BoE papers reveal governing body's ignorance of impending crisis

[Martin@AS Financial]

Interesting story from this mornings Mortgage Solutions publication:



The Bank of England (BoE) was seemingly unaware of the impending financial crisis in the weeks prior to its emergence, new documents have revealed.

Worryingly the Bank identified that liquidity was a concern but took no action to resolve this.


BoE papers reveal governing body's ignorance of impending crisis

[DimPrawn]

Too busy filling up on fresh Lobster and vintage Champagne to care I would suspect. It affected the BoE pay, bonuses and pensions how exactly?

[AtW]

Too busy filling up on fresh Lobster and vintage Champagne to care I would suspect. It affected the BoE pay, bonuses and pensions how exactly?

"Bank of England Governor Sir Mervyn King is retiring to a life of luxury – with a gold-plated, taxpayer-funded pension worth more than £6.3million.

Sir Mervyn has not had to pay a penny into his non-contributory pension pot during his 22 years at the Bank.

But his pension could pay him an astonishing £233,000 a year.

And he will enjoy bumper annual increases in the value of his pot – unlike millions of ordinary Britons whose retirement packages have been hit by Government cuts.

Rises in state pensions and most workplace schemes were tied to the consumer prices measure of inflation in Chancellor George Osborne’s 2010 Budget.

He backed the move – but Sir Mervyn’s own lavish nest egg is still linked to the old retail prices index, which usually rises more quickly.

His fund hit its maximum five years ago after he received £1.4million in top-ups.

That took his retirement pot to £5,356,500 – worth £198,200 a year – in February 2009, the last time the Bank of England published figures.

Pension experts at Hargreaves Lansdown calculate the retail prices link means that it is now worth £6,322,189 – or £233,921 a year – at least £170,000 more than it would have been if it had increased in line with the consumer prices index."

Mervyn King's £6.3m pension from Bank of England despite not putting penny in pot - Mirror Online

HTH

[Zero Liability]

Not surprising, since the Fed and many of its 'experts' - one of which now presides over it - who fetishise over the prospect of precise quantitative prediction, also got it so horribly wrong. Regulators across the globe, including the EU, fecked it up badly and it's hardly the first time.