Alistair Darling denies rift with Mervyn King
As we have covered over the last few days there appears to be a significant rift growing between the UK government and the Bank of England with Mervyn King, Alistair Darling and Gordon Brown apparently at loggerheads. The issue came to a head at the recent Mansion House dinner where comments by Mervyn King appeared to be at odds with the thoughts and understanding of the UK government. So what exactly is going on?
It has become more and more apparent over the last few days that Mervyn King and the Bank of England in general have not been as active in the writing of new regulations as they perhaps should have been. The UK government has taken control of the situation and effectively told Mervyn King and his Bank of England colleagues that they will be forced to adhere to these new rules as and when they are announced.
So we have the governor of one of the largest banks in the world out of the loop with regards to regulatory changes and the future of the financial services industry. It does appear as though a Mervyn King had kept quiet for some time until the UK government announced it would be releasing new regulations in the short term. Where we go from here very much remains to be seen.
Share this..
Related stories
Will the FTSE continue its rally in 2010?
As the UK stock market finishes the year on a high, more and more research analysts are looking towards 2010 with concern. There is a feeling in some places that many investors are ignoring the fact that the UK economy is not yet out of recession and is not certain to leave the recession in the final quarter of 2009. While it is highly likely the UK will leave recession in 2009 this is by no means...
Read MoreCould a Bernard Madoff fraud happen in the UK?
As the Madoff situation continues to roll on there is concern that a similar type of fraud could happen in the UK market. Weaknesses in the regulatory environment have been highlighted since the banking sector began to crumble and many people believe there are a number of potential frauds and criminal activities waiting to be discovered. Only recently we saw a massive mortgage fraud which resulted...
Read MoreProducer price inflation hits 3.8%
The price of goods leaving the factory gate increase by an annual rate of 3.8% last month according to figures from the Office for National Statistics. This is the fastest increase seen for 13 months and will fuel fears that inflation could yet rear its ugly head and become a prominent barrier to any UK economic upturn. Producer price inflation for December 2009 increased by 0.4% compared to th...
Read MoreHouse prices 'fall 1.6 per cent'
House prices fell by 1.6 per cent in February, new government figures reveal.The new report, from the Department of Communities and Local Government, also showed that the annual rate of property inflation was down to 6.7 per cent.This forms a 1.3 per cent drop from January's figure - and is indicative of the difficulties buyers are having with securing a mortgage in the credit crunch.Overall, the...
Read MoreBarclays extends Smartphone cheque scheme
05/12/2014 One million more people will be invited to take part in a scheme, which allows people to pay a cheque into their bank account by taking a photo of it on their smart phone. Barclays, who are running the scheme, have only made this available to a few thousand customers so far, but plan on extending the scheme to one million more customers thanks to its success. Customers who ar...
Read More