The 14 Words

Wednesday, 8 January 2014

Government spends more than £1million of YOUR money on the bank that hasn't lent a penny

Unite general secretary Len McCluskey feels the delays in the British Business Bank are a "damning indictment of the Government’s failure to support investment"

The Government has spent more than £1.2million of taxpayers’ money on a bank that hasn’t lent a penny to businesses yet, the Daily Mirror can reveal.

Chancellor George Osborne announced plans to set-up a British Business Bank in September 2012. The flagship venture is designed to pump funds into small and medium-sized firms shunned by the big banks. But, 16 months on, the Business Bank is only now getting ready to inject money into a small number of companies.

Yet the Government hasn’t been as slow splashing public cash on setting up the project. A request using the Freedom of ­Information Act can reveal a hefty £933,000 has been shelled out in various costs.

According to the Department for ­Business, Innovation and Skills, that includes money for “professional ­services, legal advice, senior staff recruitment, IT infrastructure and services, and marketing and communications”. Another £280,000 has been spent on ­salaries for five bigwigs who’ve been recruited.

Former Abbey National executive Keith Morgan has been named as the bank’s permanent boss. Ron Emerson, a former executive of Standard Chartered, was appointed chairman in October last year. He will reportedly be paid £120,000 and typically work two days per week.

The ­Government claims the ­bank will unlock up to £10billion of funding for small and medium sized firms over the space of five years. That includes £1.2bn of new funding from the government, £2.9bn from existing schemes, with hopes for outside backing too.

But just £45m has been ­allocated so far to two debt funds, who have pledged to put in their own money to boost lending to firms.

Unite general secretary, Len McCluskey said: 
“The delay in getting the British Business Bank to lend a single penny of its meagre funds to business is a damning indictment of the Government’s failure to support investment.
“George Osborne’s ­obsession with ruthless cutbacks rather than supporting real growth in the economy has meant Britain has struggled and working people face a cost of living crisis.”
Shadow Business Secretary Chuka Umunna branded the Business Bank 
“little more than a re-badging of the existing schemes which are failing to meet the scale of the challenge.
“Labour would create the proper British Investment Bank we need, supported by a network of regional banks across Britain.”

And if you think it would be any better under Labour you are a fool. All three political parties in Britain do not represent the indigenous people, they represent the controlling elite who in turn represent the interests of the Jew for their own monetary advancement. J.H.

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