In terms of the rail sector contracts and companies are regulated under Eu standard law and contract awarding procedures and publication which successfully restricts this and allows for rail lines to be designed by the UK and devolved governments and lobbied for and against according to teh rule of law and local democracy.
However advice on which firm to invest in is the key decision, any company or advisor that fails to advise about this is a problem institution.
Why the Bank governor is right
When banks are too big to fail they are bailed out by the state and unsustainable investments continue as occurred in Soviet Russia. This is what did for the Uk economy in the late 1960s-70s with uncontrolled inflation when others in Western Europe were building their economic recoveries on the basis of sustained post war reconstruction.Hence proper regulation is required especially with credit. Froman economic intelligence perspective small states can set up companies, lawfully invest and use loans for a time and then collapse another economy using unregulated stock exchanges. Hence is there a need for an EU wide Companies House style regulation of Company directors?
This is needed to protect those who invest in their companies similarly to savers and to prevent the next recession wiping out the banking system. The method of that was credit card borrowing by said states faith and community individuals on the basis of recommendations from their groups and to undermine the way teh UK state operates. Hence lower credit card limits and mortgage borrowing as income percentages are needed to be kept in order to prevent inflation and allow for controlled economic advice bankruptcies.
Debt relief orders are needed to be kept for those who are elderly and disabled and on state benefits with better financial advice for them so as to stop them investing in bad business models or unsustainbly large big society projects that don't factor in the potential of a slower repayment of the bank bailout debts owing to the situation in North Africa and any humanitarian aid required to stop Gaddaffi starving his population. Hence any seized assets under the UN sanctions resolution should be spent on humanitarian aid now.
