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Monday, 7 March 2011

A stupid idea for our times

In one of the more stupid populist ideas for a long time, a Lib Dem MP has proposed giving away the government's shares in RBS and HBOS, because he feels that they will be more accountable to the people.

Like that really worked the last time.  No, having spent £30 billion and more of tax payers' money, the government's job is to get that money back by squeezing the banks, not to give the shares away.  The idea that any company becomes more accountable when it is held by 40 million people is laughable.

The responsibility for ensuring that the banks behave themselves for the sake of the economy lies with the government supervisors at the FSA and/or Bank of England not with millions of small shareholders.

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