Wednesday, 15 June 2011

Bank Balance

Investment banking and retail banking should be split completely. Furthermore, public ownership took RBS back to profitability, but the Coalition has taken it back into the red. All of the banks should be turned into mutual building societies, ironclad as such by statute. Northern Rock would be an ideal place to start. After all, no corporation is going to want to buy it.

Apart, that is, from the public stakes in HBOS and RBS. Those are permanent, non-negotiable safeguards of the Union, as public ownership always is. Therefore, the profits from each of those stakes should be divided equally among all the households in the United Kingdom.

For that, we need a Government which is not so incompetent that it can preside over their degeneration back into loss-making status. Indeed, if this provision had already been in place, then perhaps not even George Osborne would have dared to be quite so stupid and inept as that.

2 comments:

  1. I wish you were leader of the Labour party. Seriously. If you lived anywhere else you would have re-joined by now. You say you will judge Ed Miliband's Labour by whether it affiliates the relaunched BPA and whether your mate gets approved as a parliamentary candidate despuite being male. Fair enough, but some of us will judge it by what it finds for you personally once the very eagerly anticipated books have appeared.

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  2. Hi,

    More equity on bank balance sheets should stoke no fears of scarcer loans or higher interest rates. The new accounts require customers to meet higher balance requirements or other conditions to get free checking. Thanks a lot.

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