Who should carry the can for the bank run?

If you’re trying to figure out who should be blamed for the whole Northern Rock debacle, do read Martin Vander Weyer’s column today. As Martin argues, Northern Rock is in large part responsible for the mess it got itself into to while the Financial Services Authority also deserves blame for sitting on its hands after it became aware of the potential problem. But the crisis has also demonstrated that the regulatory system that Gordon Brown and Alistair Darling set up in 1997 is not fit for purpose.