Bigger losses.
We now know that if you force a merger of a loss making bank with an OK bank you end up with a bigger bad bank.
We are about to find out that if you own two big loss making banks, they own you. Hold onto your purses and wallets.
7 Comments
Comments are closed.
March 7, 2009
Over the next (?) weeks and months I expect to see Headlines saying:-
“Hyper-inflation hits UK”
“Sterling matches the Dollar”
“Another 500 Billion to cover bank losses”, and another, and another…..
“Welcome to the UK Weimar Republic”
What I won’t expect to see, is:-
“Parliament decides to smash UK economy”
“Labour cabinet resigns”
“Brown says sorry and calls election”
March 7, 2009
buy gold and hide it!
as for my business, i’m paying for future services of freelancers i use so that the falling pound won’t screw me!
March 8, 2009
In Queensland, when the government’s credit rating fell from AAA to AA, the Prime Minister called for an election.
In the Sacred Mother of Parliaments, printing a lot more money was not even discussed.
Parliamentary reform is now as urgent as the economic crisis management. It will be a long, uphill struggle. There will be lots of mistakes. No doubt a few swindlers will also emerge. Lots of wo/men in tights will have to change their clothes.
But New Labour has proved that you can appoint Labour supporters to committees, to the Speaker’s Chair, to the House of Lords, and, by handing out blackberries to everyone and muzzling the Cabinet, you can turn a democracy into a dictatorship very easily.
Elections? Already, on the net there have been rumours about Glenrothes. Postal votes and electoral boundaries are worth a look too.
This is all relevant.
Bank nationalisation ought to have been a democratic, not an electoral decision.
Either way, it could be disaster.
March 8, 2009
Another example in the sometime “how much is a billion?” series
If the entire Manchester United first team of outfield players, each earned £100,000 a week net of tax each, then in order to pay off a £1 Trillion debt, it would take the entire outfield 1st team a million years to settle the debt, NOT including interest.
March 8, 2009
Stuart
Agree with your thoughts about relationship of huge sums that the average person cannot relate to, to figures/examples which they can.
Only then will the message sink in.
March 10, 2009
“Hold on to your purses and wallets”
Only to happy to oblige you in that – the trouble is, without me doing anything at all, the contents of said wallet will soon be worthless.
March 10, 2009
Argh!
Only TOO happy.