Comments on: One cheer for the Governor – pity about the MPC

By: James D

James D — Wed, 25 Mar 2009 20:34:50 +0000

5. A few days after the election, a former senior member of government is interviewed on Newsnight and asked repeatedly whether he threatened to over-rule the Governor of the Bank of England.

By: SJB

SJB — Wed, 25 Mar 2009 18:09:27 +0000

JR: “For the last six months I have been calling for higher rates to avoid a sterling collapse.” [Sterling has declined 25% since June 2007]

If HMG’s next gilt sale is not fully taken up do you think this would precipitate a further significant fall in sterling? If so, is it possible that HMG would then have to offer gilts denominated in another currency like the Euro?

Reply: I am strongly against foreign currency borrowing, in case sterling falls more and makes repayment very dear.

By: mikestallard

mikestallard — Wed, 25 Mar 2009 17:23:19 +0000

On re-reading this post, I want to make it completely clear that the parallel is between Edward VIII and Mr Brown!

By: mikestallard

mikestallard — Wed, 25 Mar 2009 17:21:36 +0000

When Edward VIII proved himself to be utterly unsuited to be King/Emperor, there was a behind the scenes decision to unload him. George VI became King/Emperor and, to my mind, he made an extremely courageous and faithful job of it.
I wonder whether such a decision is being made now?
I regret that the Prime Minister looked quite deranged when he addressed the European parliament. Dan Hannan was completely right to compare him to a Brezhnev apparatchik. The difference was that he has a sort of mad laugh too.
Whatever the truth may be, full marks to Her Majesty the Queen for her audience with perhaps the one man who can save a little of our future.

By: Brian Tomkinson

Brian Tomkinson — Wed, 25 Mar 2009 16:29:08 +0000

I have asked the same question before and received the same answer. I have also suggested Simon Heffer’s idea of a debate in Parliament to reduce the Prime Minister’s salary due to his economic incompetence. John liked this idea but of course no action. I have another similar suggestion: Brown is always mouthing off about no rewards for failure so, before it is too late, there should be action taken in Parliament regarding the overgenerous pension he will receive on being kicked out of office. I suggest he get zero. Regrettably none of these things will happen as it is clear that the Conservative leadership is as keen as is Brown to delay the election for as long as possible. Sadly we shall have to endure the daily muggings and the relentless journey into penury.

By: Lola

Lola — Wed, 25 Mar 2009 10:47:13 +0000

What really hacks me off is the some of us, mere mortals who run businesses (in my case in financial services), have been saying from the day it was announced that the CPI was a load of old dingos kidneys and its use would inexorably lead to disaster and massive inflation, inflation as in the excess of money. I had this conversation with an FSA apparatchik as an example of something useful he could ‘regulate’ rather fiddling about getting in my way and costing my clients millions.

It really does wear you out doesn’t it? You bang on and on about this sort of thing, but because you are ‘only’ a voter and have no power and are not in the magic circle of the great and the good and the BBC all you get is the great pooh pooh ‘Oh, you’re just an oik. We are the experts. We know what we’re doing. We all went to Oxbridge y’know. We are so frightfully clever’.

My rule of thumb? There are three classes of mankind. People you like. People you do not like. And tossers. (I usually use the more Anglo Saxon word, but….).

You work out what I think of these people.

By: Acorn

Acorn — Wed, 25 Mar 2009 10:35:44 +0000

Don’t you just wish Her Maj asked Merv the question; “If one sent one’s army in to take over the government, how do you think the markets would react; would one’s currency appreciate significantly?”

I hope Her Maj is seriously considering the matter on behalf of her subjects. Is there not a little used royal prerogative somewhere in the archives that could be used?

She could put the whole of the Privy Council in the Tower and tell them “one is going to stick it to this f**kwit bunch teutonic style”.

Alas, we can but dream. Merv must be feeling like he had a Botox injection in his testicles, now he has the keys to the back door at Buck House.

BTW. Have a look at the last set of accounts for the Privy Council; this looks like a sweat little number to get in on. See the notes to the accounts; particularly the bits about pensions at 1.9 and 7.

The real hoot is the line where it says, in note 7, “Employees can opt to open a partnership pension account, a stakeholder pension with an employer contribution. No employee has opted to do so.”

I wonder why.

http://www.privy-council.org.uk/files/pdf/HC%20656%20-%20Privy%20Council.pdf

By: "East Anglian Troy"

"East Anglian Troy" — Wed, 25 Mar 2009 10:26:36 +0000

Why don’t you put forward an opposition motion of no confidence in the Government’s handling of the crisis. Surely all opposition parties would support it and so how isolated the Government are?
And, forgive my ignorance, but why can’t the House of Lords do something similar to send out a very strong message?

Reply Because we would lose it whilst temporarily uniting the Labour party

By: Simon D

Simon D — Wed, 25 Mar 2009 09:34:07 +0000

One way to provide the equivalent of fiscal stimulus in the UK is by raising interest rates. The Government has slaughtered savers who now earn virtually nothing on their capital. Many of them are over 60 and depend on income from savings to supplement their lifestyle.

We all know that savers don’t matter. They tend to be middle class and are probably inclined to vote Tory. However, if the Prime Minister wants economic stimulus he should do what it takes to raise interest rates.

It would be interesting to compare rates of interest paid on savings in the UK, the US and the EU. I understand that this may be of academic interest in the US where very few people save anything and the country relies, for its financial survival, on the Chinese continuing to buy and hold Government bonds. Let’s hope Mr Obama does nothing to make the Chinese lose their nerve.

By: Brian Tomkinson

Brian Tomkinson — Wed, 25 Mar 2009 09:00:48 +0000

The only people surprised that the CPI has gone up would be the Government, BoE and all those pundits who don’t inhabit the real world that we mere mortals do. For us it was as clear as day that prices are continuing to rise and we are not surprised given the massive DEVALUATION of our currency. The scare of deflation has been raised to allow the Government through the BoE to print money as a way of inflating their way out of this crisis. The good news today was that the Governor has at last stood up against the foolishness of the Prime Minister’s manic borrow and spend policy. We must have a general election right now. The Queen held an audience with Mervyn King today. This was the first time the Queen had held an audience with the Governor of the Bank of England. Are Brown’s days numbered? We can only hope and pray but you politicians must try harder to rid us of this menace.