Daily Telegraph investigates Northern Rock.

The City staff of Daily Telegraph has carried out an investigation into the September collapse of Northern Rock. On September 9th Chancellor Alistair Darling
felt unable to overrule Bank of England governor Mervyn King, who was refusing to
accept the request of £30bn from Lloyds TSB. This was for central bank funding to
to support Lloyds TSB's rescue bid for Northern Rock. The Newcastle-based bank
now has received taxpayer funds £24bn. There have been calls that to protect
these taxpayer funds Northern Rock should be nationalised.

Virgin Money bid for Northern Rock!!

The Virgin Money bid for Northern Rock could see the former building society
pay the Richard Branson enterprise a percentage of annual revenues for the use
of the brand name. As part of a 20 year deal the figure could reach a total of
£200m. Virgin Money is the preferred bidder.
However, RAB Capital, which owns 7 pct of Northern Rock, does not think the
Virgin Money bid offers value and will reject it.
In today's Daily Telegraph Jeff Randall criticises the Richard Branson bid saying
Northern Rock shareholders will be funding their own rescue.

You would not adam n' eve it!!! HMRC.

Well, I have to admit that I am one of the affected by the security breach
at Her Majesty's Revenue & Customs (HMRC)
and I am not happy. Obviously, bashing together the Inland Revenue and the
Customs by then Chancellor Gordon Brown was a bit of a gamble, since it
brought together two organisations with a different ethos. Commentators
warned that the Revenue would become less user-friendly.

UK Chancellor Alistair Darling looked in a terrible state. The Northern Rock
mess is getting messier and Darling is the one, who has to sort it out.
Suddenly, the British taxpayer is on the hook for nearly a thousand pounds
each.

You will never beat Des Walker!!

This is what the Notts Forest fans used to sing when Des Walker was playing
for the club in its glory days. You could say the same applies to the
taxman or Her Majesty Revenue and Customs (HMRC). The Sunday Times reports that the Revenue is continuing its squeeze on
offshore accounts. What is so amazing is the tax recovered and a total of
£500m is expected to come in by the deadline of 26/11/07.

The Sunday Times notes that some 36,000 people will be formally investigated.
I bet they will need an accountant!!

Jeff Randall does great article on Northern Rock!

The Daily Telegraph's Jeff Randall has done a great article on the debacle of Northern Rock, which is being faced by British prime minister Gordon Brown. Randall regards as unlikey that Northern Rock will get any value for their shares.
Randall makes a telling comment "Brown is trying desperately to steer clear
of the crime scene, while maintaining the fiction that taxpayers' interests are protected."

This was from yesterday's Daily Telegraph. In today's the supposed free market Financial Times, there was an editorial call for the nationalisation of
Northern Rock.

In any event I think the Northern Rock shareholders are in a bit of a predicament,
although some clinging to hopes engendered by the interest of Richard Branson's
Virgin Group.

What's in it for us middle classes, Gordon?

In quite a perceptive article by Alice Miles in The Times last Wednesday,
November 7th, the usually right-on, trendy journalist has the title
"What's in it for us middle classes, Gordon?"
Ms Miles notes that she comes over middle class again when her child is going
to enter the educational system. The Times' columnist says

"It's definitely something to do with the slightly righteous tones adopted by
Brownite ministers and their acolytes about our duty to the underprivileged."

Does financial budgeting work in the UK?

Does financial budgeting work in the United Kingdom? In the September issue
of Accounting & Business, Peter Bebb notes the fixed period of the budget
does not allow organisations to change as conditions and priorities change.
In addition, the budget builds or not on the previous year's
budget.

For instance, the budget does not forecast the loss or gain of major contracts.
There should be a gradual increase in sales/revenues. For instance, the budget
at British Airways (BA.Com) must have seen some modification following major
fines over breaking competition laws.