Everybody knows that if countries like Italy and Spain as well as Portugal and Greece cannot pay their debts then we are in for a bad time right across Europe. But the fact is that companies in the City of London set up 60% and more of Europe’s debt arrangements in the first place. On top of that, British banks are under pressure and are selling their shares at half of what they are supposed to be worth. Morgan Stanley, the biggest financial advisors in the world, say that British banks have the heaviest debts to repay over the next two years - £240 billion by the end of 2013.
Now we are facing mass unemployment, with a million young people jobless, and millions more in casual and insecure employment. We have to fight for the pensions that we paid for! Young families can’t get housing. Public services are being ripped apart. The system we have – based on the City and its banks – has brought all of us to the brink of disaster.
The Coalition government is part of the problem. They have just sold off Northern Rock to US Billionaire Wilbur Ross. Virgin was the cover. Wilbur put up £260 million to Richard Branson’s £50 million. £250 million of Northern Rock’s own savings are being used as part of the ‘payment’ too. It is another one of those special City deals. The taxpayers will still make a loss of £400 million on the sale; while Northern Rock will become again much more financially insecure. Market madness.
What should be done? What could be done?
The Peoples Charter calls for the nationalisation of our banks. That means the government could stand behind all the debts and the investments that benefit the people (pensions, Local Authority finance etc.) – and ‘default’ on the super profits and bonuses that go to the rich. We could change the banks to meet the people’s needs. Why not an investment bank that builds and rebuilds our housing stock? Why not a bank that promotes new technology, green energy and cheap medicine? Let’s put our savings, our taxes, and our national insurance to work – for the people!
We need secure banks that use our money in the interests of all of us and not just the super rich.
How it can work - leaflet Txt
