HBOS - Lloyds Merger
Wed., December 03, 2008. 17:09.
Blocking HBOS-Lloyds merger "a good first step"
The Scottish Greens today backed calls from the Merger Action Group (1) for the HBOS-Lloyds TSB merger to be set aside at Monday's Competition Appeal Tribunal, but the party also warned against merely refloating HBOS under the same failed business model.
Patrick Harvie MSP said:
"The current system of bank regulation has been a colossal failure. The banks themselves, including HBOS, have put short-term gambles ahead of the long-term financial interests both of their customers and of Scotland's economy. Greens will not, however, back a return to the irresponsible business model which has let down both staff and customers.
"Instead, we want to see reformed banks taking a longer term view, supporting local communities, drawing on the values of the mutual sector, and investing in the low carbon future our country needs. To turn Blair's phrase on its head, the future of our banks must be based on modern values, but in a traditional setting; 21st century values of sustainability, in the setting of community-based financial institutions.
"Now we, the taxpayers, own such substantial stakes in these businesses there will never be a better time to make these changes. However, the Scottish Green Party believes that if this merger goes ahead it would make such vital reforms far harder to deliver. We welcome the campaign to block the merger as a good first step, but if it succeeds, it would not be the end of the battle for the future of Scotland's financial services industry - it would just be the beginning."
Notes
1. See: http://www.mergeractiongroup.org.uk/
Contact the Scottish Greens' press team on 07909 933 074.