Report Gordon Brown Destroyed Both Hbos And Lloyds Bank in House prices and the economy Posted March 8, 2009 · Edited March 8, 2009 by Game_Over No labour government could allow RBS and Bank of Scotland to fail because the SNP would then wipe them out in Scotland and that would cost them the election. Lloyds could have been allowed to save Northern Rock and Halifax could have been de-merged from Bank of Scotland. We would then have had a viable English banking system and a totally bankrupt Scotland. All decisions that have been made have been politically, not economically motivated and have been driven by Nu Labours attempts to avoid electoral Armageddon in Scotland at the hands of the SNP. In my opinion.