As the FT has noted this afternoon:
Andrew Bailey has been chosen as the next chair of the world's financial stability watchdog, handing the Bank of England governor responsibility for avoiding a financial crisis by co-ordinating policies between top global regulators.
Bailey's nomination as chair of the Financial Stability Board for the next three years, a role he will hold alongside heading the BoE, comes as rising geopolitical tensions and market turmoil sparked by US President Donald Trump's tariffs threaten to upend the global financial system.
Bailey could not, in my opinion, safely pull the skin off a rice pudding, let alone appropriately manage a central bank, or the fallout from Trump within the world financial system.
When something like this happens, you realise just how deep in the mire we really are.
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History repeats itself, first as tragedy than as farce ( Karl Marx I believe )
this looks like both at the same time.
Thank you and well said, Richard.
I worked at the banking trade body from May 2008 – October 2012 and met Bailey and his colleagues like Mervyn King, Paul Tucker, Andy Haldane, Paul Fisher and Sarah Breeden.
Bailey does not inspire confidence.
ÀAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAARRRRRRRGGH!
That’s about right
Un-fucking-believable!
Thank you for all your work and sharing of insights. I have over the weekend been reading your blog from 2008, early 2009. I wish I had found it at the time. There’s a gap between knowing something really bad is happening and having access to analysis by the knowledgeable. I skim the economic pieces in my daily paper with a raised eyebrow these days, rather than trying to wrestle sense out of most of them.
Thanks
What Anne S said.
Once again to quote Blackadder:
“This is the stickiest situation since Sticky the stick insect got stuck on a sticky bun.”
I like it
Must have been a nightmare to record!
I totally agree. Andrew Bailey is what I would call a ‘time server’ who has been sucking up to the banking industry with the expectation that when he retires on a very fat pension indeed, he will move swiftly on to several advisory roles in the same industry.
If he ever had any banking or economic skills, they’ve been masked by his need to not upset his once and future paymasters in the City. We are certainly in the mire….up to our ears, I fear.
When you said ‘mire’ I think you must has spelled ‘shit’ incorrectly.
Scratches head @ people being surprised. Bailey’s appointment shows that what passes for “the system” is working normally. Safe pair of hands, one of the boys (natch), steady as she goes, pick your own metaphore. Not sure he will survive the Mango tornado though.
Agreed
But it makes it no better
[…] We are deep in trouble, most of all with Andrew Bailey in charge of the supposed financial response. […]
Who is responsible for appointing Mr Bailey to his new role? Did they know what they were doing? Is it all part of their plan? Can they be overruled?
Preumably the grand trustees of the FSB
He’s a good man to maintain the capital Order – which is what happened during the 1920’s. (see Mattei)
But under him there will be a slump in economic activity, an increase in monopolisation, and bail outs to the banks.
And mass unemployment and increased poverty.
But I’m not sure he is on the same hymn sheet as Donald Trump.
Hitler didn’t take much notice of the bankers and prospered during financial crises.
https://cepr.org/voxeu/columns/how-failing-banks-paved-hitlers-path-power-financial-crisis-and-right-wing-extremism
Donal Trump blames foreigners for all Americas ills. If Bailey is not careful he will come under that category.
Much to agree with