Oh well done to Ritchie’s favourite bankers!

Investors fear that the Co-operative Bank may be forced to wind down, leaving bondholders with heavy losses.

The price of its most risky bonds has fallen as much as 30 per cent this week, with some trading as low as 57p in the pound, after the bank’s admission last Thursday that its capital strength would be weaker than expected, which triggered weekend reports that the Bank of England could intervene.

Don’t need no trained bankers there at all, do we?

11 comments on “Oh well done to Ritchie’s favourite bankers!

  1. In other news, a bisexual, crack smoking, Methodist “minister” might not be a good choice to run a bank.

    Who knew these things? Who would have suspected it? I mean these things just come totally out of left field without any warning at all.

    So who will be funding the Labour Party if the bank collapses?

  2. Off topic and a repeat from a much earlier post but I think this is worth repeating as an example of the way the Murphatollah operates….

    Interesting conversation on TRUK which surely blows a hole in the Fair Tax Mark……

    Stevie G “Did I get that but right though? That FTM doesn’t count Guernsey and Luxembourg as tax havens due to them having a [TJN] secrecy score below 65?”

    Richard Murphy “We use 65 as a guide. FTM has a true and fair ore-ride [sic]”

    SG “It’s good to know that FTM has subjective as well as objective criteria. I can see some crafty accountants arranging company affairs just to meet the FTM criteria without being the sort of company you’d want to give the FTM to. Having over-rides keeps you in control.”

    RM “I can tel, [sic] you they have proved to be necessary”

    In other words, Murphy is admitting that the FTM is a SUBJECTIVE award. Even if you meet all the criteria, the FTM people can just decide they don’t want to give you a FTM!

    Tim – this surely deserves wider audience?

  3. Murphy admitted this several years ago. I basically posited a very aggressive by transparent company that was avoiding tax left right and centre and set out how it did so in its accounts, and showed that it would get enough points for an FTM. Murphy said it wouldn’t, I asked why not, he said it was because there’s an over-ride, I asked where it was set out, and he said it would be in the next draft of the criteria – which it was.

    The fundamental problem is the way that the FTM gives you points for being good, but never penalizes being bad except by not giving you points. By that standard, murdering people simply means you don’t get your “I don’t murder people” points; but you can still be classed as a good citizen if you get all your “I don’t drop litter” points, and explain clearly who you murdered and why they had it coming.

    I must revive the Fair Share Star sometime, it was a far more sensible regime. Maybe when Making Tax Digital has died down a bit.

  4. Doesn’t the co-op bank have a Fair Tax Mark?

    That’s another failure; it’s starting to look like a useful way if identifying businesses to keep away from.

  5. @Pellinor

    Ah, old news then. But it does make a mockery of the whole thing. In the criteria for MNCs it clearly says the cut off for tax havens is a TJN secrecy score of 65. Turns out that’s a ‘guideline’.

  6. It seems the city is applying its own form of fair tax mark to the company’s debt. I wonder where some of the regional recipients of the FTM do their central banking. Let’s hope it’s not head office !

  7. I told him this ages ago – the FTM doesn’t have enough transparency or proper governance to be fit for a requirement for a public tender.

    There is nothing in the public domain to tell us that it anything but a private body handing it out to mates, with no protection for its non-mates. And with a lobby group Consumer whatevertheyare on board, it is even murkier. I have asked him to show me how I can satisfy myself that this is not true, but he won’t.

  8. “I have asked him to show me how I can satisfy myself that this is not true, but he won’t can’t.”

    FIFY

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