According to new data from the Bank of England, consumer borrowing increased by its fastest rate for more than a decade in the run-up to the festive period, reaching levels not seen since the peak of the financial crisis. Consumer debt rose by 10.8 percent in total during the past 12 months – with credit card borrowing hitting a record high.
The truth about the traditional banking model: it is dead. Ok, to be temporally current, it is dying. Six reasons why:
At the moment, give or take a bit of quantitative easing, all money is conjured into existence by private banks, 85% of it as loans on existing residential property. It’s a recipe for unaffordable housing and unmanageable private debt, but it’s also undemocratic; writes Zoe Williams in the Guardian, 9th January 2017.
The emergence of blockchain has breathed new life into the ideas of economists Adam Smith, David Ricardo and Milton Freidman, and could potentially trigger a revolution in central banking, reads an article in the World Finance, 21st Dec 2016