

Yes demutalisation was a critical facor in encourging reckless lending. Buildings socities didnt have too create dividends for shareholders that were expecting annual growth. They could take a long term view.

Thatcher destroyed financial prudence and stability and replaced it with greed and the seekibng of short term profit. If was the CEO is major bank I can make a killing in a couple of years - and then it can all go to hell in a handcart after that. How cares- not my problem, my bonus is in and my shares have nee vested an sold.

A longer term view cannot be sustained by the stock market. In my view all financial instituions should now become second-generation mutuals - the government in effect should have a controlling stake - since in the final analysis they will underwrite all the losses.

BTW I am not so happy with Labour's plan to sell the best bits of B&B and for the taxpayer to pick up the duff debts? That doesnt sound like good value for money to me, but moer importantly it has now signalled the way for all the British banks to offload their bad debts.

I can imagine more banks will follow this path in the next few months so the government should stop dithering and effectively nationalise all the bad debt now - just like they are doign in America.

The Tories have been embarrassed by their friends in the city and whether the public eventually blame Brown for pursuing Tory policies or the Tories for being in the pockets of the City is still to be seen.

Tory policies are voodoo economics and as a humble tax payer are getting the opportunity to pay for city bonuses that will help fund the Tory party. Not on.
55

Arfur,

29/09/2008 12:04:14
Surprise Surprise

Northern Rock goes---westminster answer---nationalisation
HBOS goes---westminster answer---take over by english bank
Bradford & Bingley goes---westminster answer---nationalisation

One rule for them and another for us.
56

Red Tower,

Dunoon 29/09/2008 12:05:16
Labour's cynically converted to being yet another Tory Party because Thatcherism appeared to be not only the "modern" way but also the road to success at the ballot box.So it jettisoned its core beliefs and values and embraced Thatcherism with all the zeal of a convert. Underlying flaws at the root of Thatcherism were ignored but success at the ballot box followed.

The flaws remained however and finally they have burst forth. Deregulation, the mantra, has proved to be just that, an empty phrase which was supposed to, but did not, guarantee success.

Sadly neither major party is prepared to return to a more regulated set-up. (We should note the relatively minor slap on the wrist the Tories have given the Banks whilst assuring them that they have their complete support.) It is just not good enough to say, "You have been naughty boys. Now don't do it again."
57

danbob,

29/09/2008 12:17:09
56# Arfur don't worry. I have it on good authority that only english taxpayers money was used in the nationalisation of BB and Northernrock. They put Scottish taxpayers money to one side.
58

Arfur,

29/09/2008 12:33:57
#58 what complete garbage. Scotland kicked in the teeth by England.........yet again!
59

Alan B,

29/09/2008 12:35:16
#Doh

We will have to disagree. I just do not think there is any inheritently unstable about a bank given the correct regulatory framework.

The direct problem here is the relience on the credit markets. That can be regulated no matter whether a company is a bank or mutualized.

You are effectively calling for a complete ban on inter bank lending ie the credit markets. Which even if it is your policy does not need mutualization.

The underlying problem to this is the housing market. It is the failure to deal with that. The failure to control inflation.

What I would like to see is quantitive controls to control the growth of credit ie mortages. This could be brought about in 2 way. Stricker lending criteria eg deposits, wages to lending ratios. And also ratios to restrict banks to lending ratios compared to their deposits. The house price inflation has fed cycle which makes the problem worse and worse.

2 other things.

1)saving ratios are increasely low in the uk. If there is little money relatively held in deposits then you would not have money to fund mortgages. Remember when it was the early 80s on 17%owned their own house. So are you really advocating a move away from home ownership.

2)even if your policy about forcing all building societies to be mutual. What is to stop people to stop borrowing from banks if they get better terms as they would using these financial instruments nowadays. Also what is to stop people taking loans from non uk banks (cannot stop it in EU unless you are advocating pulling out). Personally cannot see it being feasible and the issue should be managed not abolished.

3) You will wreck the financial industry, and the hunreds of thousands of jobs loss as the transition takes place. The financial industry rightly or wrongly has become the uks most important industry.
60

danbob,

29/09/2008 12:40:48
59# I see your hate has wiped out your sense of humour Arfur.
61

eDUCATIon,

29/09/2008 13:47:51
If anyone is unsure about how all this financial stuff fits together, then watch this animated film explaining the roles of banks in todays society. You may look at the humble £ in your pocket a bit different after this.

Its used as an educational tool.

It takes about 15 secs to get going

http://video.google.com/videosearch?hl=en&resnum=0&q=moneyasdebt&um=1&ie=UTF-8&sa=N&tab=wv#
62

Doh,

29/09/2008 14:25:00
#55 Alan.

We can disagree, but I think you have constructed more from what I said than from what I meant.

I am not calling for a complete ban on inter-bank lending, nor I am suggesting a reducation in home ownership.

I would not be the first person to notice that the bansk are getting preferntial treatment but not their struggling customers. As I understand it in the USA there has been calls for direct assisstance to the "defaulters" rather than the "bankers".

One sickening aspect of this crisis is that the bankers themselves and traders will continue to make massive bonuses. Again even in the US their has been calls for restraint.

What I am proposing is that the current crop of failed banks (and that will be most of them) should be taken into public ownership by means of "mutualisation". Once mutualised they would be subject to greater regulation (as were the old uilding societies).

I would propose deposits held by non-mutalised banks would not be offered protection by the government, after a transistion period (say next year).

If people want to gamble on the stock market - fair enough - just dont expect the taxpayer to pick up the pieces. Just like sharedholders in any other business that goes bust, ironically usually caused by the banks foreclosing, they can lose their money.

I am proposing a long term solution to the Thatcherite policies that have wrecked the world finacial system - deregulation and the pursuit of profit from speculation rather than investment.

That is the legacy of Thatcher and Brown.




63

Rosscobhoy,

29/09/2008 15:26:14
Not sure who said it first time round but never a truer word said..." Money, its not worth the paper it's written on"

I love how free market capatalism only works when its the small business or individual who owes more than they can afford.
64

Alan B,

29/09/2008 16:07:30
#Doh

Do not disagree we need better regulation. And agree the pay offs for failure is bad. Exec pay has got completely out of control anyway.

Some interesting ideas you are proposing.

Not sure of the full implications of what you are proposing would be. For instance by the government only guaranteeing private mutual companies and not banks would all consumer banks end up going for mutual status. Why would any bank customers keep their money in a non guaranteed bank.

You say you would not ban inter bank lending but that is what happens if you banks were to become a mutual building society. That was one of the reasons behind demutualisation. ie should we have deregulated rules round building societies to stop encouraging them to demutualise.

What would its effect on jobs be given rightly or wrongly the uk has spent the last 30yrs being a leading financial place of business.

Also why not just control house price inflation in the first place and stop the problem at that point. The whole thing is a circle and it really depends on the point at which you wish to do something about it.

 

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