The decision of the European Central Bank in the last few days to charge minus 0.1% negative interest rates to commercial banks is both not surprising and also an absolute disgrace. The decision of the banks chairperson Mario Draghi will clearly have a big impact on working class bank savers.

Of course most working class people in the European Union put their savings in banks. Many of course try and save a certain amount for their retirement. However the decision of the ECB to charge negative interest rates to commercial banks will clearly have an impact upon working class peoples savings in banks. Most commercial banks will probably put the affect of having to pay a minus 0.1% negative interest rate onto their own bank customers. So do not be surprised if in the next few months banks start charge their own customers negative interest rates for the pleasure of depositing their savings with the banks.

This action of course in real terms will mean theft of working class peoples savings in the European Union. As the rate of inflation is at present 0.7% in the EU so in real terms it could lead to an annual loss of 0.8% savings in real terms in the EU.

The obvious question is what conclusions should we draw from the European Central Banks decision to charge negative interest rates. Firstly we should not be surprised as Mario Draghi is the former managing director of the Goldman Sachs bank. Secondly working class savers will pay the price for propping up the world parasitical debt based banking system. Do not be surprised if there are more Cyprus bank bail ins theft applied to EU savers in the coming years. Thirdly British savers should gasp a sigh of relief that Britain is not in the Euro zone, so ‘at present’ these negative interest rates will not apply to British savers.

In conclusion radical action is needed to thwart the actions of the bankers class this can only involve the public ownership of the banking and finance system both in the EU and in Britain. Also a national investment board to establish a large publicly owned enterprise system in both Britain and the EU.

The fight back against the international bankers and finance class must start today. Have a nice weekend all.


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