crash2006 Posted October 1, 2007 Share Posted October 1, 2007 (edited) The Chancellor has staged an embarrassing climbdown by pledging to guarantee only the first £35,000 of savings held in British banks and building societies rather than the £100,000 he originally suggested http://www.telegraph.co.uk/money/main.jhtm...nsavings101.xml Just wondering how people will still believe the government, after so many u turns, once this goes they will not be able to control. It seems labor are not only putting our country into debt but also reducing the trust worthiness of the British government, trust which has taken hundreds of years to build. Edited October 1, 2007 by crash2006 Quote Link to comment Share on other sites More sharing options...
margesimpson Posted October 1, 2007 Share Posted October 1, 2007 http://www.telegraph.co.uk/money/main.jhtm...nsavings101.xmlJust wondering how people will still believe the government, after so many u turns, once this goes they will not be able to control. It seems labor are not only putting our country into debt but also reducing the trust worthiness of the British government, trust which has taken hundreds of years to build. This is running on Sky and every time I see it it reminds me how much unfounded trust we put in banks! But Sky isn't running it as a U-turn story. From the headline £100,000, Darling is now only going to protect an extra £3,500 of your money. Big deal. Quote Link to comment Share on other sites More sharing options...
Jason Posted October 1, 2007 Share Posted October 1, 2007 BBC: http://news.bbc.co.uk/1/hi/business/7021414.stm Quote Link to comment Share on other sites More sharing options...
ImA20SomethingGetMeOutOfHere Posted October 1, 2007 Share Posted October 1, 2007 (edited) I wonder what'll happen next time there's a bank run? How about changing the HPC christmas meet to standing in a pretend queue outside the nearest Northern Rock branch to the BBC headquarters? Edited October 1, 2007 by ImA20SomethingGetMeOutOfHere Quote Link to comment Share on other sites More sharing options...
Ash4781 Posted October 1, 2007 Share Posted October 1, 2007 (edited) the banks wouldn't play ball (pay in to the new scheme) as they know they'll get bailed out anyway. Edited October 1, 2007 by Ash4781 Quote Link to comment Share on other sites More sharing options...
Pent Vaer Posted October 1, 2007 Share Posted October 1, 2007 Uh oh, digging themselves an even deeper hole now. Next time there's a bank run people will ignore absolutely everything that is said as reassurance. Pent Quote Link to comment Share on other sites More sharing options...
chichi Posted October 1, 2007 Share Posted October 1, 2007 They must love this. Promise the earth and never follow up. Quote Link to comment Share on other sites More sharing options...
Justice Posted October 1, 2007 Share Posted October 1, 2007 With this new pledge you got to ask yourself what do the know that we don't and was the NR crash the tip of the iceburg. to me it's a sure sign of trouble ahead Quote Link to comment Share on other sites More sharing options...
EmpiricalBear Posted October 1, 2007 Share Posted October 1, 2007 Why don't they do their blasted sums before opening their mouths. This reveals Darling for the faker he is. It was clear from the beginning that there was no way this could be afforded. If the FSCS scheme can't even 100% cover the existing lower amount, how could it be enlarged to cover 3x the amount? It was all a case of 'things going pear shaped' the week before party conference and having to pump more water out of the ship in a hurry, even if it meant using a chamber pot. Quote Link to comment Share on other sites More sharing options...
Guest Shedfish Posted October 1, 2007 Share Posted October 1, 2007 The ABI had suggested a guarantee of just £30,000, arguing that level would be enough to cover 98pc of savers in the UK. Anything higher could encourage people to put their money into savings accounts, rather than investment products, the ABI said. appaling. i'm lost for words. saving bad, speculation good. same with the equity ISA / cash ISA disparity Quote Link to comment Share on other sites More sharing options...
Guest mSparks Posted October 1, 2007 Share Posted October 1, 2007 http://www.telegraph.co.uk/money/main.jhtm...nsavings101.xmlJust wondering how people will still believe the government, after so many u turns, once this goes they will not be able to control. It seems labor are not only putting our country into debt but also reducing the trust worthiness of the British government, trust which has taken hundreds of years to build. Heh, perhaps the Tories can win a snap election, all they need to do is give the people what they want: Immediately pull troops out of Iraq and Afghanistan, promise no war with Iran. I mean, its not like they actually need to do it... Quote Link to comment Share on other sites More sharing options...
twatmangle Posted October 1, 2007 Share Posted October 1, 2007 Why don't they do their blasted sums before opening their mouths. This reveals Darling for the faker he is. It was clear from the beginning that there was no way this could be afforded. If the FSCS scheme can't even 100% cover the existing lower amount, how could it be enlarged to cover 3x the amount? It was all a case of 'things going pear shaped' the week before party conference and having to pump more water out of the ship in a hurry, even if it meant using a chamber pot. Utter panic and chaos. Labour destroyed the economy in the 70s and made themselves unelectable for a generation. Perhaps this will mean they will be out of power for two - perhaps ever. Quote Link to comment Share on other sites More sharing options...
It is different this time Posted October 1, 2007 Share Posted October 1, 2007 The Chancellor has staged an embarrassing climbdown.... The muppet should have resigned along with his corrupted, unelected, boss after the first bank run in living memory. Dream on, gone the days when politicians honourably step down after their failure. The new norm is to wait until getting voted out of power! Quote Link to comment Share on other sites More sharing options...
