Bank of England role in the credit crisis

 

We give a quick overview, based on a wider article from Financial Mail on Sunday, on the Bank of England's role in the credit crunch...

So what's the history?

Responsible for financial stability and monetary policy, the Bank of England is known for understatement.

In 2004, governor Mervyn King said the rise in house prices so far ahead of salaries was 'unsustainable'. The bubble went on for a further three years.

Didn't someone have their eye on banks?

Deputy governor John Gieve was responsible for maintaining the stability of financial markets and is the only official to become a casualty of the credit crunch so far. In June, Gieve said he would step down early from his position, though neither he nor King has admitted any responsibility.

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