Credit crisis and Labour
Saturday
No-one could have expected the Government funding to resolve the banking credit crisis would have had such a limited effect.
Indeed, at this precise moment it looks like the rescue package has had the reverse effect, with the markets spooked at the size and range of the problems and unable to determine how to proceed.
Darling has appeared and made his pronouncements, but with the Prime Minister now commanding the heights of publicity it would appear that No 10 has decided that the scheme is going to work and that with no blame to be apportioned, Gordon Brown will stride the world stage and take the glory for solving anything and everything.
The party politics of all of this is involved and difficult to predict, but some early lessons are clear. Reading the English (and I do mean English) newspapers gives a more non-parochial, more critical, view that the Sottish papers seldom seem to manage.
Brown is off the hook as regards a challenge to his authority, and regardless of the outcome of the Glenrothes by-election, he will continue until the next election. (As an aside, the outcome of the by-election is going to be irrelevant, politically, which is why I suspect that Labour might just hold the seat).
Brown is not being blamed for the credit crisis – it is just not his fault.
This is – of course – utter bollocks, as he was solely responsible for the economic policies that lead to a collapse in the savings ratio; that encouraged, nay worshipped, the creation of obsceneamounts of wealth bonuses in the city; that continued to encourage the expectation that borrowing large sums would always generate a large and profitable return; and, that created a tax structure to attract plutocrats who in turn further over-expanded the debt base of the country.
The columnists have – almost entirely – forgotten this, or at least put it to one side, whilst encouraging Brown to get on with his task of saving the economy, or possibly the world.
And boy, has he risen to the challenge. He is in his element, micromanaging a major economic problem, rather than the dull day-to-day demands of Premiership.
And the Tories are stuffed. In the interests of economic well-being they support every action of the Government, and cannot/will not put reward other strategies. Labour have positioned themselves as the saviours of the economy, and no-one is nay-saying.
At least not at the moment.
If they keep this up, they could – just possibly might – be well placed to win the next election.
No-one could have expected the Government funding to resolve the banking credit crisis would have had such a limited effect.
Indeed, at this precise moment it looks like the rescue package has had the reverse effect, with the markets spooked at the size and range of the problems and unable to determine how to proceed.
Darling has appeared and made his pronouncements, but with the Prime Minister now commanding the heights of publicity it would appear that No 10 has decided that the scheme is going to work and that with no blame to be apportioned, Gordon Brown will stride the world stage and take the glory for solving anything and everything.
The party politics of all of this is involved and difficult to predict, but some early lessons are clear. Reading the English (and I do mean English) newspapers gives a more non-parochial, more critical, view that the Sottish papers seldom seem to manage.
Brown is off the hook as regards a challenge to his authority, and regardless of the outcome of the Glenrothes by-election, he will continue until the next election. (As an aside, the outcome of the by-election is going to be irrelevant, politically, which is why I suspect that Labour might just hold the seat).
Brown is not being blamed for the credit crisis – it is just not his fault.
This is – of course – utter bollocks, as he was solely responsible for the economic policies that lead to a collapse in the savings ratio; that encouraged, nay worshipped, the creation of obscene
The columnists have – almost entirely – forgotten this, or at least put it to one side, whilst encouraging Brown to get on with his task of saving the economy, or possibly the world.
And boy, has he risen to the challenge. He is in his element, micromanaging a major economic problem, rather than the dull day-to-day demands of Premiership.
And the Tories are stuffed. In the interests of economic well-being they support every action of the Government, and cannot/will not put reward other strategies. Labour have positioned themselves as the saviours of the economy, and no-one is nay-saying.
At least not at the moment.
If they keep this up, they could – just possibly might – be well placed to win the next election.
4 comments:
With the great effect that off balance sheet liabilities have had with regard to this crisis I only hope that our Council are fully aware of the very signifiant off balance sheet liabilities that they will be creating should the schools rebuild go ahead under the PPP financing regime?
The consequences for services on our islands could be catastrophic but sadly not fully appreciated as being a possible outcome of the high costs of this financing method.
a (rather cruel joke in the Herald Diary today:
Q what is the capital of Iceland?
A about £3.50
It is sad to say but this blog really does seem to have lost its way in recent weeks.
The SNP 'Camp' has had its impact and seems to have kicked your teeth out Angus.
People on the island are talking about the lack of pace, gossip and fact that you now produce. Contrats this to the O'Neils gossip a mere few months ago. You are about as effective as SNH in a public debate. Yes Angus. Someone had to say it. your finger is off the pulse.
Bring back the old Angus or move onto pastures new. The time has come to make that decisison. You know it makes sense.
Correct. Having listened to Dave on the radio yesterday, it is very likely that he himself will be voting Labour at the next election. Such was his adoration of the marvellous 'rescue' package. The Tories have little to offer in response and are not an oppostion party at all. What Dave has missed (or may even agree with) is that Labour have more control than ever over our lives and now have access to our bank accounts...State control of the banking system even though they pretended to give the Bank of England autonomy when they came to power. Provided that the next general election isn't scrapped and replaced with a survey about recycling, I, as a life long Tory voter, will be putting my cross against MRLP lot (or nearest equivalent). If we are going to elect nutters, let's have those that at least own up to being bonkers.
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