Under the Skin – Credit-Crunched, Recessionary Times: Implications for the UK and Its Banks

Neil Coburn
Truth Consulting

Monique Hellel, Matthew Higgins, Alan Jones and Carina Kemp
HSBC

Louise McLaren
Truth Consulting

INTRODUCTION

The speed and ferocity of the current economic downturn has come as a body-blow to the UK. Even Gordon Brown acknowledged on 23rd January, the day the country officially entered a recession, that 'What we did not see, nobody saw, was the possibility of markets failure' (BBC News, 23rd January 2009).

Of course, some are now claiming 'I told you so'. Unfortunately, these doom-mongers' voices could not be heard over the ringing of cash tills and clinking of champagne glasses as the UK enjoyed a sixteen-year unprecedented period of growth, fuelled by steady interest rates and easy access to credit.