Bail us out

October 14, 2008

“Some contrition” but bigger pensions

Filed under: bank bailout, greedy bankers — Tags: , , , , , , , , , — stanleymilgram @ 10:08 am

Never mind the “no bonuses” posturing, look at the figures.

Just in case anyone thinks that Sir Fred Whatshisface of RBS and Andy Hornbyrailway of HBOS have been punished in some way:

Sir Fred said he would waive his right to a £1.2m payoff when he leaves, but he will be entitled to an annual pension £579,000.

Yeah, I think I’d not cry too much over losing my bonus if I could console myself with the thought that every year for the rest of my life I’d get given more money than most people make in their lifetimes.

That and more handy figures to wave at anyone who thinks you should have sympathy for these parasites came from here.

October 13, 2008

You just gave your bank £500

Filed under: bank bailout — Tags: , , , , , — stanleymilgram @ 11:52 pm
The only stocks they should let bankers near

The only stocks they should let bankers near

So according to the FT lady, governments now realise it’s not a “liquidity crisis” (the money is there just… not… quite… yet…) like has been claimed.

It’s a “solvency crisis” (yeah I could pay you the money but I promised Lou, and Tony Fingers, and the VAT man).

The bail-outs will not prevent an economic slowdown. Nor will they avert further (and necessary) deleveraging. Equity markets could stay jittery for some time as debt-laden countries and companies writhe in pain. Financial Times

I (and you) now own RBS and HBOS. Great. What does that mean? With RBS, it means taking on their share of the £360 billion of unpaid Lehman Brothers debt that came due last Friday, sparking the most recent panic. With HBOS, all those overpriced mortgages that people soon won’t be able to pay.

Is this the end? Hell no. Remember Washington Mutual (no me neither). Their unpaid debt is going to divided up on October 23rd. That will load more debt onto the banking system. Now, that debt is yours.

A bailout to the tune of ~£37 billion, that’s more than £500 for each person in the UK, on my envelope. What do I get for that?

  • the banks don’t collapse – so all our debt still exists
  • Gordon says “they won’t be micromanaging” them – No, why would you want a say in what you just bought for more than Scotland’s GDP.
  • Maintain lending levels to homeowners & small businesses for 3 years – yep, keep the charade going till after the next election. Smart, eh. “Credit got us into this mess, and credit will get us out of it!”
  • Why did we get rid of the stocks? I mean the real ones. That’s where Sir Fred and friends should be headed…

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