"I don't know why the Government hasn't knocked on the head the idea that it's working on the creation of a bad or toxic bank that would buy our biggest banks' dodgy loans and investments.
What I expect it to announce on Monday (although the timetable could slip a day or so) is the creation of the mother-of-all bank insurance schemes." With the amount of taxpayers' cash that's already been expended on the problem, one shudders to think of what £billion figure will be attached to this latest scheme. So far as taxpayer liabilities go, it's also worth pointing out Peston's claim that the Treasury's considering a plan which would see "the state's holding in [the] Royal Bank [of Scotland] rising from 57.9 per cent to around 70 per cent, or a good step nearer full nationalisation". Watch this space.