http://www.businessworld.ie/livenews.ht ... ngnews.htm



There's also the issue that there are major Euorpean and British Banks operating in the Irish market, who are going to lose out on this one.
Britain are meeting with the other European G8 nations this week to discuss a unified response to the crisis. I wonder how Ireland's solo run will go down, especially on the back of Lisbon and that niggling corporation tax issue.
What will happen to the shares if we have to row back on this plan. Scary times ahead

Did you see Gordon Brown after the Congress vote the other day? Seriously, they are running around like reactionary headless chickens without considering the possibility of the benefits of a pre-emptive strike?

He swore that they would do everything in their power to maintain the stability of the system. The only ones who have so far taken any pre-emptive action is Ireland.

Where were the G8 nations when they were building up this mess? I know what two of them were doing: patting themselves on the back for their innovative financial services industry. Now they are looking for a unified response to the crisis they created with said innovative financial services industry.

Or preening themselves that their countries have different loan standards that are much more conservative so of course they are different. Hello Head, meet Arsehole. You two are going to get to know each other very well.

Not going to be a productive meeting then, I guess.

I would say that the waiver of normal EU competition standards in allowing the merger of major British banks as well as the 100% guarantees given to Northern Rock deposits has already set a precedent. There's no way the EU could halt this now without also undoing the patch-up jobs by the British and other governments. We also have the 'silver bullet' of Lisbon to blackmail them-if they blocked this move now the No's will get about 80% in the re-run and they'll be waiting about 20 years before they can continue with their 'grand projet.'

Just heard on the radio along these lines ,spokewoman for the british goverment has asked the irish goverment to make sure (review) the new bank guarantee measure complies with EU COMPETITION laws,i bet the UK is not the only country in europe looking into this!!

http://www.rte.ie/business/2008/1001/saving3.html



EU Competition Commissioner Neelie Kroes has appealed to national governments not to act unilaterally in the current financial crisis, and to consult the Commission - especially on the question of offering state aid to financial institutions.

Speaking at a press briefing in Brussels, Ms Kroes said the Commission is in close contact with several governments, including Ireland, but declined to comment on individual cases.

Asked specifically about developments in Ireland, the Commissioner repeated that the Commission is 'in close contact' with the Irish government. She said that it was not wise to make any further comment, adding that the fact that talks are happening should 'give courage'.
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Meanwhile, Britain wants Ireland to look closely at its guarantee of all deposits in Irish banks to make sure it complies with European Union competition law, a spokesman for Prime Minister Gordon Brown said today.

More generally, he said, European governments should make sure whatever actions they took to deal with the global financial crisis complied with European competition rules.

This isn't a time to be dicking around with competition laws. Let them take a case agaisnt the government when thigns have calmed down if they want to. The banks can pay the fine.

Do you know how big the fine will be? I'm guessing rather massive.

Providing free CDSs to the irish banks isn't going to fly under european rules, and any fine will be based on how many zillion euro those pseudo-CDSs are worth.

The deposit insurance malarky will probably be ok, and likely copied by a number of other countries.

Trichet was also on bbg radio this morning implying they would be looking closely at this guarantee -

So, what happens if the ECB says this is illegal?

One of our developpers will throw them a bung and it'll be time to party

We have a new a scapegoat!

The Irish government will plead force majeure, they had no alternative. Meanwhile we'll get the red carpet out to greet WPP - the world largest advertising firm - who are relocating from Britain to Ireland for tax purposes.

It appears to me that Irish people have always had a flexible view of Law's, rules and regulations (a result I suppose of our colonial past). However the German's do not! The behaviour of the Irish financial institutions have not gone unnoticed and we are fast becoming the Pariah's of Europe! from what I can gather the downfall of a lot of the German banks have resulted from their Irish operations.