The Economy

Part of the debate – in the House of Commons at 12:59 pm on 24th October 2019.

Alert me about debates like this

Photo of Sajid Javid Sajid Javid The Chancellor of the Exchequer 12:59 pm, 24th October 2019

As I was saying, Gordon Brown, as Chancellor in 1997, boasted about deregulating the banks and the financial sector. At the time, he was warned by the then shadow Chancellor—the Conservative shadow Chancellor—Peter Lilley, that deregulation would

“cause regulators to take their eye off the ball”—[Official Report, 1 November 1997;
Vol. 300, c. 731-2.]

and that it would be a field day for spivs and crooks everywhere. That is what he said, in this House, and during Labour’s term in office, bank leverage rocketed from an average of 20 before they came to office to an average of 50 times during their entire time in office. Labour was responsible for the biggest banking crash in global history, and they had better get used to it.