Mar
22
2009
Lord Turner’s new regulatory regime
This week Lord Turner announced plans for “profound” banking reform, including the increase in the ration of working capital required for banks to operate.
Except they’re not very profound, really. Banks will still (if they choose, and most high-street outfits will) be beholden to stock markets, and can still borrow money in order to lend it. In short, all that will happen is that the safety net—demonstrated by the current economic fall-out zone as being not just inadequate, but fundamentally flawed—will be made a little bit stronger.
