Lending is never going to be risk-free. More risky and long-term lending has been hived off to the non-bank sector, such as private equity, where there is little transparency. Tough capital ratios have produced bad outcomes. This does not affect our editorial independence. * Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. National economies were plunged into recession and, 16 years later, the public finances of the world’s most advanced economies are still dealing with the consequences in terms of borrowing and debt levels.
Reforms such as improved deposit insurance of £85,000 in the UK, the separation of consumer from casino banking and stronger capital requirements have proved sensible. But as is often the case, the enforcers overdo it. End of the golden age of iron ore? Boots appoints ex-shop floor worker to take helm as US owner… China’s property market… The buzz is back: John Lewis boss eyes higher profits as he… Tesco loses Supreme Court legal battle over plans to ‘fire…
But if the UK wants a vibrant and competitive banking sector, that feels able to address lagging private sector investment and lacklustre productivity, there is a strong case for further liberalisation. If you have any issues pertaining to in which and how to use เครดิตฟรี, you can speak to us at our website. The decision of the Bank’s prudential arm to take the foot off Basel brakes is correct.