We have widespread Nationalisation of the banking industry.
This will result in interference in the companies concerned. If it does not, the Government would be nagged by vested interests until it did interfere. There are already calls, from envy-politicians who foam against bonuses to the Environazis who want the banks to "invest", i.e. subsidise, some pet "green technology" du jour.
State interference will reduce the attractiveness of the UK as a banking centre. The only consolation is that many other centres are also in the do-do and lining up behind the Socialist muck-spreader, so we might not get an immediate loss of status in the short term to our existing peer group (FFT, NY, TKY). However, places like Dubai are itching to expand and take over. Do not expect them to stop for Ramadan when they see an opportunity to eat our lunch. They will bag it for later, and good luck to them.
Having said that, if the Government is to create more debt for Taxpayers over this, it seems the least bad option to get shares in exchange for that debt. Let us hope the share prices outperform the coupon on that debt so we, the Taxpayer, can see a return for the risk.
What is so infuriating is that Gordon Brown is acting like some kind of saviour. Just imagine if someone had broken all your windows, kicked in your door, allowed the roof to go to rack and ruin - letting in water and causing all manner of damage and cost - smahed your drains, mains and automobiles. And shot your dog. Imagine that person arriving with a sheet of tarpaulin and a roll of gaffer tape while wearing a big grin and expecting to be welcomed like some romantic hero. His is what has happened in regard to Gordon Brown. The problem is the MSM and many pundits have fallen for it. Gordon has got his Falklands, but he did not deserve it.
Where is the contrition? Where is the acceptance of responsibility here? There is none. It is absolutely shocking yet the MSM, instead of nailing him to the mast or keel-hauling him are almost fluffing him off off-camera. I hear Polly is keen again.
"Son of the Manse" my painted arse. How can he ever trot out that sanctimonious, faux piety and prudence again when he has so blatantly chosen to intentionally ignore his dirty fingernails in the woes we face. He, a Marxist, must be loving it. The Great Protector. The State to the rescue. The big City Boys now beholden to Le Teat Majeure.