This table neatly sums up the true nature of the UK banking system. It gives the quantity of outstanding loans to the corporate sector.
Manufacturing has only £58 billion outstanding loans, while financial intermediation, otherwise known as the shadow banking system, has received over to £700 billion pounds in loans. Moreover, the stock of outstanding loans to manufacturing firms has fallen by almost 10 percent, while lending to shadow banks is up over 5 percent.
Now we can see what this bank bailout was really about. It wasn't about protecting jobs. The manufacturing sector is still suffering from a terrible credit crunch. This bail out was about protecting the shadow banking system. It was about protecting a small group of greedy self-serving financiers.