Interest rate cut a disaster
This afternoon, in a quick news check, I was horrified to learn that the Bank of England - under pressure from the Brown government to abandon its long-held commitment to keeping inflation low, in favour of the politically expedient but wholly short-term objective of trying to re-inflate the credit bubble to try to have Britons borrow our way ( Read more... )
Not that I'd have expected any better from him, but Gordon Brown's latest 'big lie' is that this credit problem, having started in the US, somehow magically flew across the Atlantic and infected British banks, consumers and the government without their having anything to do with it. These same banks are the ones that were issuing exactly the same kind of sub-prime mortgages as caused the American problem, sometimes lending 110% plus at the top of an over-inflated market, all under the purview of the stunted tripartite regulatory regime Brown himself set up and whilst he, at the same time, was borrowing hand over fist during an economic boom to fund his profligate public sector empire building. This is not good judgement or sound economic stewardship, it's utter, abject failure, from a man history will come to record as Britain's worst post-war chancellor.
Had we been in power we'd never have dreamt of such recklessness, and we consistently argued and voted against it: that's why Brown and his cronies were constantly crowing about how "the Tories have voted x times against Labour's new money [not the taxpayers' new money, note] for schools, hospitals and fluffy white kittens", and so many drooling morons across the country believed them and duly lined up to stick their x's in the Labour box at each election.
Well, guess what, it's harvest time.
Reply
Leave a comment