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Vince Cable: pure laissez-faire economics does not work
http://www.guardian.co.uk/politics/2012/sep/11/vince-cable-laissez-faire-work<snip>
Vince Cable said intervention was needed to support British business where the market had failed. Photograph: Stefan Rousseau/PA
A British bank potentially backed with public money will be created to shake up the market in business finance, Vince Cable will announce on Tuesday in a major speech setting out a new industrial strategy.
The business secretary said the government had a role as a catalyst in areas where the lending market "doesn't work well".
Outlining an institution that could promote lending to companies that struggled to get long-term loans, Cable said he was working with Osborne on "how big it should be, how it should operate, and what the sectors it services should be".
"We do recognise that there are areas where the current financial services market, the banking market, just isn't working for chunks of the British economy. Small business lending is actually contracting; we know the serious problems in the banking sector, and there are certain areas where the market has failed and we do think an intervention would help
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Duh!!!