Bad bank plan
[Re: Osborne’s bad bank plan will merely rearrange the deckchairs, yesterday]
Most worrying is that the chancellor is blurring the line between political and business decisions. His endless interference in the affairs of RBS seem politically motivated, attempting to ride on the back of anti-banker sentiment. Surely he would endorse the principle that Britain’s companies should be run on sound business principles, with strategy decisions being made by qualified and experienced industry professionals. Why should it be different for RBS? That it has attracted public ire doesn’t change the fact that it is a business and should be run as such.
[Re: A radical proposal to reduce congestion on Britain’s road network, Monday]
The transport sector is dominated by political decisions on resource allocation. Management is led by highway engineers, who know well how to build roads, but know little about product development. No relationship exists between the taxes people pay to use roads and what is spent on them. It’s time to wrestle control of those highway-specific taxes away from the Treasury, put local and strategic roads into commercial companies, and allow those companies to contract people into paying them directly, in exchange for proportionate tax refunds.
BEST OF TWITTER
In 1970s when government printed money, retail prices were inflated. Today, it’s asset prices.
Retail sales up 3.7 and 2.1 per cent on a year ago in May. Supports strong UK growth in second quarter.
The market hates the idea that the Fed is more optimisic about the US. What strange times we live in.
It isn’t possible for banks to increase lending, especially to businesses, without taking more risks.