Champagne corks are popping once more in the City of London as bankers celebrate their whopping bonuses.
Some £4 billion will be paid out in “rewards” to City bankers—the very people who helped drive the global economy into tailspin.
The Royal Bank of Scotland is expected to announce profits of £1.5 billion. We own this bank, having spent £20 billion to bail it out. Yet it will pay out £170 million in bonuses.
Barclays and HSBC reported £6 billion in combined profits for the first six months of this year.
Barclays has profited from the collapse of its rivals to become one of the biggest global investment banks, benefiting from the safety net provided by guarantees of public money.
These profits come at our expense, from the banks squeezing their customers with tougher loan conditions and fatter fees.
Nationalised banks should be run in the interest of ordinary people, not bankers.
Instead these leeches pocket huge wages and bonuses leaving us to pay off the bailouts through extra taxes and cuts in public spending.
News of the bank bonuses fuelled media speculation of an end to the recession.
Yet unemployment is set to mount over coming months with giant car makers BMW and Toyota warning falling sales will lead to further job cuts.