OfficeOfis.com

A recurring pattern in every crisis I have analysed is the uneven distribution of losses: some actors absorb severe damage while others experience only limited impact. In the case of Overend Gurney & Company, the firm itself (meaning the shareholders) suffered catastrophic losses, yet the contagion extended far beyond the institution. Many organisations dependent on its lending from the firm were destabilised simply because of the bank’s size and interconnectedness. The Bank of England showed limited willingness to intervene, but a more structured approach—one that distinguished between viable and non viable institutions—could have mitigated the wider economic fallout.

A similar dynamic emerged during the 2013 collapse of Cyprus Popular Bank and Bank of Cyprus, during the 2013 Cyprus crisis, where the consequences reached almost every household and business. The government’s priority at the time appeared to be the protection of political and institutional peers, despite serious and repeated governance failures. The restructuring process—shutting down Cyprus Popular Bank, transferring selected assets to Bank of Cyprus, and later closing the Cooperative Group—effectively concealed misconduct while shifting the financial burden onto the public. Tax free provisions for banks contrasted sharply with the lack of recovery mechanisms for citizens, who continue to bear the long term costs without equivalent support.

Across these cases, the underlying issue is the same: institutional incentives and management priorities differ sharply across countries and periods, shaping who absorbs the losses and who is shielded from them. When governance structures favour specific groups, the economic burden is redistributed—often unfairly—onto those with the least influence. Understanding these patterns is essential for designing policies that protect the broader public interest and prevent the repetition of past failures.

Nicos Rafidhias
Project DOTS

When REAL PROBLEMS need CHANGE or REFORM in order to be settled..
https://www.linkedin.com/pulse/who-can-solve-real-problems-nicos-rafidhias-j4lqe

And the troubles keep going..

High street fashion chain 'collapses' after closing 35 stores across Britain - staff told wages won't be paid A popular British high street fashion chain has "collapsed" after closing 35 stores across the country. Womenswear label Select Fashion has gone bust, with insolvency firm Moorfields now handling the wind-down process. Staff at Select have reportedly been informed they will neither receive redundanc...

https://www.cityam.com/why-conservatives-are-still-asking-what-would-margaret-thatcher-do/

Why Conservatives are still asking: What would Margaret Thatcher do? - CityAM Why are people at Conservative Party Conference 2024 still talking about Margaret Thatcher? Because she gave Tories something to believe in

https://medium.com//is-information-important-bddc1f89b51e

https://www.msn.com/en-gb/money/other/investigation-the-uk-has-paid-brussels-35-billion-in-the-three-years-since-leaving-the-eu/ar-AA1r85Wh?ocid=msedgdhp&pc=U531&cvid=e477246f00e84c1fbb6af7c33b9ea3e4&ei=39

INVESTIGATION: The UK has paid Brussels £35 billion in the three years since leaving the EU Official government documents and data have revealed the UK paid the EU over £35bn net in three years since the UK’s official exit. This includes payments under the ‘Divorce Bill’, as well as billions more for the EU’s ‘off-budget’ payments, and even more billions for fines from the EU ...

https://www.theguardian.com/uk/2009/jul/26/monarchy-credit-crunch #:~:text=The%20three%2Dpage%20missive%2C%20which,had%20predicted%20the%20credit%20crunch

This is how we let the credit crunch happen, Ma'am ... Economists explain to the Queen why no one foresaw the timing, extent and severity of the recession

https://www.theguardian.com/uk/2012/dec/13/queen-financial-crisis-question

Queen finally finds out why no one saw the financial crisis coming Her Majesty gets the answer to her question – four years after she asked it – on a tour of the Bank of England

https://www.thebusinessdesk.com/eastmidlands/news/2082271-staffline-ordered-to-pay-back-5.1m-over-national-minimum-wage-breaches

Staffline pays back £5.1m over National Minimum Wage breaches | TheBusinessDesk.com The firm has paid out shortfalls to almost 37,000 workers

https://www.youtube.com/watch?v=wEQQEAaBMXw

Skint: The Truth About Britain's Broken Economy | Channel 4 Documentaries Britain feels under-funded and falling apart. On the eve of the election, as politicians argue about the causes, economist Tim Harford looks at what the numb...