The banks suceeded where 20 years of conservative policy had prevented it: a failed industry, crippled by weak management and chaotic structuring of products was bailed out lock stocks and barrells of bonuses.
Thatcher tried to reverse propping up industries, which somehow ended up in a bizarre situation the UK finds itself in now: both the lowest unemployment rates yet the highest poverty rates of the big 3 economies.
20 Billion was the bail out to HBOS. Failure would have been unthinkable: just as the failure of the privately owned, listed company British Leyland was unthinkable in the mid 70s when in fact the private management of BMC had still wanted to market 1950s models into the 1970s. 180,000 direct employees. Toyota; VW and even BMW made mostly small, rather odd cars. BL made some turkeys but made some great cars: the maxi, the mini, the marina, the TR6, the sptifire, the MGB/C, landrover, the big SD1 so iconic of late 70s traffic police and senior managers.
Why is the "bail out" of banks not seen as the same old socialism as the "nationalisation" of BL which is what it was in fact, not really full nationalisation like the airports, and only using limited involvement in the running of BL . It was a share purchase bail out for a failing private company which made some damn good products.
Britain has such high employment and high poverty because it is in effect still a subsidy junky. Instead of letting the banks fail they bailed them out, so the casino royale can play again knowing that mummy state will wipe their bums again.
Also take housing benefit: a massive subsidy to private property developers and rachmans. Then of course working family benefits: an excuse to allow service industry to pay as little as possible to employees and let the state bail them out with indirect subsidy as opposed to trade unions offering a natural, devolved means of fighting for the balance to feed families.
Are you that proud to be British when the Germans, Indians and Chinese own our old brand and command many of the new brands ?
Is this the natural end of the bullshit show of personal credit and house price equity release which the UK has been living off for 20 years ?
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