The idea that the banking sector provides a public service is now a recognised myth.
The truth is, as Mr Jeremy Corbyn has said, quoted in The Guardian, that banks were not promoting productive investment but ‘ “lending to households and inflating asset prices on a scale never seen before”.’ Mr Corbyn has also pointed out that “deregulated finance has progressively become more powerful.
Its dominance over industry, obvious and destructive; its control of politics, pernicious and undemocratic”. In 2008, when the economy nearly crashed, banks rushed to the doors of Gordon Brown looking for a solution to their self-induced crisis. Some of these banks had reserves larger than the UK economy. This solution was paid for and is still being paid for by us, the tax payers. What was Mr Brown’s thanks? Cameron and his chancellor blaming him for plunging the UK into debt. Of course, the Tory propagenda machine has turned on Mr Corbyn by smearing him as a traitor, a communist. They will not address the issues raised by him. In our part of Norfolk we have an MP, Liz Truss, who is in complete denial of the state of the nation. The facts are that there is growing inequality in the UK, we have had the lowest wage growth in two centuries, the economy has shrunk by billions of pounds, the NHS is being run down along with other public services, such as the police and fire service, ready for privatisation at a cheap price.
There is some regulation for banks being introduced: splitting retail services from investment services, a bank levy but Mr Corbyn and Labour are advocating ‘a state-owned RBS as a way to link up technology firms and lenders in a way that is geared towards productive lending.’ We, the citizens own 75 per cent of RBS and we should decide how it conducts its business.