The first political party to start moving in the right direction

The UK is dominated by two political parties: the Conservative ("Tory") Party and the Labour Party. However, from time to time, the third-largest party, the Liberal Democratic Party (LibDem), swings the balance between the Conservatives and Labour.

The LibDemsf appear now to be moving towards system solutions, or at least much more radical reforms than are currently being considered by the two major parties, as well as by the UK Treasury and the UK's financial services regulator, the Financial Services Authority.

Nick Clegg, the Liberal Democrat leader, has apparently now asked Vince Cable, the Liberal Democrat Treasury spokesman, to look at subjecting banks to a “premium rate” of corporation tax. This is because of public concerns at current bank profits and expected bonus payments in view of the limited competition in the financial services sector, following the dissolution of a few banks, and the limitation of activities by many others.

The LibDems are looking at a new bank tax which they believe be in force for several years - in fact till all state support has been withdrawn from the financial system. The Lib Dems have also become the first political party in the world to want to break up large banking groups. Sphere: Related Content