Oxford and Cambridge boys could not see the crisis coming? Jokers!!!

Bank of England 'did not see crisis'

Deputy governor admits interest rates are 'blunt instrument' with which to control economy

The Bank of England underestimated the severity of the current financial crisis, according to its deputy governor, who has admitted that interest rates are only a "blunt instrument" with which to control the economy.

Sir John Gieve told the BBC's Panorama programme, to be screened tonight, that new tools were needed to complement interest rates. He also admitted that the Bank knew "crazy borrowing" was taking place and the price of houses and other assets was rising unsustainably, but did not fully understand the..........read more