Yes, in the end, he just had to play politics. The trumpeted bail out will be a disaster in the long-term for Labour. The manadarins at the weekend clearly got carried away with the tough talk.
RBS and HBOS are hobbled and effectively nationalised, what that means for shareholders we don't know yet in truth (shares crashing this morning...). Barclays and LLoyds have been strong armed despite protesting their innocence, at least Barclay's seems to have escaped the injection of direct Government funds.
Now RBS and HBOS are set to play to the Labour tune, more money for household lending etc. As we all know, once the Government starts interfering it cannot help itself. Beauracracy just feeds on itself.
Now Gordon is in his element, the banks have been humbled at the taxpayer expense. What is odd is that the Government seems keen to have, er, 'gold-plated' (appropriate for Brown) the demands to make sure both RBS and HBOS ended with over 50% Government shareholding.
I am all for the re-capitalisation of the banks, it was our only option. But the Government dithering caused huge share price falls and now the new issues are at such a level that the Government becomes the biggest shareholder and dictates policy. In fact, the step to full nationalisation is a tiny one from here...
This is 70's command economy time; Mr. Brown can seem strong and powerful. However, we all know where the 1970's command economy led to.
A better solution over the weekend would have been to work with industry to enable the comanies to survive in rude health rather than to get tough with taxpayers money. The Left don't think like that though, bullying comes to naturally to them.