Wasn’t it Brown’s idea to bail out the banks? That is how he “saved the world”, isn’t it? Of course, he was a moron, but the EU are now at it too, and illegally according to the Lisbon Treaty, which we couldn’t vote on and is going to be changed without our consent.
The banks should all have been allowed to FAIL; they CLEARLY were GAMBLING with their clients’ money (particularly in Spain, with the insane and unsecured investment in construction (which the EU – in other words, US – will soon have to bail out even without being asked about it). The principles of “just-in-time” and “just-enough-to manage-on-a-daily-basis” are one thing in industry, but not in banking. The govt should have let them go bust, all their shareholders losing THE LOT (next time be more less greedy and more bloody careful) but guaranteed the depositors’ payments, taken the banks over and nurtured them slowly back to viability so that they could again make a profit and do a proper job FOR THE PEOPLE.
Banks are in general a licence to print money – unless of course they get GREEDY, which they did, THEN they should go bankrupt as described above.
To crudely sum up ths astounding sequence of events:
- the banks essentially went bankrupt but were saved with public money
- this pseudo-bankruptcy was caused by their collective greed and stupidity aided by a good dose of government irresponsibility from Gordon Brown and his total lack of regulation of the financial services, so keen was he to fuel a lending boom to give the illusion that the economy was “booming” (he having forgotten about the “busting” bit that usually follows, probably because he had announced (therefore it must happen) that he had ABOLISHED “boom and bust”.)
- the taxpayer took them over, preserved most of the directors’ jobs and allowed them to revcover
- as soon as the money started to come in again (EVEN IN A MAJOR RECESSION – see “licence to print money” above) the same directors and other staff started paying themselves vast bonuses once again, UTTERLY REMOVED from what REAL WORKERS earn doing the REAL JOBS society needs.
- NO GOVERNMENT HAS THE GUTS TO END THIS COMPLETE INJUSTICE. Brown saved the banks and most of the directors’ jobs and the Coalition is allowing them to get their bonuses. SO WHAT if they sod off to some tax-haven? LET THEM. We can then nationalize the banks and get people in with some sort of commitment to SOCIETY. I’d like to see all the banks survive if they all bugger off to Leichtenstein or the Bahamas.
A reality check is SORELY needed here. Is money even TOO IMPORTANT (its misuse being able to bring down entire economies) to be left to private individuals driven by personal greed?
However, let’s not beat about the bush; in Britain at least the GOVERNMENT IS SOVEREIGN. ERGO, the banks’ massive failure was in large part THE GOVERNMENT’S FAULT.
Footnote: Gordon Brown recently earned £56,000 in India for 50 minutes lecturing the Delhi Chamber of Commerce on how to avoid another financial crisis. Yes, you guessed it; the world is mad.