People’s Bank a selling point
(23 March 2010 – England) The British Labour party is hoping to tap into the public’s discontent with the nation’s banks, as it makes the creation of a People’s Bank the angle of its campaign.
The minister drafting the manifesto, Energy Secretary, Ed Miliband, told the Guardian newspaper that the bank would be based around the country’s 11,500 post offices and would be a ‘new deal for the low paid’.
Institutions are the things that define governments, Mr Miliband told the newspaper.
The idea of the People's Bank, the network of post offices around the country connected by a new financial institution, is one of those ideas, Mr Miliband added.
With parties beginning their pre-election campaigning, the focus point remains around the fragile economy after the global financial crisis and the state of the banking sector.
The Labour party would most likely gain a strong following from unions and charities through the creation of a People’s Bank; after the non-profit organisations launched their own campaign last week lobbing for a post office bank aimed at small businesses, communities and the disadvantaged.
Post offices are all ready set up to offer a range of financial services, but would need extra capital to compete against established banks.
There is currently a set of institutions in the country’s post offices that can form the basis of this banking system, but up to now the government has not put into practice the idea that it can be a very serious financial institution and, if you like, a competitor to the conventional private sector, Miliband said.
At present there are limits to what the Post Office can offer in terms of current accounts, the Labour party will expand those services and link them up with credit unions, Mr Milibank added.
Institutions are the things that define governments, Mr Miliband told the newspaper.
The idea of the People's Bank, the network of post offices around the country connected by a new financial institution, is one of those ideas, Mr Miliband added.
With parties beginning their pre-election campaigning, the focus point remains around the fragile economy after the global financial crisis and the state of the banking sector.
The Labour party would most likely gain a strong following from unions and charities through the creation of a People’s Bank; after the non-profit organisations launched their own campaign last week lobbing for a post office bank aimed at small businesses, communities and the disadvantaged.
Post offices are all ready set up to offer a range of financial services, but would need extra capital to compete against established banks.
There is currently a set of institutions in the country’s post offices that can form the basis of this banking system, but up to now the government has not put into practice the idea that it can be a very serious financial institution and, if you like, a competitor to the conventional private sector, Miliband said.
At present there are limits to what the Post Office can offer in terms of current accounts, the Labour party will expand those services and link them up with credit unions, Mr Milibank added.
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