In These New Times

A new paradigm for a post-imperial world

Posts Tagged ‘no new bailout’

The empire fights back!

Posted by seumasach on November 23, 2010

Cailean Bochanan
23rd November, 2010
We haven’t had to wait long after the G20 summit for hostilities to break out. In a speech at a conference of European central bankers in Frankfurt Bernanke, chairman of the Federal Reserve had the temerity to blame China for the “excessive or volatile capital inflows” caused by dollar devaluation or quantitative easing. Let’s hope the Europeans took note of the new, abrasive style. After all, it’s also directed at them.
If the media is awash with anti-China propaganda it is also barking as never before for the end of the eurozone as if it was they who had just embarked on a lunatic programme of currency devaluation. But the idea is to bounce them into it, to break up the EU and to loot the place, which having never fully been subjected to the rigours of Thatcherism still has an air of complacent prosperity compared to the bombed out squalor of large areas of the US/UK. There are still juicy pickings there and City of London sharks, strategically placed and sensing weak EU leadership, have got the scent of blood.

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Tory MPs urge Cameron to block British money being used to bailout ailing Irish economy

Posted by seumasach on November 17, 2010

The eurosceptics are sniping away as usual being too foolish to see that it’s UK banking that is on the line:

Sources close to Chancellor George Osborne made clear that the Government views the Irish crisis as much more important for Britain than the Greek bailout earlier this year – in which only members of the eurozone were forced to contribute.

One said: ‘It’s not in our interests to see Ireland get into trouble.’

The idiocy of the semi-nationalisation of the likes of RBS without first putting it through bankruptcy now becomes clear:

Royal Bank of Scotland is also under threat since the state-owned bank has £53billion of exposure to Irish loans, more than £40billion of which are underwritten by British taxpayers.

In other words, the bailout is automatic in this case


Daily Mail

15th November, 2010

Tory MPs today urged David Cameron not to allow British taxpayers’ money to be used to bail out crisis-hit Ireland.

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UK economy may need more stimulus, says Bank of England’s Martin Weale

Posted by seumasach on November 16, 2010

The “UK economy” is largely a fiction, a spending bubble which is coming to an end- it is already beyond stimulus and requires total reconstruction from the base. QE will be directed at purchasing the kind of “assets” that RBS is desperately hawking at knockdown prices and UK government bonds which China will likely be minded to ditch after Cameron’s comments in Beijing. As before the money will spread around the world in search of higher interest rates and returns in a final frenzy of parasitism.


16th November, 2010

The “most likely” outcome at the end of 2013 is that the UK’s real gross domestic product will remain about 6pc below its pre-crisis trend, said Martin Weale, a member of the Bank’s Monetary Policy Committee (MPC).

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A crisis we can’t afford to ignore

Posted by seumasach on November 16, 2010

RBS owns the Ulster Bank in Ireland and Lloyds offshoot HBOS went on a mad expansion spree in Ireland at the peak of the credit boom in 2005.

Now we can see why Cameron is so keen on an EU bailout of Ireland- with £143 bullion invested in Ireland, much of it directly into Ireland’s collapsing property market, it would be to a large extent a bailout of Britain’s banks. This is in any case inevitable given the collapse of our own economy and property market, but it would be a coup for the City if they could get the EU to cough up for a large chunk of it. The EU has yet to deal with the “British question”- the fact that they have left their western flank exposed to city of London financial operations. This could be an opportunity to do so. Interesting that after the rebuff of the Obama/Cameron offensive in Seoul, the focus turns immediately to the euro rather than to the infinitely more vulnerable pound and dollar.

Alex Brummer

Daily Mail

16th November, 2010

No one in Britain can look at the rapidly unfolding Irish financial crisis with any kind of calm because the UK and Irish banking systems – and the countries’ wider economies – are inextricably bound together.

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Posted in Battle for Europe, UK economy | Tagged: | Leave a Comment »

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