Rescue plan for the UK

[remington_girl]

First Minister Alex Salmond has welcomed the £50bn rescue plan for UK banks as a "very substantial" set of measures.
But Mr Salmond said more action was needed and he called for "more assurance" for depositors.
He also criticised "leaks and rumours" surrounding a fall in the Royal Bank of Scotland's share price on Tuesday.
The UK Government is to take shares in a number of banks. A 0.5% cut in interest rates has also been announced.
Speaking to BBC Radio's Good Morning Scotland programme, Mr Salmond said: "For the first time we've seen action to open up medium-term funding which has been one of the missing links in the previous attempts to help the situation. So that's welcome."







This is a substantial package and addresses one of the missing links in previous attempts to stabilise the system [/align][/align]
Alex Salmond
First Minister[/align][/align]
But Mr Salmond said more action was still needed to combat the credit crunch. Ahead of the news of an interest rate cut by the Bank of England he had called for a "decisive cut".
He added: "I still think more assurance will be needed for depositors.
"But let's accentuate the positive shall we - this is a substantial package and addresses one of the missing links in previous attempts to stabilise the system."
So far eight UK banks and building societies - including the Royal Bank of Scotland, Barclays, HBOS, Lloyds TSB and Nationwide - have signed up to the scheme.
'Direct negotiations'
Mr Salmond said speculation surrounding the future of Royal Bank of Scotland (RBS) chief executive Fred Goodwin was "not helpful" while the stabilisation package was being announced.
"The fact that it [RBS] came under such pressure yesterday is an indication of the very peculiar, unusual circumstances of leaks and rumours that were circulating around yesterday," he said.
"I'm sure everybody who was in that process would have much preferred that hadn't happened when they look back - but it does show any institution can come under pressure."
A body representing Scotland's financial services industry has welcomed the package to address "an increasingly volatile situation".
Scottish Financial Enterprise chief Owen Kelly said: "It was vital that the government worked with the industry to produce this package, which should offer greater stability for the institutions and, importantly, increased confidence across the markets."
The Scottish Chambers of Commerce also welcomed what it called "decisive action" by the Government.
Commenting on the rescue package, Scottish Lib Dem leader Tavish Scott urged the government to help keep HBOS as an independent bank.
He added: "This is a massive package of money for banks. Market and banking circumstances have changed enormously since the proposed Lloyds/HBOS merger was announced.
"The government are now in direct negotiations with banks so they could make this happen.
"Keeping HBOS as an independent bank while strengthening RBS through this package would be positive economic news for Scotland. I urge the government to make this happen."

[nodog]

That the UK is having problems is confusing to me. Here in the states things have been struggling while Europe supposedly was thriving. In the past few years I've read of more than one from over there bragging about how good it was there compared to here. Your dollar was worth so much more I was told.

Somethings not right.

[remington_girl]

Yeah but Europe is NOT a country. Some countries are ok some are just not. The UK is not as bad as the US economically but we're getting there. Haven't you been watching the news?

Airlines going bust, people losing jobs, banks closing. Yep its here too im afraid.

[remington_girl]

What effects the US will rub off on the UK because of companies etc being based in both countries.

Im even feeling it, petrol prices, cost of living and the inflation is at 5% its getting bad.

I do not know anyone here that brags about here? Maybe praise that they enjoy living here but not saying its better. I work in an airport and if anything I hear alot of Americans brag about the US.

But if you love your country of course your going to speak positive about it aren't you?

[younggun308]

ORIGINAL: remington_girl

Yeah but Europe is NOT a country.

Well considering that most of Europe uses the same currency and a couple years ago was voting on all of the countries having the same constitution, I don't blame him for thinking that Europe acts more together these days.

The UK seems to be the only one that stands out these days. But even at that, Europe seems to be getting smaller, not bigger. You guys might become the United States of Europe 67 years from now, who knows?

[remington_girl]

ORIGINAL: younggun308

Well considering that most of Europe uses the same currency and a couple years ago was voting on all of the countries having the same constitution, I don't blame him for thinking that Europe acts more together these days.

The UK seems to be the only one that stands out these days. But even at that, Europe seems to be getting smaller, not bigger. You guys might become the United States of Europe 67 years from now, who knows?

I wouldn't go that far but Scotland isn't for Europe. We want to keep our £. Going to the Euro would be like shooting yourself in the foot.

But to reiterate the credit crunch is effecting us here too, maybe not as bad as the US but its still bad. I've had friends lose their jobs, homes, everything. Its terrible.

We do stand out from Europe though, but im proud of that.

[remington_girl]

I love to see how much support we get from our friends across the pond.