What would it cost to pay off people’s mortgages in the UK, rather than paying back the banks zillions of £££?
The uk economy is in a bad way, so our government pays off millions of pounds of banking debts off? Suppose they paid all our mortgages off instead (say, all those more than 6 mnths old?). What would that cost – less??? We’d all have plenty of money to spend then. What do you think???
Tags: back, Banks, Cost, Government, Mortgages, Paying, peoples, rather, Than, Would, zillions, £££
You are so right. The government should give taxpayers an amount of money (say fifty thousand pounds each), instead of bailing out the banks directly. Anybody with a mortgage should be made to repay that money off their mortgage. The banks would be flooded with funds overnight. They would then be looking to lend that money to other borrowers. There would no longer be a shortage of finance in the capital market. Those people who had no mortgage, could use the money to pay a deposit on a home. This would revive the housing market. Those people who just wanted to spend the money on consumer goods and services would stimulate the general business economy. All these activities would also help to keep the labour force in jobs and prevent retrenchments.
This would have created far greater benefit all round. It is a pity that the simplest solutions are so often overlooked by governments.