Woolly Willy forsees the future

This is really quite wonderful from our Mr. Hutton:

The popular revolt against bankers, their current business model in which neglect of the real economy is embedded and the scale of their bonuses – all to be underwritten by bailouts from taxpayers – will become irresistible. The consequent rebalancing of the British economy, already underway, will intensify. Britain, in thrall to finance since 1945, will break free – spearheading a second Industrial Revolution.In 2035, there is thus a good prospect that Britain will be the most populous (our birth rate will be one the highest in Europe), dynamic and richest European country, the key state in a reconfigured EU. Our leading universities will become powerhouses of innovation, world centres in exploiting the approaching avalanche of scientific and technological breakthroughs. A reformed financial system will allow British entrepreneurs to get the committed financial backing they need, becoming the capitalist leaders in Europe.

He seems not to realise that the UK is the best and easiest place to raise entrepreneurial finance in Europe already.

He\’s still stuck on this \”banks must finance business\” thing when we have an entirely different system, public markets, which provides exactly that sort of finance in a manner that almost all other European countries don\’t.

I had a few meetings 6 weeks back (and that you to the kind gentleman at CityUnslicker who set them up for me) and basically I was asking \”Here\’s this half thought through proposal in an area where I am expert even if I\’ve not tracked down all of the numbers in detail yet. D\’ye think I could get £5 million off AIM for it if I did track down all of the numbers in detail? Oh, and it\’s a 90% probability of not working and wasting everybody\’s money and a 10% chance of really working rather well.\”

\”Yes\”.

And so the difficulty entrepreneurs have in finding finance in the UK is what?

6 comments on “Woolly Willy forsees the future

  1. “And so the difficulty entrepreneurs have in finding finance in the UK is what?”

    Easy for you to say: you are proposing a deeply fashionable idea. Just look at the AIM-listed empty shell former music company that renamed itself to Rare Earth Minerals and saw its share price triple.

    The rest of us relying on VC funding are currently finding it very hard indeed.

  2. Somehow, I thought you would pick up on this choice item, Tim….And I love “Woolly Willy, btw: now, that must surely stick…

  3. I’m more concerned that Hutton’s various predictions might actually come true.

    We may well end up as the most populous but if loads more children are brought up paid for by taxpayers to parents on benefits it will sink us.

    After 13 years of education education education shouldn’t our universities already be powerhouses of innovation?

    The ‘popular’ revolt against bankers is entirely artificial. All that needs to happen is that we take more responsibility for what is done with our money than we used to and that goes likewise for taxes taken from us.

    The reform of finance Hutton wants could already have begun if his and his ilk put their money where their mouths are and set up more co-0perative banks and building societies and/or persuade some banks to get limited purpose banking products onto the market. No legislation is required. Leading by example is all it takes. Dare I say it, taking a risk to kick start the competition between the current ways and Will’s way. Instead Will, like many others, wants to wrangle the authority of the State to shape our lives how he thinks they should be lived.

  4. Willy has an odd approach – he wants us to reject the domination of finance, but he wants to make getting funding easier? I assume he means less reliance on the markets for funding – but does that mean more on banks a la the Rhineland model? Isn’t that kind of the problem? How does making the banks more powerful make us less reliant on the financial sector? Fewer banks compared to the number of people willing to provide venture capital. Does he mean he wants the banks to lend more but make less money (and so become a smaller share of the economy)? If so, how the hell is that going to work out?

    The guy can’t even run a State-funded NGO competently. I wouldn’t trust him to correctly report his weight.

  5. “The reform of finance Hutton wants could already have begun if his and his ilk put their money where their mouths are”

    He put our money where his mouth was and it went bust, leaving us to pick up the pension liabilities. Wee Willy should have the decency to shut up and slink off quietly.

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