Monday, 29 September 2008

Bradford & Bingley Demise & Sir Humphrey


Not such a good idea after all

I had a mortgage with the Bradford & Bingley when they were a mutual. When the 'deal' period ended (they had demutualised) they weren't interested in keeping my business, they had adopted the 'buy to let' model for the fast buck. I went elsewhere.

The whole fiasco reminds me of the Foreign Office approach from 'Yes Minister' which banks & government appear to have adopted...

Sir Richard Wharton: Standard Foreign Office response in a time of crisis.
Sir Richard Wharton: In stage one we say nothing is going to happen.
Sir Humphrey Appleby: Stage two, we say something may be about to happen, but we should do nothing about it.
Sir Richard Wharton: In stage three, we say that maybe we should do something about it, but there's nothing we can do.
Sir Humphrey Appleby: Stage four, we say maybe there was something we could have done, but it's too late now.

Except they have had to go for the rare stage 5 - emergency action, to prevent a good old fashioned run on the bank...

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