April 17, 2015

Martin Wolf, current bank regulators show really no interest in your country’s future.

Sir, Martin Wolf writes: “The Scottish Nationalist party does not have an interest in my country’s success. It is interested only in what it can extract from us.” “Long live the United Kingdom — but not at any price” April 17.

But extracting for the benefit of the current generation all it can of what already exists; and by denying the risk taking needed showing no interest in the future, is exactly what current bank regulations do. With their credit-risk weighted equity requirements for banks the regulators have de facto placed a reverse mortgage on the United Kingdom, something that guarantees there will be much less to inherit for its coming generations.

But perhaps Martin Wolf, as a senior citizen, does not mind at all such regulatory risk-aversion… he might rather favor an “Après moi le deluge”.