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  Tom you are always directing fire at the wrong people.
  
  The house price bubble and debt bubble was a direct result of the way the Bank of England was given it independence and the inflation brief devised by Brown that was all Balls....
  
  It ignored levels of debt in the economy leading to interest rates being held down too low for too long amid what became a false boom.
  
  In that period a range of Treasury policies also discouraged investment, reducing tax benefits and reducing the amounts allowed to be invested. Added to low interest rates this was truly toxic. Too many people, far too many, turned to property for investment seeking better returns. For several years I was warning and advising clients against this not always with success. In addition without savings people turned more and more to credit cards and borrowing to fund large purchases making a bad situation worse.
  
  When 2007 came along and the quite predictable cyclical downturn arrived, the appalling private debt situation added to the dreadful public debt and a massive State deficit we had an impossible situation that will take years to recover from.
  
  The public responded in a way predicted by Keynes and his 'animal instincts' - lessons ignored by Keynseyan Brown because it was not the convenient part of Keynes theory.
  
  The banks are not innocent, far from it, but they responded to the market conditions created by Brown unchecked by his reformed regulatory system that reduced oversight.

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