How we all got screwed – and who did the screwing

For some time I had heard people say Robert Peston of the BBC was an extremely irritating individual.

He did a programme early this week about the great European catastrophe, and I can  see what they meant.

As he strode about the ruins of Rome in an ill-fitting overcoat (why can’t these buggers keep still?) he gave out a sort of spurious enthusiasm which did jar a lot. He combined this with the common habit among TV presenters of emphasising certain words for no good reason. But the strong temptation to switch off was more than offset by what he revealed about the mess we’re in.

Many people have pointed out the flaws in the European experiment – that a common currency is a straight-jacket; that the various countries are almost uniquely ill-suited to be yoked together; that economic union can’t work without political union and so on.

But for the first time he showed in simple language how the politicians deliberately sidelined the safeguards originally built into the Euro experiment.

To get more nations involved and make things look better than they were they relaxed or even removed the good housekeeping requirements. Countries were allowed to get into more debt than they should have; they were deluged with cheap money.

And who connived at concealing what was going on? The banks. They invented derivatives that enabled countries to hide how deeply in debt they were by delaying the need for payment – in effect taking the rubbish off the books for a few years.

Well, here we are. In the shit. The culprits are exactly who you thought they were.

The people who will pay are exactly who you thought they were. too. You and me.

About the Author

In 2003, the Chartered Institute of Marketing named Drayton one of 50 living individuals who have shaped today’s marketing.

He has worked in 55 countries with many of the world’s greatest brands. These include American Express, Audi, Bentley, British Airways, Cisco, Columbia Business School, Deutsche Post, Ford, IBM, McKinsey, Mercedes, Microsoft, Nestle, Philips, Procter & Gamble, Toyota, Unilever, Visa and Volkswagen.

Drayton has helped sell everything from Airbus planes to Peppa Pig. His book, Commonsense Direct and Digital Marketing, out in 17 languages, has been the UK’s best seller on the subject every year since 1982. He has also run his own businesses in the U.K., Portugal and Malaysia.

He was a main board member of the Ogilvy Group, a founding member of the Superbrands Organisation, one of the first eight Honorary Fellows of the Institute of Direct Marketing and one of the first three people named to the Hall of Fame of the Direct Marketing Association of India. He has also been given Lifetime Achievement Awards by the Caples Organisation in New York and Early To Rise in Florida.

1 Comments

  1. … and as many commentators knew about this stitch-up all the way back when Greece joined the Euro, it makes you wonder why they only tell us about it now, as a history lesson. In his last major speech as Chancellor, Nigel Lawson explained why the Euro could not work. We are a living example of how public opinion is diverted into emotional arguments about losing the precious £ Sterling, instead of learning how France and Germany allowed Greece, for example, to cook the books to enter. Strangely, as the Euro is built on sand, you'd expect it to lose its value. It has lost just a few cents. .. Discuss!

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