Northern Rock Nationalised!

[andrewb]

BBC NEWS | Business | Northern Rock to be nationalised

What does this mean for future banks? That they can take huge risks, making their board members richer, whilst still have the safety of falling back on nationalisation when their failed business model comes to a crash? or is it worth it, to save face for the rest of the financial sector in Britain that is still thriving?

[cmonstanley]

its to try and slow down the recession thats going to hit this country big time..everything might look rosy at the moment but the banks and credit card companies are starting to tighten their belts .there is not a very big first time buyers market bacause they cant afford to buy.plus the letting companies who buy of their equities will be hit big time as well when the mortgage lenders draw back their money it will just take 10 tennants not to pay their rent and their companies will come crumbling down .save up now because there will be plenty of houses to buy in six years..

chopped pork and hamyuk

[cashman]

if the financial sector in Britain is still thriving,we must be living on differant planets.

[MargaretR]

Just heard on BBC news that this move has cost every taxpayer £3,500
I can't afford it - a recession is coming

[lancsdave]

Maybe they have finally realised privatisation was wrong in the first place

[cashman]

Originally Posted by [email protected]

a recession is coming

No margaret the rest of the british financial sector is thriving.(see post1)

[MargaretR]

Originally Posted by lancsdave

Maybe they have finally realised privatisation was wrong in the first place

How come? -- they have just done it -- I think they should just have let it fold up -- people should be more careful about where they put their money instead of just chasing the highest rates of interest.
I have looked at where best to put my savings
At the moment an Icelandic bank gives the best interest but I haven't done it because, to me, that means 'offshore'= risky

[cmonstanley]

why dont they nationalise british telecom ,british gas,and the electric companies the taxpayer would make a fortune and we would pay less tax.oh a forgot thats too logical thats helping the british tax payer
thats hepling the country.thatcher and her cronies still have a lot to answer for

[andrewb]

What? Privatisation has driven prices down because of huge competition. Look at the broadband market, its available to you and from many different companies and look how cheap you're getting it!

The only reason its 'helping the British tax payer' is because the Bank of England shouldn't have pumped £23billion into Northern Rock when they had no solid way of getting out of the mess other than nationalising it to claim back the money.

[Madhatter]

This country has been slipping back in to recession for at least 5 yrs. Each year when the quiet times come around at work they get quieter and quieter. Work still hasn't picked back up for us after Christmas. We've got two vans sitting idle at the moment most days. I used to be up accy twice a month now its once every three if i'm lucky. I think it was the right thing to do, the others don't really have the huge number of mortgages that northern rock do do they? It's my understanding that this was northern rocks main business. Virgin aren't popular at all at the minute there's anarchy over the railways, passengers are going on strike and boycotting everything virgin, northern rock doesn't need that sort of publicity.

[No.9 Dream]

They spend billions nationalising a bank and yet the basic nesessities of life like water,like gas like electricity are still in private hands with rocketing profits and ever increasing charges...a bank I can live without water I cant.....they make me sick!!!!!

[jaysay]

Originally Posted by [email protected]

Just heard on BBC news that this move has cost every taxpayer £3,500
I can't afford it - a recession is coming

No wonder I'm skint all the time

[cmonstanley]

Originally Posted by Cyfr

What? Privatisation has driven prices down because of huge competition. Look at the broadband market, its available to you and from many different companies and look how cheap you're getting it!

The only reason its 'helping the British tax payer' is because the Bank of England shouldn't have pumped £23billion into Northern Rock when they had no solid way of getting out of the mess other than nationalising it to claim back the money.

privatisation has driven british jobs abroad for a quick buck and maximised profit for a few.a nationalised utility system profits would be used to modernise the utilitys system not end up in somebodies back pocket and would provide jobs they could even use it to get some of the youth of the street and into apprenticeship to give them a focus in life instead of placing them on the scrapheap.we need a new vision in this country we have tried thatcherism and it has failed we are feeling the affect now the world isnt just about profit profit its about a standard of living...

[Acrylic-bob]

The real danger of this nationalisation is that all the other banks will now claim that they cannot finance mortgages without equally unlimited acess to treasury/tax-payer cash.

What happens when they say to home-buyers "sorry, we can't lend you any cash for your new home coz the government won't open its coffers to us."

Brown, Darling and the Economy have been teetering on the brink for the past year, now it's downhill all the way into financial meltdown. You thought the seventies and eighties were bad, we are all going to see the inevitable result of Labour financial policies, fasten your seat belts it's going to be a bumpy ride.

But what will make this even more galling than last time is that you were all warned what would happen but you blindly and blithely went ahead and voted the lunatics into control of the asylum. It make take a while but chickens do eventually all come home to roost.

HAPPY RECESSION !

[cashman]

i will say again "What Recession"? the rest of the british financial sector is thriving.