Brexit, the economy and house prices (Part 3)

zagubov

Thrugelmir wrote: »

In all seriousness why the concern. Over the past few decades the UK has sold major companies, airports, ports, utilities, motorways, hotels, office blocks, national lotteries and so on to overseas investors and Governments. Suddenly with Brexit there's panic. Yet the real damage has already been done and with it much of our ability to generate wealth. As the profit from ownership of
assets flows abroad.

Well, what's the problem? Surely all our foreign owners will run us better!

Shame about the profits going abroad though, but presumably we're all cool with that.;)

michaels

http://www.bbc.co.uk/news/business-40400210

Two more Italian banks finally admiting they are insolvent Nothing to see here as Hamish and Mayoneise would no doubt say.

Quasar

michaels wrote: »

http://www.bbc.co.uk/news/business-40400210

Two more Italian banks finally admiting they are insolvent Nothing to see here as Hamish and Mayoneise would no doubt say.

Looks like Italy is going through what the UK went through in 2008/9. Remember Barclays, RBS etc? They, and the country, are still standing. So will Italy. :A

Thrugelmir

Quasar wrote: »

Looks like Italy is going through what the UK went through in 2008/9. Remember Barclays, RBS etc? They, and the country, are still standing. So will Italy. :A

Have to ask why it's taken so long though to concede that assistance is required. Just in the same way that the Germans are reluctant to grant the Greeks debt relief. Is the answer in part political?

michaels

I think you mean Lloyds, RBS etc. However I thought there were supposed to be rules in place now to stop EU govts from bailing out banks?

Quasar

michaels wrote: »

I think you mean Lloyds, RBS etc. However I thought there were supposed to be rules in place now to stop EU govts from bailing out banks?

Sorry, Lloyds, yes. I know Barclays were also in some trouble (I have shares, down to one third of their value now).

Don't know about the rules in place. The UK was in the EU at the time and didn't seem troubled about bailing out its ailing banks, in some form or other. I expect there are rules within rules.

Thrugelmir

michaels wrote: »

I think you mean Lloyds, RBS etc. However I thought there were supposed to be rules in place now to stop EU govts from bailing out banks?

Barclays went to Qatar. Now is paying the price for a not so transparent arrangement. .

Quasar

Thrugelmir wrote: »

Have to ask why it's taken so long though to concede that assistance is required. Just in the same way that the Germans are reluctant to grant the Greeks debt relief. Is the answer in part political?

I have no idea. But what I know is that Italy has countless banks - every region has two or three of its own.

Thrugelmir

Quasar wrote: »

I have no idea. But what I know is that Italy has countless banks - every region has two or three of its own.

Being small possibly under the ECB's radar. Not tackling the issue will result in Italy going nowhere, as it has done for some time now.

LHW99

I think the rules on states bailing out banks were brought in after 2008 / 9 - hence the issues over Monte dei Paschi di Sienna - it wasn't supposed to be directly bailed out by the Italian Government, but giving it a line of "precautionary credit" was apparently OK. Seems they don't even keep that pretence up any more.