What Brown, Darling, Cameron and Osborne have in common in this financial crisis is it was correct to save the banks and because of the cost of doing this with taxpayers money things like health and education will be cut. The differences will be in how big the cuts are. The Tories are reverting to old style Thatcherism so forget all about the hug-a-hoody PR.
I read on the BBC website that Mandelson said soundbites are not dead. How about this one then? Following on from Tom Cruise's "Show me the money" in Jerry Maguire, "Follow the money".
Now I'm sure there are good reasons for keeping the banks solvent, bailing them out so they can repay the people they owe money to may be a good thing. Maybe the future earnings and tax income of the City investment banks justifies paying off the present investors in them and keeping London's reputation untarnished among the rich and powerful. If this is the case shouldn't Darling show us the maths?
Now don't confuse saving the banks with small depositors savings or even bank workers jobs. Deposit insurance protects the former and nationalization after bankruptcy would take care of the latter. All I am saying is there was an alternative, bank failure, to throwing billions at the banks. It might not have been the best option but it would be nice to know why not.
So where did the money go? Who had invested in all these failing funds and bad investment instruments at the banks? I wonder whose names would come up. For sure from the UK would be the pension funds. So we have indirectly bailed out some pension funds but that doesn't stop Mandelson talking about the problem of funding the Post Office workers pensions needing outside money. Who else? Must be some UK based hedge funds I guess but then I would be looking overseas. How about the Russian oligarchs, the oil rich Arab sheikdoms and the money that the Chinese have been putting out on the world markets instead of raising the standard of living of their own people. On top of that we would find the rich and famous both from the UK and overseas. Probably find we bailed out the Blairs and the Camerons.
Wouldn't it be nice to know?