Lord Myners, the banks and the Co-op

It is reported this week that if the Co-op Board does not accept the proposals from Lord Myners to ‘reform’ their structure to make it look more acceptable to ‘the City’, the Co-op’s principal lenders, Barclays, Lloyds Bank and Royal Bank of Scotland will flex their muscles and insist on the ‘reforms’ or call in their debts.

Hang on a moment. Barclays? Lloyds? RBS? Lord Myners??? Has the world gone completely mad?

The capitalist world is, of course, full of such contradictions, but in this case the lunatics appear to have taken over the asylum! Lord Myners originally attracted modest public attention as a financial journalist on the Daily Torygraph before rising to prominence as the Chairman of Marks and Spencer, where his ‘reforms’ clearly failed to reverse the painful, protracted decline of this once dominant and celebrated high street retailer. In 2008, he was appointed by Gordon Brown Financial Secretary to the Treasury where he oversaw the shawing up of …Barclays, Lloyds and RBS. The consequences of these bailouts resulted in the recession and the coalition government’s continuing efforts, with Labour’s endorsement, to make ordinary working people pay for the resulting economic crisis. The once in a lifetime opportunity to rein in the banks and make them serve the interests of their customers (rather than fleecing them) and the nation (by financing real businesses, not speculators) was thrown away. In the specific case of RBS, Myner’s judgment has proved particularly deficient. The parliamentary Treasury Committee reported in 2009 that “The RBS Board had shown itself to be incompetent in the management of the bank, steering it towards catastrophe… We suspect that Lord Myners’ City background, and naiveté as to the public perception of these matters, may have led him to place too much trust in an RBS Board that he himself described to us as “distinguished”.

Such are the individuals and businesses that now seek to dilute the democratic structures of the Co-op. The Communist Party in Croydon wishes the Co-op well in its struggle to keep its independence and we give our full support to our elected representatives from Croydon in this fight.

Martin Graham

About drmartingraham

Branch Secretary Croydon CP Convenor Communist University in South London

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