UK Banks Forced to Do the Right Thing

The Week: Order to stop banks paying dividends was painful for investors but the correct decision, says Morningstar columnist Rodney Hobson

Rodney Hobson 3 April, 2020 | 9:27AM

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Actions speak louder than words, as shareholders in banking stocks discovered this week when the intervention of the Bank of England counted for much more than the pious but pointless words of a government minister.

Apart from selling most of our gold reserves, Gordon Brown’s big mistake was curtailing the control that the Bank of England had over the UK’s banking sector with predictably catastrophic results.

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About Author

Rodney Hobson

Rodney Hobson  is a columnist for Morningstar.co.uk and author of several investing books, including The Dividend Investor and How to Build a Share Portfolio.

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