Socialist Worker

Crisis, what crisis? The rich live it up

Bankers are raking it in

Issue No. 2231

Remember Sir “Fred the Shred” Goodwin, the banker who brought the Royal Bank of Scotland to its knees?

According to a report by the Financial Services Authority (FSA) he did nothing wrong after all.

The regulator says it has managed to find “no evidence of wrongdoing”. So Fred keeps his £16 million pension.

The investigation said executives “made a series of bad decisions” but did not commit fraud.

That’s alright then.

But we’ll have to take their word for it, since they’re keeping their report secret.

And who did the FSA get to run this impartial investigation? None other than City firm PricewaterhouseCoopers.

Meanwhile, fat cat bankers are set to get their filthy paws on more than £7 billion during the Christmas bonus season.

Last year 2,800 bankers trousered £1 million or more in salary and bonuses—but this year looks set to smash that record.

Perhaps scared of a backlash, the government is making small noises about levying a small tax on the bonus bonanza.

But the bankers are already lining up “innovative” schemes to dodge any such measures.

Barclays Capital, proud owner of the ashes of Lehman Brothers, is set to hand out bonuses as “contingent capital securities” instead of cash.

And they say we’re all in it together!


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