When Mark Reckless gives his acceptance speech at about 1.00am tomorrow morning, when winning Rochester & Strood for UKIP – their second seat in the House of Commons, let it be a warning to those who allowed Blair, Brown and their cronies to sign the Treaty of Lisbon. This act of undemocratic treachery amounted to surrendering our financial prowess and sovereignty to Brussels, and particularly to the ‘Ag & Fish bureaucrat Michel Barnier and all the ramifications that go with it.
George Osborne gave it his best shot in fighting the UK’s corner but it was to no avail. The EU Court of Justice rejected all six arguments challenging both the scope and the legal basis for the new rules on limiting bank bonuses to 100% of salary or 200% in the case of a shareholder vote. The EU Court’s opinion may not be legally binding, but it still amounts to traversing through a minefield of difficulties for the UK government, in the same manner a transaction tax does.
These bureaucrats and ‘box tickers’ in Brussels will have their own political crosses to bear and one thing is for sure federalism rules OK with bashing bankers clearly towards the top of their agenda! Italian and Spanish banks are not enjoying great health and nor are some French, Belgian and Dutch banks. The UK based banking sector has no correlation with the EU banking sector. UK domestic banks are mortgaged based. However more to the point, London is the centre of the time zone and English is the generally accepted language of international banking. London as an international financial centre is probably larger than Frankfurt, Paris, Amsterdam, Madrid and Milan put together.
There is no evidence that bonuses will cut out risk and what is irrefutable is such banal and ill thought out legislation on bonuses will just trigger massive increases in salaries to maintain London’s ability to compete in banking internationally. What I find astounding is the inability to understand that the introduction of such crass restrictive practices will just force not only unacceptably large salaries but it will also leave international banks no alternative but to reapproriate their capital in other parts of the world.
So the EU wants us to remain as a member! – Really? Their members have a funny way of showing their unrequited love.
The arrogance of Brussels will not only irrevocably damage London as a financial centre, but this daft decision will just be cannon fodder to UKIP, which will dangerously increase the level of political stability.
Can you imagine what could happen next May? Labour & Tories about 32% of the vote with SNP 12%, Lib Dems 9% and UKIP 15% – A coalition out of that? I don’t think so! The country will become ungovernable with no positive decisions being made on any major issues, though if the country is bonkers enough to vote in a Lib/Lab coalition, it will further drown us in to the morass of EU despair! This is INSANITY personified!