Sky News business editor Michael Wilson
We know that the global credit crunch walked off Main Street USA, via Wall Street, across to the City and then in through your front door, as your mortgage got more expensive.
It also entered number 10 Downing Street yesterday, as the Prime Minister called a breakfast meeting for our senior lenders to blame them for not passing on the Bank of England's recent rate cuts, and to presumably ask them what they intended to do about it.
The Prime Minister is said to have offered help to the frozen financial markets, provided the bank offered loans to first-time buyers.
One of those who crossed the illustrious threshold was Andy Hornby, chief of the country's biggest mortgage lender, the Halifax.
He may well have paid some lip service to the Prime Minister's concerns, but even as he sipped his breakfast beverage, back at the office the underlings were waiting to press the button on the latest HBOS mortgage deal - raising the interest rate on two of their most popular, first-time buyer mortgage deals by as much as half a per cent.
While Brown hinted at ways of breaking the logjam in the banks' money markets, it's clear that the banks have to get on with their business, while the authorities dither, and Labour worries, finally, about the voter backlash from the most serious household financial crisis in generations.
How appropriate then, that the Prime Minister is in the US today. There, the Federal Reserve didn't hesitate to move when one of its banking behemoths, Bear Stearns, faced disaster last month.
One wonders what the Prime Minister will learn from Wall Street's finest as he meets them today. And what will they think of him.
One would have thought it better to send the Chancellor on a trip to the US to discuss finance, shows that Mr Brown still has the keys to No 11 as well.
Judging by the 25billion unsecured debt in Britain today, Mr Brown really needs some finacial services experience.
What will America make of him, most people in the States do not even know what he looks like!
Posted by: Elizabeth Davies Cape Town 16 Apr 2008 13:40:34
Sir
Thus far as the doom and gloom that has been bestowed upon the humble household, you and I both know we are [Already There], yet this [Chicane] continues.
As Bank's and Building Societies dither over whether or not to pass on the good times to their loyal customers, the determined amongst them wil remember the hardship they enforced them to got hrough when finacial market stability re-emerges and boy will the likes of Halifax regret it forever.
No matter where this economic downturn started, one thing for sure, it will end with the homeowner laughing all the way to the bank as courts provide justice in the way of repossession cases.
So, which way indeed is it going to be my dear greedy bankers? Aahh, lunch at last!
Posted by: Khalid 16 Apr 2008 13:01:17