The interim report of the\u00a0ICB is welcome. The government can now consult and consider. In the autumn the Full Reprt will appear. The government will then decide what to do. Its record for sticking to its guns is beginning to look patchy. Osborne is weak on the banks\u00a0while strong on the deficit. The Lib Dems are somewhat the reverse. It will be their turn to drive the coalition to do what is needed, just as the Tories pushed them on the deficit. Vince has long been a banking hawk.\u00a0 For him the autumn could be golden.<\/p>\n
Of course everything should have been decided by now and\u00a0 be\u00a0on its way to implementation. A sovereign debt crisis may well be brewing, not because the central banks will not cough up, but because the affected populations either will not agree to, or not enact, the terms of the loans. The resultant defaults will bust\u00a0 more banks. To stop another meltdown, which could include taxpayers refusing another bank bail out by sacking governments which proposed it, ring fencing, or call it what you will, is urgent.<\/p>\n
Essentially this must mean that depositors’ cash is used for conventional lending only and is\u00a0in firewalled segments of the banks, guaranteed by taxpayers as an essential utility of the economy. Investment banking and proprietary trading must be separate. Shareholders, depositors and employees of these operations must bear all the losses of a failure, unrescued by taxpayers. Nothing\u00a0 more is needed. Nothing less will do.<\/p>\n","protected":false},"excerpt":{"rendered":"
The interim report of the\u00a0ICB is welcome. The government can now consult and consider. In the autumn the Full Reprt will appear. The government will then decide what to do. Its record for sticking to its guns is beginning to look patchy. Osborne is weak on the banks\u00a0while strong on the deficit. The Lib Dems […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-3411","post","type-post","status-publish","format-standard","hentry","category-malcolm-blair-robinson"],"_links":{"self":[{"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=\/wp\/v2\/posts\/3411","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3411"}],"version-history":[{"count":4,"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=\/wp\/v2\/posts\/3411\/revisions"}],"predecessor-version":[{"id":3424,"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=\/wp\/v2\/posts\/3411\/revisions\/3424"}],"wp:attachment":[{"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3411"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3411"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.malcolmblair-robinson.co.uk\/wordpress\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3411"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}