Following on from my earlier blog, I’ve read today that, despite being held largely responsible for the economic decline, Britain’s nationalised banks will be spending millions of taxpayers’ money to fund their lavish Christmas celebrations.
Whilst many people struggle with their debts as a result of the financial downturn, HBOS is throwing a luxury “dinner dance” for 1,500 of its mortgage workers at the Birmingham NEC! This comes with free hotel accommodation.
Royal Bank of Scotland (RBS) is apparently spending £1 million on parties for their 100,000 staff too, along with recently spending more than £300,000 entertaining 40 senior employees and 30 partners.
And Lloyds TSB – who have accepted roughly £5.5 billion from taxpayers to support their balance sheet – is treating staff by using £2.5 million of it on Xmas celebrations.
All of this happens as companies are forced to cut jobs, and as thousands of people nationwide are worrying about debts they now face, as a result of banker’s actions.
Many will now need to seek debt help, or advice on their debts, to deal with the growing balances on their overdrafts, credit cards, store cards and personal loans.
For some, relief may come from speaking with a professional debt expert who can give impartial debt advice. The debt adviser may recommend a debt management plan (DMP) or an individual voluntary arrangement (IVA) to help deal with debts.
A debt management plan can offer help to people who are finding it difficult to keep up with their debts – possibly as a result of a loss of income or redundancy. Debt management gathers all debts into one easier-to-manage payment, which is then distributed on a debtors behalf. DMPs are a flexible solution for debts, and help people regain control of their finances.
An IVA is a debt solution for people with larger debts, and is a legally binding contract with creditors which is proposed by an Insolvency Practitioner. An IVA enables any remaining unsecured debts to be written off at the end of the IVA term, which normally lasts for 5 years.
Alex Neil MSP said of the bank’s festivities: “I don’t want to be a party pooper, but spending £1m on Christmas parties when so many pensioners have lost their savings as a result of the RBS share collapse is obscene.”
Hear, hear!
