Petition Banks – Divide & Conquer

The government must seize a unique opportunity to drive the desired change in the banks behaviour by using the ‘nationalised banks’.
Lloyds TSB, RBS and Northern Rock should be split up into a number of smaller banks whose charter would be to focus on current accounts, savings, mortgages and loans to creditworthy consumers and business customers. Bank charges and interest rates on savings and loans should be reasonable and fair to savers and borrowers. Funds to regenerate the economy could be channelled through these banks instead of bank bailouts. They should be banned from ‘casino banking’ or any activity which they can not properly risk assess.
The directors and senior managers must be paid performance related but not excessive salaries, pensions, incentives, perks, allowances, expenses and bonuses.
There would be thousands of competent managers queuing up for these jobs.
The competition and surge of customers changing to the new banks would force the other banks into line.