UK GDP declining nearly at Great Depression rates

[NJ5]

kowenicki said:

Utter bollocks

So if a major high street bank fails.... say Barclays:

hundreds of thousands of normal savers and investors lose all of their mony, thousands of businesses go bust as they lose all of their working capital... then another bank goes bust because Barclays owes them money too (inter bank lending).... and so the cycle continues

You know zip about the banking system.

Doesn't the UK have insurance for deposits? Unless you don't I don't see how savers would be enormously affected.

Businesses could get working capital from solvent banks or from the government directly, and the same for banks which were otherwise solvent. Give them temporary loans while the bankruptcy process is ongoing, and then give them whatever can be salvaged from the bankruptcy process.