UKFI fires starting gun on sale of taxpayers' bank stakes

The Government has moved quickly to start the sale of the taxpayer’s stake in Lloyds Banking Group, giving interested investment banks just 10 days to apply for a role in the process.

UK Financial Investments (UKFI), which manages the Treasury’s holdings in bailed-out banks Lloyds and the Royal Bank of Scotland, has invited investment banks to advise it on the privatisation process for the two institutions.

bigron: The massive asset stripping fraud conducted by those behind the banks continues. These traitors have undermined the supremacy of the West. We all must now suffer for their actions which have humbled both the British, and US Empires over the last 150 years. If any banking thieves would like to argue against my claim that fractional reserve banking is fraudulent counterfeiting, I would be very pleased to discuss the matter in detail.

Iain downs: Buy loyl. Short rbs. Make a few quid. You will need it when the thieving Govt comes to steal more of your money when they have gone through the next debaucle

Foxall: Ten days? It takes that long to put together a personal c.v. for a decent job. I smell a rat. One firm has already been given the nod. If G-S or JPM get the gig I won't be surprised.

saffrin: So why aren't we reading about Brussels forcing this sale as part of their denationalise everything policy? Labour didn't break-up the Post Office for nothing. It's been on the cards for decades. Sell off our postal services to private companies, none of whom will be required to post nationally at a standard rate. The reason the Royal Mail stamp keeps rising is down to DHL and the like cherry picking the city work while Royal Mail have to pick-up what's left at a standard rate.

aleclanglois: It is pointless to bring up what Labour did.

saffrin: Just pointing out that this sale is Brussels not Osbourne.

chamelion: Yet again the taxpayer is going to be ripped off, and the financial sector paid handsomely at taxpayer expense, surely these banks should be sold off slowly. in order to give taxpayers some return for the austerity forced on us by the banks action. The banks should  return to the private sector, but should the taxpayers not expect a similar return for the risks taken, just as the private sector would and does expect their return on risky deals! If these banks are rushed back into the private sector it will be a lose lose for the taxpayers and a win win for the financiers that took us to the brink in the first place. The share price should be at least equal to the price paid if not higher before being sold off. Mmm but how then do the politicians reward their friends.

TheBoggart: "The Government has moved quickly to start the sale of the taxpayer’s stake in Lloyds Banking Group, giving interested investment banks just 10 days to apply for a role in the process." "BANG! BANG! BANG!" The sound of UKFI banging the side of  the swill trough, brimming with  lots and lots of juicy fees and commissions. "OINK! OINK! OINK!" Waddling up we see Goldman Sachs and all the other porkers, antipating a good guzzle.  

jjracasa:  Best post seen in a long time.

MrBishi: Poor old Cameron will be worked off his feet with all the kitchen suppers to serve.

Thayaric: Lloyds shares haven't even reached the break even price yet. We should not be selling them. We only bailed out the banks on the understanding that we would profit from it. Do you want your tax money given to private corporations that will not show wage restraint at a time when many of us dont even have a job? I dont. RBS shares are in an even worse position than lloyds and must not be sold.

Iain downs: I dont remember anyone talking to you or anyone else about bailing out banks. Unless you are working for the treasury or an advisor to Gordon Brown. The thieving bastard used our money to prop up HBOS and RBS so that he could keep votes in Scotland. He didnt ask anyone. If you have a problem take it up with him and the fucking Labour Party. They got us into this mess in the first place

ryeatley: How much is the taxpayer going to lose from this purchase and sale? I ask this because I doubt very much whether we'll even break even.

Thayaric: By my calculations somewhere in the region of 50 billion.

gordongeckomoscow: as the total bailout was only about 45b, even if they sold the banks for zero pencea share they couldnt lose 50b happy to review your maths that gives you 50b  

Thayaric: 76 billion in share purchases. 40 billion in other loans. And thats not even mentioning QE.

baliacs: We urgently need four new banks working independently of the present close group.  In other words we desperately need banking competition Our present few big banks are riding roughshod over small customers

changsha: Osborne looks a shifty character. Not the sort of person I'd buy a used bank from!

TheBoggart: In Ann Widdecombe's famous words (directed at another shifty Tory): "There's something of the night about him."

wildejamey:  yep, the sort of man my mum told me never to accept sweets from.

releasethekraken: The break even price of Lloyds is 75p http://www.thisismoney.co.uk/money/investing/article-1723531/Will-you-get-a-Lloyds-RBS-shares-windfall.html The break even price of RBS is 50p (500p after the split) http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/9183812/RBS-and-Lloyds-Government-shouldnt-play-the-stock-market-with-taxpayer-stakes.html This does not include Time weighted value of money (i.e. inflation) Opportunity cost. So why are media outlets now talking about much lower b/e amounts? The BBC even talks about 61p for Lloyds - and they are not alone http://www.bbc.co.uk/news/business-23101050 Are they preparing the public to get screwed again by lying to them? Surely there is a journalist brave enough to point out that the Government and some elements of the media are deliberately trying to deceive the public in the sale of these shares?

Denis_Cooper: I've made a separate comment about this further up the thread.

gordongeckomoscow: lower figures are after adjusting for the fees paid to the government by the banks on interest and guarantees over the bad assets higher figuers relate to what the government bought shares at only not difficult

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