laurejon Posted March 5, 2008 Share Posted March 5, 2008 Gordon Brown has ordered Darling to wipe the 100bn of public debt from the books. The Chancellor came under fire yesterday over plans to exclude Northern Rock from the public finance figures in his first Budget next week. Alistair Darling plans to exclude the bank’s estimated £100 billion liabilities from the headline figures, both next week and in future. Instead, the figures will be treated as a special item. Adding the bank’s liabilities to the net debt figure would break the Government’s own sustainable investment rule that debt should not exceed 40 per cent of gross domestic product. Including Northern Rock would push that to between 43 and 45 per cent. The Chancellor will use the latest Office for National Statistics (ONS) borrowing figures in his Budget on Wednesday, as usual. These were compiled before the bank’s nationalisation and do not refer to those liabilities. Quote Link to comment Share on other sites More sharing options...
jonpo Posted March 5, 2008 Share Posted March 5, 2008 i do hope the opposition don't let him get away with this..... its lke the banks. eveything is good here... increase dividend, profits up.... bu11sh1t ! Quote Link to comment Share on other sites More sharing options...
Vespasian Posted March 5, 2008 Share Posted March 5, 2008 Maybe they will exclude the taxpayer of responsibility for this shambles too Quote Link to comment Share on other sites More sharing options...
Nicholas Cage Posted March 5, 2008 Share Posted March 5, 2008 The ONS must be pissed off, they forced it through against his wishes. 7th February 2008 12.2 Any Government guarantees in relation to Northern Rock plc’s borrowing and depositors are classified as contingent liabilities for the purposes of National Accounts and Public Sector Finances 14.7 The impact of Northern Rock plc’s reclassification on Public Sector Current Budget has not been quantified but should be minimal. 14.8 With the exception of the relevant transactions referred to in Section 13, the Government Deficit and Debt statistics required for European Union purposes will not be affected by this decision. I suppose we have the EU Treaty referendum vote today, for some reason I think they were using this as a bargaining chip or maybe a threat against rebel MPs and Lib Dems, althought maybe not. Quote Link to comment Share on other sites More sharing options...
Paddles Posted March 5, 2008 Share Posted March 5, 2008 (edited) Hang on, wasn't this one of the key factors in the decision to nationalise it? i.e. the guarantee would have to be brought onto the books in the Branson or Management bids so they decided to fully nationalise it anyway? [edit: spelling, only one "d" in would, but there is a sea in Chesterfield] Edited March 5, 2008 by Paddles Quote Link to comment Share on other sites More sharing options...
Realistbear Posted March 5, 2008 Share Posted March 5, 2008 http://business.timesonline.co.uk/tol/busi...icle3486125.ece The TimesMarch 5, 2008 Chancellor Alistair Darling condemned over Northern Rock Budget planGrainne Gilmore, Philip Webster and Christine Seib The Chancellor came under fire yesterday over plans to exclude Northern Rock from the public finance figures in his first Budget next week. Alistair Darling plans to exclude the bank’s estimated £100 billion liabilities from the headline figures, both next week and in future. Instead, the figures will be treated as a special item. Adding the bank’s liabilities to the net debt figure would break the Government’s own sustainable investment rule that debt should not exceed 40 per cent of gross domestic product. Including Northern Rock would push that to between 43 and 45 per cent..../ Subprime Minister Brown and his poodle, U-turn Ali, are just 2 among a slew of crooks who have been cooking books and fiddling for years. Another time, another Britain and they would have been consigned to the dustbin of economic history years ago. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted March 5, 2008 Share Posted March 5, 2008 Another time, another Britain and they would have been consigned to the dustbin of economic history years ago. This is stunning ---- Dishonesty & Fraud now a way of life - It starts from the Sub-Prime Minister downwards to the lowliest employee in a council office.... Quote Link to comment Share on other sites More sharing options...
OurDayWillCome Posted March 5, 2008 Share Posted March 5, 2008 I thought the delay was due to them working out what they need to put onto the books: ft.com The ONS also said it would delay adding Northern Rock to public sector net debt until next month at the earliest. Officials indicated they wanted to get the sums right first, but said guidance that about £90bn of debt would be added to the books was still broadly correct. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted March 5, 2008 Share Posted March 5, 2008 I thought the delay was due to them working out what they need to put onto the books: ft.comThe ONS also said it would delay adding Northern Rock to public sector net debt until next month at the earliest. Officials indicated they wanted to get the sums right first, but said guidance that about £90bn of debt would be added to the books was still broadly correct. nasty niff in the air?! :angry: Quote Link to comment Share on other sites More sharing options...
OurDayWillCome Posted March 5, 2008 Share Posted March 5, 2008 nasty niff in the air?! :angry: I know what you mean – I have no doubt they are preparing for some kind of fudging, after all, this government can't help itself. Quote Link to comment Share on other sites More sharing options...
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