At a public meeting convened in Bradford on Saturday, 27 September, to mark the sixth anniversary of the nationalisation of Bradford & Bingley (B&B), Yorkshire MPs from the three main political parties supported calls for an inquiry into the nationalisation of the bank in 2008.
David Ward, Liberal Democrat MP for Bradford East, Gerry Sutcliffe, Labour MP for Bradford South, and Philip Davies, the Conservative MP for Shipley, gave their backing to the Bradford & Bingley Action Group’s (BBAG) call for a “full inquiry” into the nationalisation.
The three MPs were speaking at the meeting organised by BBAG chairman David Blundell, who has been fighting for fair compensation for around one million shareholders in the bank who were left with nothing when it was nationalised.
In 2008 the Labour Government nationalised B&B and sold the savings book and retail network to Santander at what many believe to have been a “fire sale price” according to Blundell. The action group chairman argues that this “destroyed B&B as an ongoing business despite it having a stronger balance sheet than Northern Rock, Royal Bank of Scotland and HBOS.”
He added: “The mortgage book is being wound down by United Kingdom Asset Resolution Ltd (UKAR) whose accounts suggest a substantial surplus when this is completed.”
Ward said that it was time the Government conducted a full and independent inquiry. Davies and Sutcliffe agreed with this. It was also revealed that Blundell is to contact Andrew Tyrie, chairman of the Treasury Select Committee, to arrange a meeting.
Davies added there were two possible options. Either the mortgage book surplus should be returned to the shareholders - not HM Treasury. Or, UKAR should in the future continue as a mortgage provider, sold and its shares distributed to the former shareholders.
by Roger Aitken