- Title: UK: UK banking crisis worries Britons in the capital
- Date: 8th October 2008
- Summary: LANDSBANKI HEADQUARTERS RECEPTION CLOSE OF LANDSBANKI LOGO ON GLASS MAN SMOKING CIGARETTE EXTERIOR OF LANDSBANKI LONDON OFFICES / TREES AND FLOWERS NEXT TO PAVEMENT (SOUNDBITE) (English) KOLA, IT MANAGER, SAYING: "I think like everybody I am a bit more cautious on spending. I probably don't spend as much as I used to and try and just reign in some of my lavish lifestyle a little, go out less. But yeah, I'm not panicking, I'm not drawing all my savings out and like I said, not buying up heaps of gold bars to put under the bed." NATWEST TOWER BUILDING
- Embargoed: 23rd October 2008 13:00
- Topics: Finance
- Reuters ID: LVA1K2QECA3V8DW5BQQCUE85TYVE
- Story Text: Londoners feel the effects of the financial crisis as Royal Bank of Scotland shares suffer at the hands of the credit crunch.
UK banking shares were sharply lower on Tuesday (October 7), on renewed speculation that the government may take stakes in the main lenders, diluting existing shareholders, in an effort to bolster their finances in the face of the global credit crunch.
Employees at the Royal Bank of Scotland arrived at work to watch the share value of the bank plunge.
"I work for RBS, we are really concerned. We are watching the share price just plummet, so yeah, really concerned where everything's going, what is happening. Just waiting for the meeting this afternoon with the Government, let's see how it goes from there," Shefali Silito said.
As the British government strives to stabilise the banking sector and the economy, many Britons are becoming increasingly fearful that the financial crisis will hit their pockets significantly.
For building maintenance worker Tyrone, the ongoing credit crunch increases his fears of job insecurity.
"With the credit crunch how are you gonna be able to look after your kids or yourself if it's so bad already, and you can't get no job?,"
Whilst one of the crisis' latest victims, Mark Lennon, says the situation had been allowed to escalate too far.
"Well I'm actually losing my job today due to the credit crunch, I do recruitment and therefore our clients aren't taking on staff, I am losing my job today, so it's appalling," he said.
For others employed in the financial sector, the continued crisis has resulted in a slowdown to business.
Sophie, a French national working in finance in the City of London, worries for her future.
"My concern at the moment is I am not doing business in my particular job, and I may be concerned about my job, about losing it, so I am being a bit selfish," she said.
Her friend echoed her comments but preferred to remain optimistic.
"Yes, obviously we are worried like everyone else in the market but there is nothing we can really do, so just wait and see and hopefully it is cyclical and it will get better some day," she said.
For those not directly affected by the turbulent on goings in the financial sector, prudence is more the order of the day.
Kola, an IT Manager, has adopted a more cautious approach to his spending habits to avoid any draconian measures.
"I think like everybody I am a bit more cautious on spending. I probably don't spend as much as I used to and try and just reign in some of my lavish lifestyle a little, go out less. But yeah, I'm not panicking, I'm not drawing all my savings out and like I said, not buying up heaps of gold bars to put under the bed," he said.
But as politicians prepare to ride the storm before reviving people's confidence in the economy, job insecurity in Britain looks set continue.
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