Banking Bailout - Why Benefits?

la55zlo

Just a Thought:

The vast sums of money that are being talked about for these bailouts are astronomical, and who is really benefiting?

Is it the normal person like you and me who with family, mortgage etc, etc who have lined the bankers pockets already for so long?

Or is it the bankers themselves who apart from causing all this mess appear to be getting multi-million pound payouts so they can retire in unimaginable wealth and luxury.

I'm sure the first £500 billion, and more recently the additional £200 billion bailout, giving a total of £700 billion could have been better spent to benefit the real losers in this - you and me.

Take for instance that there are 61 million people in the UK, average debt is said to be £31 thousand per person (inc mortgage), that is only £1.9 billion total.

What would be more effective to get everyone spending again would be to take £1.9 billion of this huge bank bailout and give it to the UK people (£31,000 each). And that still leaves £698 billion for the bankers!!!!

I know that if I had a 31,000 windfall I'd be first in the queue to spend it, and I'm sure so would others, kick starting the economy by creating demand.

Why should the £700 billion bailout be used to just line the pockets of the already wealthy bankers, why not also use a little of this to benefit the people who are hurting most.

LA55

Radiantsoul

61m*31k is not £1.9bn but £1.9 trillion.

To get to £1.9bn you would need £31 of debt per person.

Also I think you have overestimated the size of the bailouts.

la55zlo

Radiantsoul wrote: »

61m*31k is not £1.9bn but £1.9 trillion.

To get to £1.9bn you would need £31 of debt per person.

Also I think you have overestimated the size of the bailouts.

~~~~~~~~~~~~~
mmm...:shocked: I looked this one up and your quite right :T

It would appear that the UK government has aligned to use the American billion (1 thousand million) and not the conventional British billion (million million) convention.

So I guess that means that my idea of bailing out average uk debt is now not an option :rolleyes:, and we shouldnt be alarmed as the bailouts are only hundreds of thousands of millions and not conventional billions :rotfl: .

Max_Headroom_3

la55zlo wrote: »

Take for instance that there are 61 million people in the UK, average debt is said to be £31 thousand per person (inc mortgage), that is only £1.9 billion total.

What would be more effective to get everyone spending again would be to take £1.9 billion of this huge bank bailout and give it to the UK people (£31,000 each). And that still leaves £698 billion for the bankers!!!!

I know that if I had a 31,000 windfall I'd be first in the queue to spend it, and I'm sure so would others, kick starting the economy by creating demand.

Quite apart from the (already pointed out) maths, where do you suppose the bailout money comes from?

Us!!!

So what you're proposing is "lets borrow to give everyone a £31K loan so they can pay off their £31K of debt and err, be left with a £31K debt..."

Not quite sure that's going to kick start the economy.