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News release


8 October 2008

City welcomes Darling announcement

Stuart Fraser, Chairman of the Policy and Resources Committee of the City of London Corporation, says:

"We welcome today's decisive action by the Government. This plan addresses the issues - as did the US package agreed last week - but it will have greater immediate effect.

"Today's measures are designed to get banks lending to individuals and businesses again. Everyone needs to be clear that this action is about the High Street and the wider UK public and not the City alone.

"Addressing liquidity will get banks lending to each other and help keep us well away from a situation where businesses across the UK can't cover payroll and invoices aren't being paid. Tackling liquidity is crucial to this. Of course, other measures such as guaranteeing deposits are welcome too.

"This plan is quite properly focussed on the domestic economy, but to solve this global financial turmoil we need global solutions as well. Coordinated action by governments across Europe would also be welcome."

Ends


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