The second largest police force in the UK, West Midlands Police, are to slow their response to emergency calls by 50%. Thir target is now to get to you in 15 minutes, rather than 10 minutes, if you are in serious trouble. The force need to save around £30 million a year.
To put this in context, it is worth looking at the UK Public Sector Finance Statement just released. There are lots of reports about the UK's Public Sector borrowing being better than expected, see here, here, here and here.
Most reports show that the UK's net debt is around £900 billion. But that is not the full picture. They have all failed to mention that the £900 bn figure excludes 'Financial Intervention' - which is - guess what? - what we have given to the bankers so that they can keep their yachts and Ferraris.
Look at the report published this week by the National Statistics Office and the real picture emerges - like some monster from the deep. The UK's real Net Debt is £2.238 trillion or about 150% of GDP, up £48.6 billion on a year ago.
Page three of the report has a nice table showing that between 2007/08 and 2008/09 net debt jumped from 43% to 145% of GDP. That means over 100% of GDP was shovelled towards the bankers - get it? The total produce of the UK, everything everyone worked for, for one whole year was given away.
How? It gets worse, because the Government does not have any money - it is broke - so it borrows money from the banks.
Thus the bankers who have broken the financial system and paid themselves billions in bonuses, borrow money from the Government at 0.5% interest and lend it back at 3% or 4% interest, so that the Government can give it back to them as a bail-out!
It sounds like a crazy, circular confidence trick, but that is how it works. The money did not exist until it was 'loaned' into being. But once it has arrived, the debt is treated as real.
When the Government lends the money to the banks, it creates an enormous debt which the tax payer has to pay for - and remember, the banks are not likely to pay back their loans because they are all technically bankrupt,
That means that it is the working man who will pay - through 'austerity' - not the big corporations - they don't pay tax - Barclays only paid 0.9% on £11.6 billion profit last year.
So, if you find yourself needing emergency help from the police, and they seem a little slow arriving, remember where the money went.
Posted by Nicholas Moore 2:09:27 pm