Originally posted by Doggy Styles
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You really haven't got a clue, have you! 
The BoE had responsibilities left to it by HMG. The FSA was given responsibility for regulating banks, before King became governor. The BoE cannot unilaterally do things outside its remit.
The only independence in this context, if that was what it truly was, was in setting interest rates to keep inflation within a narrow band. That government policy obviously didn't work in the long term, but it is up to the government to change policy and put it right, not the BoE.
The perpetrators of that policy having gone, HMG and the BoE now seem to be keeping rates low to avoid an even bigger disaster for mortgage borrowers. You now moan about it, but if you were in charge and sticking your 2% onto rates, how would you explain that to the extra two million voters it puts into difficulties?
Anyway, I thought even you might know that Mervyn King has long critisised excessive bank bonuses and profits, which is the same thing you bang on about ad nauseum.
The BoE had responsibilities left to it by HMG. The FSA was given responsibility for regulating banks, before King became governor. The BoE cannot unilaterally do things outside its remit.
The only independence in this context, if that was what it truly was, was in setting interest rates to keep inflation within a narrow band. That government policy obviously didn't work in the long term, but it is up to the government to change policy and put it right, not the BoE.
The perpetrators of that policy having gone, HMG and the BoE now seem to be keeping rates low to avoid an even bigger disaster for mortgage borrowers. You now moan about it, but if you were in charge and sticking your 2% onto rates, how would you explain that to the extra two million voters it puts into difficulties?
Anyway, I thought even you might know that Mervyn King has long critisised excessive bank bonuses and profits, which is the same thing you bang on about ad nauseum.
"With the benefit of hindsight, we should have shouted from the rooftops that a system had been built in which banks were too important to fail, that banks had grown too quickly and borrowed too much, and that so-called 'light-touch' regulation hadn't prevented any of this."
It would not take 2% rate increase to keep inflation under control. Lack of QE would probably have done it - if not rates of 0.75%.
For what he is paid, there is a responsibility to give people bad news. He should say "its your fault for borrowing too much". It would send a message that before we can spend we have to earn. At the moment he is destroying those people who have retired, most notably pensioners.
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