For a bit of end-of-year ‘cheer’, you only have to read the latest entries of the BBC’s Robert Peston’s business blog to realise just how lose we came to disaster in October. HBOS (Nat West’s owner) and RBS were hours away from closing for business, only kept alive by their substantial deposits.
In an extraordinary interview, the always readable Peston shows the distinct underestimation of the crisis from the Bank Of England that was responsible for the slow reaction and lack of foresight in the road to our current financial status. Maybe that will be the turning point, or just another blip in the downward arc that will see us strike much lower before recovery starts. It’s another piece in the ever-complex account that, had it been a novel, would be essential reading, but is sadly reality.