Lord Turner: 'UK banks could have recovered with a bigger bailout'

According to the outspoken FSA boss, under-capitalisation three years ago means the economy is still weak and flatlining – something the US has avoided because its banks were given a comprehensive bailout when the credit crisis first bit UK banks hit by the financial crisis needed bigger taxpayer bailouts to maintain lending and allow the economy to recover, the boss of the chief city regulator said yesterday. Lord Turner, who heads the Financial Services Authority, said with hindsight th...