Back in late-2008, in the immediate aftermath of the sub-prime crisis, those of us calling for a new “Glass-Steagall” split between commercial and investment banking were dubbed “Neanderthals” and “hot-heads”. Spool forward four years, and much has changed. But, maybe, not yet enough.
The desirability – nay necessity – of imposing structural reform on the Western world’s banking sector, is fast becoming conventional wisdom. Meanwhile, the “banking titans”, desperate to protect the status quo that has been so profitable for them but so disastrous for taxpayers, are clinging on by their expensively manicured fingernails.