View more on these topics

Bank aid sends debt to £2trn

Government aid for Lloyds TSB and RBS has added as much as £1.5 trillion to the national debt.

Last week, the Office of National Statistics had to classify RBS and Lloyds TSB as public sector entities because their corporate policies are in part controlled by the state. Their debts pushed up UK debt to 147 per cent of the nation’s earnings, the highest figure since 1954. The ONS figures now put the total UK national debt in the region of £2 trillion.

Liberal Democrat Shadow Chancellor, Vince Cable says: “Ministers must now accept the reality that they effectively own two large banks and use them to ensure the flow of much needed credit into the economy.”

The Confederation of British Industry says the Government needs to begin to be more open with the public on what it is doing to solve the economic crisis. Director-general Richard Lambert says: “The Government appears to have been fighting a series of forest fires rather than building a platform for economic recovery. There is not nearly enough precision about when all this noise is going to get converted into action. If you ask businesspeople around the country whether they have noticed anything happening at the coalface, the chances are that most of them will shrug their shoulders.”

Recommended

FTSE falls below November lows

The FTSE 100 has fallen to 3,772.45 sinking below last year’s November bear market low as fears deepen about the global banking sector.

Bad bank can bring back good money

As the banking crisis rolls on, calls for a UK bad bank to buy up and hold toxic assets from the balance sheets of troubled lenders are becoming louder.

Rayner Spencer Mills: Why we rate the Artemis US Select Fund

Ken Rayner and Graham O¹Neill from RSM explain why they rate the fund, its investment process and how it can be used in a portfolio The Artemis US Select Fund became a RSM ‘rated’ fund earlier this year. In this video, Ken Rayner and Graham O’Neill explain the fund’s investment approach, why they rate it, […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com