The root of the problem lies with Margaret Thatcher having de-regulated the banks. Ever since there has been nothing but financial chaos. The public has been up in arms about these undeserved, massive bonuses and David Cameron had been promising time and time again to put a stop to it but nothing ever happened.
This time the bonuses were even paid out at the Bank of England. The staff receives a £25million over five years. This had been in spite of not foreseeing the credit crunch and the Chancellor George Osborne manage a double-dip recession and will have another on in September.
The statement released by the Bank showed executives having received up to £30,000 a year performance related pay added to their salaries. This is utterly undeservedly since they did not take measures to forestall the credit crunch and the recession. Yet they get a performance-related pay. In the commercial world they would have got a dismissal and that would have the right bonus.
Furthermore, the figures showed that in just last year their bonus increased by 4 per cent to £4.9million but the country’s economy is in a recession.
Sir Mervyn King and his team couldn’t even see the financial crisis and had to revise the economy forecast 12 times over the past year. For all that failure they receive a performance- related pay. Has there ever been such a financial mismanagement in any government?
But wait a minute because here is the famous wipe the slate clean. A spokeswoman said: “Staff on a two year pay freeze which began in 2011. Bonus payment is based on individual performance. The pot has been frozen at six per cent of the total salary bill for the last three years.”
An utter non-sense in every word. If they didn’t see the financial crisis coming and didn’t forestall it why did they get a bonus at all? Furthermore they get paid a salary for the work they do and they just do the work they are there for. So, why a bonus? They don’t do any extra work and by the looks of the result they didn’t even do that.
Yet, David Cameron the great knight in shining armour would not dare to stop it. It is still sticking together and you scratch my back and I scratch yours. It always was going on but nowadays it has gone out of control and the country is going down rapidly.