‘Euro collapse would make 2008 look like a tea party’
Tuesday 24th January 2012, 3:00PM GMT.
RBS Group senior economist David Fenton
HOUSE prices returning to levels not seen for a decade and a fall in share values by 40 per cent are likely consequences of a collapse of the Eurozone, according to a leading economist.
On top of that, David Fenton of RBS Group predicts that there would also be an eight per cent fall in production in the UK economy, measured in GDP terms.
But Mr Fenton does not believe that such a Doomsday scenario will be allowed to happen because of the impact it would have across the continent.
Mr Fenton gave his views when he spoke to an audience of about 250 Islanders at the first monthly lunch of 2012 arranged by the Jersey Chamber of Commerce.
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Why is David Fenton so alarmist? Has he no heard of Jersey’s secret weapon, Philip Ozouf Jr?
In fact what what the point of any of Mr Fenton’s speech? Alarm everybody and then tell them not to worry? Sounds like hot air from what is now an HMG bank.
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no kidding, never mind the euro , what about the mass produced dollar?
jangle keys as a disraction.
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But Mr Cooke of Jersey Finance says it could be good for us. Or was that comparatively good for us?
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Did he miss out the likelihood that large portions of the population of Greece plus substantial minorities of Britons would slide in to near 1930′s poverty. The likelihood of civil unrest, rioting, maybe the collapse of a government or too, the possible rise of military government or dictatorship.
Maybe all those nasty things really did not fit in to his nice little Excel spreadsheet?
Nice to know that he thinks it is too big to be allowed to fail though. Quite how much pain will need to be inflicted to achieve this aim is moot though I would guess a lot.
I suspect that a big portion is heading in the direction of RBS in the form of debt write downs, mind you they will not be alone in eating this vile dish. I suspect we will all suffer losses to pensions, etc.
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The point to the speech is to scare taxpayers into saving the banking industry.
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If the banks collapsed, we would still be able to wake up every morning and breath. We would have some new challenges but just like in war times we would all be pulling together. Now that made me feel better.
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Gino no sooner had some islanders opted to leave the Island during the occupation were their houses ransacked ..no not by Germans but their own neighbours sorry but Jersey dose not have a history of pulling together, here it will be looking after number one im sorry to say!!
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Agreed, there must be loads of them states members past and present, explains it all really..
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Yes Jeremy, but the thought of bankers growing jersey royals to survive is comforting. Is that harsh? No
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Anyone in the finance industry with sense would be winging it out of here before the rest of them got the idea that something was wrong.
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Why do all these bankers think Jersey will not be affected by the euro crisis, world economy has had it for now. Just been made redundant here along with 20 colleagues, thats more of us down at social.
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