Barclays’ appetite for blind risk and greed in the midst of financial crisis is an intriguing tale – somebody should now spill all the beans
Gordon Brown is not alone in thinking errant British bankers got off lightly in the 2008 financial crisis. We should also be worried that the former prime minister thinks the new criminal offence of reckless misconduct that causes a financial institution to fail, which was introduced after the crisis to address the perceived legislative weaknesses, may not be up to the job.
Ex-PM warns failure to take tougher stand has made it inevitable that rogue bankers will again gamble with public money
Gordon Brown has claimed bankers should have been jailed for their fraudulent and dishonest behaviour during the financial crisis that led to Britain’s deepest post-war recession and his defeat in the 2010 general election.
The Labour former prime minister used the second extract from his memoirs to warn that the failure to take a tougher line with wrongdoing – as pursued by other countries – has made it inevitable that rogue bankers will again gamble with public money.
The banks are obsessed with lending to property owners and developers, at the expense of other businesses – and the government gives them its full backing
When everyone around you sits on their hands, it’s tempting to take control. While companies refuse to invest and Whitehall is paralysed by Brexit, why not legislate and nationalise to get something done?
Britain is in the midst of an investment crisis, a productivity crisis, an income crisis and an inequality crisis – and all are so entrenched that they are beyond policies that tinker or No 10’s “nudge unit”.
António Horta-Osório may have tried to calm concerns over Brexit, but others will be less confident
Let’s hope António Horta-Osório is right. The chief executive of Lloyds Banking Group makes the immediate outlook for the UK seem, if not rosy, then at least steady. The economy is “resilient”. Borrowers can cope with a quarter-point rise in interest rates to 0.5%. And we shouldn’t get too excited about the increase in consumer debt because levels are still 25% below those of a decade ago.
These are all fair points, and Lloyds’ third-quarter results illustrated the theme of resilience. The bank’s percentage of impaired loans continues to run at historically low levels, despite a hit from an unnamed and mysterious “single large corporate”. Impairment charges over the nine months rose 20% to £538m but the loan book itself is larger after the purchase of the MBNA credit card business.
UK’s biggest mortgage lender says borrowers can withstand a gradual rate rise as the economy remains resilient
Britain’s borrowers can withstand the impact of the first rise in interest rates in a decade, the chief executive of Lloyds Banking Group said on Wednesday.
António Horta-Osório believes any increase from the current record low of 0.25% would be gradual and said the bank – the biggest mortgage lender and savings institution in the UK – did not expect rates to reach 1% until 2019.
A lot of startups have been raising money for credit cards and other financing businesses lately. Now Jiko has debit card technology that has convinced Upfront Ventures, Radical Impact, Social Capital and others to invest $7.7 million in a Series A. The Oakland, Calif.-based business markets itself as a secure place to save your money, while also offering at least .5 percent cash back on… Read More
Former directors reject claim by bank shareholders that Gordon Brown’s government pushed bank into buying HBOS to avoid nationalisation
Lloyds Bank and five of its former directors “emphatically reject” allegations they were bullied into taking over HBOS, their QC has told the high court.
Helen Davies was responding to claims made by 6,000 Lloyds shareholders, who have brought a £600m compensation claim that they were not given a true picture of the financial health of HBOS when they voted through the takeover in November 2008.