Foreign Perspectives

It looks like the UK government is shaping up to provide yet another unconditional guarantee with an open-ended cost for the taxpayers.

Last time it was Northern Rock for which they have kindly guaranteed that everyone in the UK will pay £1300 to support a bank that should simply have been allowed to fail. This time, it’s potentially even more than that as they appear to be about to guarantee that they will cover any losses incurred by any of the 25 million people who are not potentially at risk to identity fraud thanks to action by the government.

Still, at least they are directly responsible for that this time around.