When times are good, advising the Government is not a great money-spinner for investment banks and law firms. But when there is little lucrative corporate work around, the Treasury looks much more attractive.
The Treasury ran a beauty contest to choose its investment banking advisers last October. The winners, Credit Suisse and Deutsche Bank, have already pocketed more than £60 million in fees between them, according to one expert estimate.
Thomson Reuters, which compiles data on advisory fees, believes that Credit Suisse and Deutsche have earned £60.9 million from advising on the part nationalisation of Royal Bank of Scotland, HBOS and Lloyds TSB, although Credit Suisse is likely to have been paid significantly more because it has the bigger role. Not a bad return for advisers who might otherwise have been twiddling their thumbs.
The taxpayer has also paid Goldman Sachs — which advised the Treasury on the nationalisation of Northern Rock and Bradford & Bingley – tens of millions of pounds in the past year.
The banking criminals that caused this colossal debt are now skimming more off the top from your taxpayer pounds. When will you all wake up t the massive fraud that is going on around you!