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Britain Paid An Extra £10Billion To Bail Out Irish Banks In Back-Door Deal Through Rbs

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Bank operates predominately in Republic of Ireland

When the headline says "Britain" paid an extra £10 billion they mean British taxpayers of course (they only come up with the British taxpayers phrase later in the article).

Shouldn't that part of the bailout have been an eu (taxpayers) responsibility.

Edited by billybong

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When the headline says "Britain" paid an extra £10 billion they mean British taxpayers of course (they only come up with the British taxpayers phrase later in the article).

Shouldn't that part of the bailout have been an eu (taxpayers) responsibility.

It may also operate in the Republic of Ireland but it's part of RBS which is definitely UK-based.

Of course, NO taxpayers from whatever country should have been called upon to bail it out because the banks were private enterprises in what is supposedly a capitalist economy. Let failed businesses go to the wall and their owners lose their shirts.

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Complete non-story.

We already knew RBS had lots of messes around the world, including a substantial one in Irish housing. The story and the scandal is, just as it was before, one of UK taxpayers under Scottish politicians, bailing out a bank that is Scottish, British or Global depending on your point of view.

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Does it have something to do with the Oirish economic miracle over which Osborne hymned so rapturously back in 2006? unsure.giflaugh.gif

Easy Toiger

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It may also operate in the Republic of Ireland but it's part of RBS which is definitely UK-based.

Of course, NO taxpayers from whatever country should have been called upon to bail it out because the banks were private enterprises in what is supposedly a capitalist economy. Let failed businesses go to the wall and their owners lose their shirts.

For sure RBS is UK based or at least originates in the UK but it would be interesting to know the full legal status of Ulster Bank (RBS) as a company in the Republic of Ireland/eurozone and whether it might be similar to say the UK's part of the Spanish bank Santander. Apparently Santander UK plc is actually a United Kingdom bank even though wholly owned by the Spanish Santander Group.

So it's likely that Ulster Bank (RBS) in the Republic of Ireland/eurozone is a Republic of Ireland/eurozone bank (legally in company terms) even though owned by the British RBS Group.

So if Santander/Santander UK plc were in similar trouble to RBS would the UK just allow the UK part to go under if Spain/eurozone didn't bail it out (bail it out like the UK did for Ulster Bank [RBS] in the RoI) or would the UK taxpayer be forking out yet again.

From wikipedia:

Ulster Bank (Irish: Banc Uladh) is a large commercial bank, and one of the traditional Big Four Irish banks. The Ulster Bank Group is subdivided into two separate legal entities, Ulster Bank Limited (UBL – registered in Northern Ireland) and Ulster Bank Ireland Limited (UBIL – registered in the Republic of Ireland). The Group's headquarters (and UBIL's) is located in George's Quay, Dublin in the Republic of Ireland whilst the official headquarters of UBL is in Donegall Square East, Belfast,[1] in Northern Ireland, and it maintains a large sector of the financial services in both the UK and Ireland. The Bank is a subsidiary of National Westminster Bank, part of the Royal Bank of Scotland Group since 2000.[2] It has 146 branches in the Republic of Ireland and 90 in Northern Ireland with over 1,200 non-charging ATMs. The Group has over 6,000 employees and over 1.9 million clients.

Edited by billybong

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The Bank is a subsidiary of National Westminster Bank, part of the Royal Bank of Scotland Group since 2000

It's a poor article in the Mail (and the Times) ... in any case the nationality of the bank is beside the point ... banks are trans-national corporations ... but that hasn't stopped them demanding that national governments bail them out (as happened in Irish £80bn bailout). The real story here is about banks being dumb and expecting taxpayers to save them ... its not about the Irish Republic getting money from the British and it's a distraction to suggest otherwise ....

Accepted that of course taxpayers shouldn't be expected to save the daft banks in the first place and the amount of money involved is staggering but several years ago TPTB, without reference to the electorate in any way, decided in favour of bailing out those banks or at least most of them - after they made that decision and taxpayers were left with no choice or say in the matter it then becomes a question of who bears the bailout cost and whether it's even legal.

So then one of the points in question is if the Ulster Bank is a RoI/eurozone bank (albeit owned by a British bank) then why did only the British taxpayer have to bear the cost of the (stealth) bailout and why didn't the eurozone contribute at least part of the bailout cost as the bank's failure comes under the eurozone jurisdiction as a company.

The reasons could have implications for other trans-national banks both in Britain and elsewhere or is it just Hobson's choice who pays up for bailouts around the world.

The legality of whether taxpayers should be bailing out banks needs to be appraised and if it is legal to bail them out then the legality of which taxpayers should be bailing out which parts of the banks should also be appraised as the amounts of money involved are so huge costing individual taxpayers so much money every time.

The stealth aspect is another factor and raises the question of the legality of British taxpayers having to pay the costs - otherwise why the stealth and the circumvention of Parliament.

Edited by billybong

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  • 243 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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