Banking Regulation

The Dominion Post reports that Dr Cullen ignored the advice of all his top officials when he caved in to an Australian push for a single banking regulator.

Now to be fair to Dr Cullen, National’s John Key is on record as saying he supports a single regulator.

Now Mr Key probably knows more about banking than I know about anything, so that gives me some reassurance.

However I wonder if both men are over-looking the well documented history of Australian Governments doing over New Zealand, if it is in their interest. Remember single trans-tasman airline policy?

If an Australian bank gets into trouble, I am damn sure New Zealand customers will be well down the list of people to look after. Somewhere after paying the pet store for the food for Millie, the bank’s pet cat.