• Privacy policy
  • T&C’s
  • About Us
    • FAQ
    • Meet the Team
  • Contact us
TLE ONLINE SHOP!
  • TLE
  • News
  • Politics
  • Business
  • Sport
  • Opinion
  • Elevenses
  • Entertainment
    • All Entertainment
    • Film
    • Lifestyle
      • Horoscopes
    • Lottery Results
      • Lotto
      • Thunderball
      • Set For Life
      • EuroMillions
  • Food
    • All Food
    • Recipes
  • Property
  • Travel
  • Tech/Auto
No Result
View All Result
The London Economic
SUPPORT THE LONDON ECONOMIC
NEWSLETTER
  • TLE
  • News
  • Politics
  • Business
  • Sport
  • Opinion
  • Elevenses
  • Entertainment
    • All Entertainment
    • Film
    • Lifestyle
      • Horoscopes
    • Lottery Results
      • Lotto
      • Thunderball
      • Set For Life
      • EuroMillions
  • Food
    • All Food
    • Recipes
  • Property
  • Travel
  • Tech/Auto
No Result
View All Result
The London Economic
No Result
View All Result
Home Uncategorised

10 years since the credit crunch, and it’s still the poor people’s fault

On 9th August 2007 the banking sector observed the first shudder of what was to become a debilitating earthquake of seismic proportions. The markets woke up to find French bank BNP Paribas had halted redemptions on three investment funds because it was unable to measure the value of the (then) obscure (but now infamous) collateralised debt obligation […]

Jack Peat by Jack Peat
2017-08-08 09:51
in Uncategorised
FacebookTwitterLinkedinEmailWhatsapp

On 9th August 2007 the banking sector observed the first shudder of what was to become a debilitating earthquake of seismic proportions.

The markets woke up to find French bank BNP Paribas had halted redemptions on three investment funds because it was unable to measure the value of the (then) obscure (but now infamous) collateralised debt obligation (CDO) instruments in its portfolio. The bundles had been designed to make risky debt look secure, thus increasing their availability and flooding the market with shoddy financial products.

But as bankers wined and dined their way through a gloriously gluttonous era for the financial industry a huge pile of bad debt was mounting that would ultimately cripple advanced economies. Northern Rock fell, Bear Stearns went and other mega institutions such as Fannie Mae and Freddie Mac and Lehman Brothers started to topple before the whole thing collapsed. As governments stepped in to bail them out the greatest cover-up story of all time was being devised to justify spending such vast sums on a clearly broken sector. Rather than considering how to change their practices the government focussed on an entirely different question; how can we blame poor people?

Although the banking crisis has origins under governments that far precede that of the Conservative-Liberal coalition of 2007, it was under David Cameron and George Osborne that the rhetoric shifted from “banking crisis” to “austerity Britain”. It was an interesting phrase to use. Austerity is aimed at reducing public expenditure and suggests that countries have been spending above their means. But other than the huge sums paid out to cover the banking crisis that simply wasn’t the case in Britain.

Regardless, the public discourse had been shifted to over-spending. Almost over night poverty porn was unwittingly embraced by the country. Benefit cheats were brandished across the front pages of newspapers and TV schedules became overrun with programmes such as The Great British Benefits Handout and Life On The Dole. The poor became victimised as a result of a financial crisis that they had no hand in – and people wonder why they voted in protest when the EU referendum came around.

RelatedPosts

The North American Income Trust – Reasons to be cheerful

Ecofin Global Utilities and Infrastructure – Staying nimble

On the Job Safety – 3 Considerations when setting up a Public Construction Site

Film Review: The House With A Clock In Its Walls

The reality is that ten years on from the start of the Credit Crunch austerity has hit the country hard. A report leaked yesterday to The London Economic by Shadow Health Secretary Jonathan Ashworth shows the NHS is in tatters because of Tory underfunding of primary care services, and that barely scratches the surface. Pension ages are to be increased, education is falling short, fire brigades and policing numbers are being cut to the bone and we can’t even afford to fund our own Job Centres anymore. All as evidence emerges that banking practices are returning to the pre-crisis ‘norm’.

But so ingrained is the notion that poor people are to blame for the financial crisis one wonders whether we will ever see it for what it really was. All I will say is, amidst the doom and gloom, thank God for Jeremy Corbyn. At least he has no qualms about upsetting rich banking pals and putting the blame at the feet of those who really deserve it. In this day an age we really need people like that in power if we are to avoid this ever happening again.

RELATED 

You’re probably an evil Socialist, but you don’t even know it

If politicians want to further social mobility they need to review the school system

Tags: headline
Please login to join discussion

Subscribe to our Newsletter

View our  Privacy Policy and Terms & Conditions

Trending on TLE

  • All
  • trending
Abdollah

‘Rescue us’: Afghan teacher begs UK to help him escape Taliban

CHOMSKY: “If Corbyn had been elected, Britain would be pursuing a much more sane course”

What If We Got Rid Of Prisons?

More from TLE

No further extension to furlough scheme, warns Johnson

The Sectarianisation of Public Spaces

Economic round up – May 2018

Ambulance destroyed as paramedics treated patient at nearby house

Long trip to China paying off for former Everton player

Carrie Johnson ordered three ‘decoy dresses’ to keep wedding secret – report

Why we should be taking advantage of free walking tours

Five reasons England will lose tonight

One in eight men say they could win a point in a game of tennis against Serena Williams

ISIS terrorists break out of Kurdish jails after Trump abandons Kurd allies to Turkish offensive

About Us

TheLondonEconomic.com – Open, accessible and accountable news, sport, culture and lifestyle.

Read more

© 2019 thelondoneconomic.com - TLE, International House, 24 Holborn Viaduct, London EC1A 2BN. All Rights Reserved.




No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Entertainment
  • Lifestyle
  • Food
  • Travel
  • More…
    • Elevenses
    • Opinion
    • Property
    • Tech & Auto
  • About Us
    • Meet the Team
    • Privacy policy
  • Contact us

© 2019 thelondoneconomic.com - TLE, International House, 24 Holborn Viaduct, London EC1A 2BN. All Rights Reserved.