Should the UK govt offer mortgages and car loans directly to the public instead of pouring money into banks?

borrowing is at an al time low, car finance is now almost impossible to get.





if the govt offered credit worthy people loans for house purchase and car purchase would that help to kick start the UK economy in the motor and construction industry.





it has been announced that the british car show has been cancelled for the first time since the second world war because of the financial situation





if banks will not lend then should the govt not lend instead?Should the UK govt offer mortgages and car loans directly to the public instead of pouring money into banks?
what the government should have done was waited til the banks were at the lowest price, bought them, sacked all the managers, hired new competent people, offered mortgages loans etc, waited til the value of the stock rose, sold the banks off and given the tax payer all of the proceeds





thats how a free market really works


not the shambolic example of corporatism we are witnessingShould the UK govt offer mortgages and car loans directly to the public instead of pouring money into banks?
Can I put a different scenario which leads to yours (I hope).





Where I live, like in most places, the Traffic can be horrendous at times, and for many years there has been a campaign for a major bypass link to the Motorway just 2 miles away.





The project would employ hundreds of people for a long time as there are other aspects to the full plan- Community Housing, Leisure Faciities etc. Over this time, the workers would not draw Job Seekers, would pay Tax, and contribute generally to the Local Economy.





If we could add to this a scheme whereby these people would have ';Government Guarantees'; for the borrowing you suggest, repayments deducted from source, and assets returned should they voluntarily give up work, then the boost would occur.





Let's spend on improving the Infrastructure- it is sustainable.
Whilst my head agrees with you, it makes sense as the banks are failing withdraw the support let them go to the wall and then step in and take control of the lending it just wont work.





How many loans that wouldn't be approved a month after a general election would suddenly be approved the month before. Or how many people would vote against the incumbent government based only on being refused alone.





No - the banks and government should be kept as far apart as possible which at the moment is hard considering we own most of them.
The banks were allowed to sell lame donkeys for far too long, i don't know how mortgage companies and bank MD's can sleep at night they're just parasites as far as i care. Remember when banks were told they had to pay bank all the excessive charges? somehow they were able to get it overturned in the courts, went crying that it wasn't fair they couldn't hit somebody with a 30 quid charge for being 3 pence over drawn. Governments need to take the banks away from private individuals and share holders.
Thats a slippery slope to a huge unwieldy communist style government.


Regulate the banks more efficiently.


Look at Canada's banking system they are not having these banking crisis because the banks are tightly regulated.


While Canada is not immune to the economic flush their banks are in much better shape than ours.
it was partly people getting into debt i the first place that helped coursed this miss and you want more people to be in debt. and want the government to spend more of our tax money. ya spend spend spend. that how we got here in the first place, no thank you.
watch the full version of the obama deception.





youtube.com/watch?v=eAaQNACwaLw%26amp;yt
Seems the banks are mostly interested in helping themselves live a luxurious lifestyle.
All Banks should be Nationalised. Along with all utility services.
Have you ANY idea how govt departments work?


It would cost at least 3 times the price
That makes perfect sense to me.