The irony of the UK government being forced to nationalize at least some of its banks will not be lost on a news-weary public. This is the same government that prided itself on setting up the 'independent' Monetary Policy Committee, overseen by the Bank of England.
It's fair to say that the government's hand has been forced by 'events'. Shoring up bank balance sheets with taxpayers' funds was intended to start money flowing around the economy and thereby put an end to the credit crunch.
As we now know, the banks have used the cash to strenghten their own balance sheets and thus ensure their survival. The hoped-for reality of boosting lending to businesses and home-buyers has not happened.
In the meantime, the 'toxicity' of bank assets has turned out to be much worse than was once feared. Dire financial results have seen the markets give bank shares a pasting, thus further undermining bank valuations and credibility.
The clamour to nationalize the banks is intended to force them to start lending again and unclog the UK's financial arteries. The 'hands-off' approach of the UK government, however, will do little to reverse this impasse.
Although we'll never know, the 'tax credit' policy of the Tory opposition party may yet have much to commend it. For the moment, we have an economy following a determinedly downward spiral and a Prime Minister whose early fiscal initiatives have been lost amid the international economic turmoil.
Ultimately, the situation regarding banks in both the UK and the US is all part of an international meltdown. Globalisation was the mantra to which we were all expected to sign up. What those people in banking and politics forgot to tell us was that - as with all things financial - the value of banks can go down as well as up.
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