Anorak | City Traders And Newspapers Headlines Both Deal In Fantasy

City Traders And Newspapers Headlines Both Deal In Fantasy

by | 4th, December 2009

1141016 THE Daily Mail leads with news that “£40,000 A FAMILY” was used to “fund the £850bn bank bail out.”

The Telegraph has a different headline figure:

Rescuing the banking system has cost the equivalent of more than £5,500 for every family in the country, an official audit has found.

Neither headlines is true:

The Telegraph goes on to say:

The Government spent £117 billion buying shares in banks and lending directly to financial institutions, the National Audit Office calculated. That represented a liability of £5,530 for every one of the 21.1 million families in Britain.

A liability is not a cost. It is a risk.

The Mail says that it’s headline figure is composite mix of loans, guarantees, bailouts and insurance. So again, not all money spent. It is risk.

The real

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Posted: 4th, December 2009 | In: Money Comment (1) | Follow the Comments on our RSS feed: RSS 2.0 | TrackBack | Permalink