The BBC’s financial fraud, Robert Peston, has “predicted” that the Dunfermline Building Society could be bought by the Nationwide. Like most of Peston’s “predictions”, it’s already old news by the time he makes his pronouncement.
It was surprising that the Treasury didn’t bail out the Dunfermline because most of its branches are in El Gordo’s constituency. Not so surprising is the fact that the Treasury is going to take on £1bn of toxic assets, allowing the new owner to take on the profitable part of the business.
The Chairman of the Dunfermline is having a whinge about the Treasury not doing more to keep the building society independent. The SNP, desperate not to lose another one of “oor banks” (yes I know it’s a building society, not a bank), has offered financial aid to the Dunfermline but the Treasury has apparently blocked the offer.