In a strongly worded warning the PM and the Chancellor try to shame lenders into passing on rate cuts.

What the powers that be are probably unaware of is that it’s actually Northern Rock, the soon to be Government owned lender, that are the main culprits. They need the extra profit margin to pay off the penal rates of the Government loans to keep the bloody thing afloat.

Trumpo’s mortgage with Northern Wreck hasn’t gone down - are we going to get a guarantee form the Govt that if they own the wreck then they will immediately pass rate drops on ?

In a question asked by a reporter from the Daily Telegraph Mr Brown indicated that interest rates were likely to be cut this week - a slip of the tongue? I don’t think so.

It’s going to be interesting to see if lenders act and pass on the next rate cut. Some will and some won’t, the banks and building socieites dont have any obligation.

With the regulators putting increasing pressures on financial services businesses to build up increased reserves, you can’t really blame them for profiteering. They will be just adhering to another Government office - the FSA. Which one do they listen to? Downing street or Canary Wharf?

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