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ralphmalph

If Portugal Needs A Bailout - We Pay

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http://www.politicshome.com/uk/story/15357/portuguese_pm_resigns_over_rejected_budget.html

I just can not believe the stupidity of the last government. We are not part of the Euro but it seems we have to pay every time some chumps decide that they need a bailout.

Problem is, that's not true. In constitutional law terms, no government can legally bind a future government. This is just a convenient excuse for the Tories to use: they must have done the calculation that it is better for the UK to pay for a bailout than pull out of our involvment now. It just helps, from a domestic political perspective, that it was a previous government that agreed to participate in a bailout in the first place - they definitely have the option not to join in.

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So the Portugese PM has resigned because they voted against austerity measures.

Now it's said they will have to have a bailout.

The bailout will only be given if they agree to austerity measures.

So who is going to agree to the bailout?

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Problem is, that's not true. In constitutional law terms, no government can legally bind a future government.

They can't by making a law, but the can by signing a contract.

E,g. The ConDems can't back out of all the rail franchies that Labout let during their term on the grounds of "not being bound", they have to honour the contraction obligations (or pay compensation for cancelling them)

tim

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Whatever we might end up contributing, I'm sure it'll be less than the $33.7 billion they owe "us".

I wouldn't be surprised if the number ends up as $6.2 billion, which just happens to be the size of our bank's exposure...

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http://www.dailymail.co.uk/debate/article-1369663/Alistair-Darling-hurled-particular-lavatory-bowl.html?ITO=1490

Another absentee was Alistair Darling, ex-Chancellor. Pity. Mr Darling is the cur who hurled us into this particular lavatory bowl.

He did it that weekend last May when the general election had just been held and the Coalition had yet to be formed.

Mr Darling was still, officially, Chancellor at that time. So off he toddled to a European summit to sign us up to this bailout mechanism which Portugal now seems set to trigger.

Rocky road: Mark Hoban, left, and Danny Alexander, the 'clunkers' in the ministerial department as Quentin Letts described them, faced some difficult questions in parliament

Rocky road: Mark Hoban, left, and Danny Alexander, the 'clunkers' in the ministerial department as Quentin Letts described them, faced some difficult questions in parliament

Mr Osborne pleaded with Mr Darling not to sign that agreement (‘stability pact’, to give it the proper name). Mr Darling, though in his final hours in office, refused. Hence our liability for many billions. You and I, again, might think this scandalous.

Read more: http://www.dailymail.co.uk/debate/article-1369663/Alistair-Darling-hurled-particular-lavatory-bowl.html#ixzz1HYQrW1VW

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^^^^^^^

Just wow!

I remember seeing something about this at the time. It seems quite incredulous for the sake of a few days or a week or so that this act of treachery couldn't have been stopped or postponed. Someone not in the government being able to sign such an agreement.

On the back of what is gross incompetence, fraud and malice (scorched earth policy spending money they didn't have un the run up to the election), Darling, Balls, Brown, Milliband et al, all continue to lie and deceive, displace blame - did you see the Balls PPB re the budget earlier (mendacious tw@t)?

I really despair... :(

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http://www.bloomberg.com/news/2011-03-24/portugal-is-said-to-need-as-much-as-99-billion-in-any-financial-bailout.html

Portugal Is Said to Need $99 Billion Rescue; Ratings Cut
By James G. Neuger and Joao "Jo" Lima - Mar 25, 2011 12:39 AM GMT
A bailout for Portugal may total as much as 70 billion euros ($99 billion), two European officials with direct knowledge of the matter said, as credit-rating cuts threatened to deepen Portugal’s debt woes.
Preliminary calculations put the cost of a lifeline from 50 billion to 70 billion euros, said the officials, who declined to be named because the issue is confidential. Portugal continued to rule out a rescue after the parliament’s rejection of budget cuts led Prime Minister Jose Socrates to offer to quit.

We may be in line to contribute around 10bn in the first tranch as I sus[pect the debt is far worse than they think--it always is. Bit like the Olympics costs estimates--multiply original estimates by 7 and you get a more or less accurate figure.

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http://www.politicshome.com/uk/story/15357/portuguese_pm_resigns_over_rejected_budget.html

I just can not believe the stupidity of the last government. We are not part of the Euro but it seems we have to pay every time some chumps decide that they need a bailout.

On R4 today just now Robert Peston was saying that the UK contribution would be littleor nothing and certainly nothing on the scale of the UK's contribution to the Irish bailout in which Britain had a vested interest in keeping the Irish afloat. Lets wait and see Eurbashers.

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  • 311 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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