I can't see anything going wrong with this, can you?

John Redwood has all the details:

The government has decided to set up a holding company, UK Financial Investments Ltd, to own and manage all the shares in banks and building societies the government is accumulating at enormous expense to the taxpayer.

Now, why would you want to do that?

Why doesn’t the government just say they will hold the shares direct but leave the management of each bank to get on with it without Ministerial involvement? I guess they have ruled that option out for two reasons. Firstly, they do want to intervene, but need an intermediary or conduit to do it quietly. What better than a well paid quango company acting as the buffer and the prod to the banks? Secondly, they probably reckon the left in their party would not put up with a policy of complete non intervention. What is the point of a nationalised bank, the left would correctly ask, if it does the same things, imposes the same charges, withdraws the same facilities and pays the same bonuses as a private sector bank? UKFI allows some flexibility when answering the left’s criticisms behind closed doors. The plan is to have studied ambiguity, so the left can travel in hope, whilst markets are reassured.

Another fantastic "neither fish nor fowl" solution from ZaNu Labour PF*.

More yummy quango goodness, draining money from the tax payer. More pointless bureaucracy. More excuses for arms-length fucking about with things that matter, just like Ed Balls and the exam boards: something goes right, the ministers get all the credit; something goes wrong and the ministers can deflect the blame. Not that we'll believe the goat-felching motherfuckers, of course.

Needless to say, it gets better:

The government has already had to modify three of its proposed interventions. It stated at the time of the original deals with RBS, HBOS and Lloyds that there would be no dividends, no big bonuses and maintained lending at 2007 levels. Now we learn there can be dividends once the Preference chares are repaid – a lower threshold to jump. There can be bonuses to senior people not on the Board – a good reason for some to resign directorships or to refuse them. There seems to be some retreat from the idea of artificially boosting lending to the levels of the boom, when there could be a shortage of takers for new loans on offer.

It's no wonder I struggle to find the enthusiasm to get out of bed some days.

*Pig Fuckers