The collapse of the Dunfermline Building Society proves:
- The urgent need for a Glass Steagall Act in the UK to enforce a split between routine banking based on deposit taking and speculative activity. It was speculative activity in buying second-hand mortgages and in property related speculation that seems to have brought this building society down.
- The urgent need for a People’s Bank in the UK. Please support the campaign.
- The need for action to bring directors of how organisations, including banning them from being directors of other organisations for considerable periods of time. I watched with absolute astonishment the CEO of this failed building society blaming the government for its failure on Sunday night. He ruined this building society. Having imposed a cost of more than £1 billion in all likelihood upon the state he should never be allowed to direct another company in the UK again.
- The weaknesses in the Turner report. I do not think that Turner would have stopped this abuse.
When will we learn the lesson?
When will we stop a tiny minority of people acting in pursuit of their own greed from abusing the common property of millions of other people, and the taxpayer?
Where, apart from Vince Cable, is the politician in a position of serious authority with the nerve to say this?