Mervyn King: Banks putting profits before customers
 

Banks are trying to maximise short-term profit at the expense of customers, the Bank of England governor has said.

In a Daily Telegraph interview, Mervyn King questioned the bonus system and warned that failure to reform the sector could result in another financial crisis.

BBC correspondents say the remarks are significant because the Bank of England is taking over regulation.

http://www.bbc.co.uk/news/business-12655035

Note: 5 March 2011 Last updated at 13:16 GMT

Say it ain't so, Joe. Say it ain't so.

LMAO :har:

Now, who would have thought....:doh:

The guy is a smeg head and as no real idea what hes doing.

It's standard bank procedure here in Australia. That's why they are making billion dollar profits!:damn::damn::damn::damn::damn::damn:

And that is why I'm with a credit union! At least all profits go back into member services!:sunny:

And when they lose money the taxpayer bails them out...if they are big enough...pretty neat business concept.:shifty:

More "news".

The unions do have an argument on that level, the government bails out banks, but doesn't ask for cuts in salary, multimillion bonuses and stock options.
Since bankers got our tax money, their salaries should be cut to the average norm, cut benefits, etc...

Which, unfortunately, will most likely never happen. If anything they should have lost their salaries for at least one year, with no chance of recouping that loss beyond working a second job (and I mean a minimum wage job digging ditches). But no, we will probably never see that happen because they have so many legal bindings in the way that nobody can touch them.

+1

:)

Just tell me what you want delivered :O:

Mervyn was on the beeb the other day, saying he was 'surprised' that more of those ordinary people who had nothing whatsoever to do with the banking crisis, were not taking to the streets in anger...

Regulation of banks and bonuses is all well and good, you'll hear, but if we treat these poor financiers too harshly, they'll go and make money elsewhere, taking all of our money with them, sort of.

If the governor of the bank of england can't deal with the high-street banks avarice accordingly, then what hope does anyone else have?

As one of 'those ordinary people who had nothing whatsoever to do with the banking crisis' I find the majority of my time is spent jobhunting, to replace the financial stability I lost because of a screwy economy and employment market. Travelling to london to wave placards about is a bit beyond my current budget, looking at train tickets.

For me the irony is only now am I in debt - before all this mess I was treading water nicely, thankyou. Which brings me to another point. A while back some spokesperson/mp type had the nerve to say we should all have at least 6-12 months wages stashed away, in case of recession... :rotfl2:
I get the theory, but in practise, I have never earned enough for that kind of strategy. Couple that to the ever growing cost of living here and it's a pipe dream for most and a conceit for the few to espouse.

Never mind... It's all utterly bonkers anyway. :dead:

http://www.movieactors.com/photos/casablanca145.jpeg

I'm shocked!! SHOCKED!!