Guest An Bearin Bui Posted October 1, 2007 Share Posted October 1, 2007 This is what was so ridiculous about the announcement to guarantee deposits and overhaul the deposit insurance scheme at the time: it was all just spin. There was clearly no way that they could commit the equivalent of half the Defence budget to bailing out voluntary customers of a corrupt bank but they lied their way out of it to stop the so-called 'panic'. Neither could they afford to overhaul the deposit insurance scheme without support from the banks. This was all just spin to calm down the panicking masses and ensure the pensioners were on side before conference season. What they never seemed to notice is that there was no panic - people with savings were legitimately removing them from a bank that had no future and still has no future. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted October 1, 2007 Share Posted October 1, 2007 http://www.telegraph.co.uk/money/main.jhtm...nsavings101.xmlJust wondering how people will still believe the government, after so many u turns, once this goes they will not be able to control. It seems labor are not only putting our country into debt but also reducing the trust worthiness of the British government, trust which has taken hundreds of years to build. Trust? Quote Link to comment Share on other sites More sharing options...
Dubbya Posted October 1, 2007 Share Posted October 1, 2007 I wonder what'll happen next time there's a bank run? How about changing the HPC christmas meet to standing in a pretend queue outside the nearest Northern Rock branch to the BBC headquarters? How about some "flash queues" outside a nominated BS/bank ? Quote Link to comment Share on other sites More sharing options...
DabHand Posted October 1, 2007 Share Posted October 1, 2007 Darling was on Today prog this morning reiterating raising the limit to up to 100k so l am unclear why this earlier info contradicts this. Quote Link to comment Share on other sites More sharing options...
Timil Posted October 1, 2007 Share Posted October 1, 2007 (edited) Its from 2K 100% guaranteed to 35K 100% guaranteed with a view to making it 100K in the future. It makes you wonder what do they know Edited October 1, 2007 by Timil Quote Link to comment Share on other sites More sharing options...
Tonester Posted October 1, 2007 Share Posted October 1, 2007 It's a significant change from a bank run point of view. If I had savings above £2k in NR I would have got money out because you're losing 10% after that. If all of savings up to £35k are protected then only those with savings of more may need to queue - which will be a much shorter queue (only 2% of savers come into this category). That is if you trust the agencies will have enough dosh to cover everyone 100%... Quote Link to comment Share on other sites More sharing options...
EmpiricalBear Posted October 1, 2007 Share Posted October 1, 2007 That is if you trust the agencies will have enough dosh to cover everyone 100%... Thats the big one. If they don't have the cash to cover the previous arrangement, where did this extra money suddenly appear from. Even just the case of NR deposits would put a substantial hole in UK government finances at the time when public borrowing has shot up to its highest for several years. If/when the govt bail out NR depositors expect the £ to head south. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted October 1, 2007 Share Posted October 1, 2007 Thats the big one. If they don't have the cash to cover the previous arrangement, where did this extra money suddenly appear from. Even just the case of NR deposits would put a substantial hole in UK government finances at the time when public borrowing has shot up to its highest for several years. If/when the govt bail out NR depositors expect the £ to head south. they might peal off some of that crumbling gold? in the bank of Englands vaults Quote Link to comment Share on other sites More sharing options...
Stethetaff Posted October 1, 2007 Share Posted October 1, 2007 http://news.bbc.co.uk/1/hi/business/7021414.stm Just thought that Captain Darling should be given his say... Of course this report by the BBC is in no way bias. Good to see the savings protection scheme has been 'extended'... And I'll be betting all my money on it going up to £100k - cos Cap'n D has said he might do it. Subject to having a chat over a glass of something strong with 'the banks'. If this had been reported properly, for the disasterous U-turn that it is, I think we'd have seen NR branches looking rather busy again... Quote Link to comment Share on other sites More sharing options...
meow Posted October 1, 2007 Share Posted October 1, 2007 I wonder what'll happen next time there's a bank run? How about changing the HPC christmas meet to standing in a pretend queue outside the nearest Northern Rock branch to the BBC headquarters? I'm surprised the flash mob lot (http://en.wikipedia.org/wiki/Flash_mob) haven't caught onto this for a laugh, how's about standing outside evey A+L and B+B at exactly 1pm shouting "GIVE ME MY MONEY!!!" Not really though, that would just be irresponsible *does his stern face* Quote Link to comment Share on other sites More sharing options...
TimD Posted October 1, 2007 Share Posted October 1, 2007 I'm surprised the flash mob lot (http://en.wikipedia.org/wiki/Flash_mob) haven't caught onto this for a laugh, how's about standing outside evey A+L and B+B at exactly 1pm shouting "GIVE ME MY MONEY!!!" Not really though, that would just be irresponsible *does his stern face* Brilliant idea! I thought Captain Darling said everyones money was garuanteed in Northern Rock when he was on Newsnight? How hot are his pants now? Typical Labour spin, what's the betting they never up the limit. As Sir Humphrey would say "After thorough consultation, in the fullness of time...." Cheers, Tim. Quote Link to comment Share on other sites More sharing options...
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