Sir Mervyn King, the governor of the Bank of England, has rejected any suggestion that he was to blame for the financial crisis.
Delivering the Today Programme Lecture for Radio 4, which was followed by an interview, King & whose ten-year role as governor will come to an end next year & said that his and the bank’ only fault was not pointing out the failings of high street banks and government which led to the credit crunch.
According to Sir Mervyn, the crisis happened because banks were given too much power too quickly, as well as borrowing more money than they should have been able to, and because the Bank of England was stripped of its ability to effectively regulate financial institutions.
Some business law experts, however, have disputed Mr King’ claims and say that some of his decisions did contribute towards the Bank of England not being able to predict the financial collapse that took the country into recession.
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