Skip to main content Accessibility help
×
Home
Hostname: page-component-768ffcd9cc-7jw6s Total loading time: 0.44 Render date: 2022-12-01T03:58:07.043Z Has data issue: true Feature Flags: { "shouldUseShareProductTool": true, "shouldUseHypothesis": true, "isUnsiloEnabled": true, "useRatesEcommerce": false, "displayNetworkTab": true, "displayNetworkMapGraph": false, "useSa": true } hasContentIssue true

8 - Shaved Eyebrows

Banking and Financial Supervision

Published online by Cambridge University Press:  18 September 2020

Harold James
Affiliation:
Princeton University, New Jersey
Get access

Summary

The concept of an overall regulatory approach to financial stability only emerged in the 1980s, when the word macro-prudential appears for the first time. The Bank’s attention was largely focused at this time on the problems of particular institutions: the exposure of large UK banks to Latin American debt in the run-up to the 1982 debt crisis; and then the collapse of Johnson Matthey Bankers in 1984. The Bank bought JMB for £1, and then injected £100 m into JMB. The manner of the rescue, and its justification as needed to save the credibility of the London bullion market, looked very much like the old-style City at work. It brought a great deal of political and media criticism of the Bank, and set the stage for new banking legislation in 1987. Financial supervision was trapped on the one hand between obsession with scandal and inability to confront systemic issues, and on the other between a need for international coordination and its practical and political impossibility. The Bank began to believe that it needed to give up on its old self-perception that it was a part of a City protective network.

Type
Chapter
Information
Making a Modern Central Bank
The Bank of England 1979–2003
, pp. 202 - 240
Publisher: Cambridge University Press
Print publication year: 2020

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Save book to Kindle

To save this book to your Kindle, first ensure coreplatform@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

  • Shaved Eyebrows
  • Harold James, Princeton University, New Jersey
  • Book: Making a Modern Central Bank
  • Online publication: 18 September 2020
  • Chapter DOI: https://doi.org/10.1017/9781108875189.008
Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

  • Shaved Eyebrows
  • Harold James, Princeton University, New Jersey
  • Book: Making a Modern Central Bank
  • Online publication: 18 September 2020
  • Chapter DOI: https://doi.org/10.1017/9781108875189.008
Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • Shaved Eyebrows
  • Harold James, Princeton University, New Jersey
  • Book: Making a Modern Central Bank
  • Online publication: 18 September 2020
  • Chapter DOI: https://doi.org/10.1017/9781108875189.008
Available formats
×