Alastair Darling to the House of Commons 12 February 2009
"It was recognised as being absolutely necessary to recapitalise the banks because we were within hours of the banking system collapsing last October; that is why we did it."Alastair Darling to the Financial Services Authority 27th March 2009
"Banks everywhere took on too much risk, and worse, risk that many didn't properly understand. [...]Turning to the G20 next week, Mr Darling demanded a new system of regulation "to ensure banks do not over-extend themselves."Alastair Darling to the Andrew Marr Show 26th July 2009 (Today)
"We did it because if you don't have a banking system that creates credit for businesses then you will make recovery and prosperity after that much more difficult."
"That's why we will be going through with each individual bank asking them why is it, at a time when the cost of borrowing is coming down, it would appear that the cost to small business appears to have gone up?"
Possibly because they don't want to take on 'too much risk', nor 'over-extend themselves'?