'We're having to make an adjustment'
Updated on 16 February 2009
Sir Brian Pitman, former chairman and CEO of Lloyds TSB, discusses the current banking crisis.
"People are taking a very short-term view (of the merger with HBOS) and I've got great confidence that Eric Daniels is a shrewd banker.
"Moody's also take a short-term view in my experience, lots of people take a short-term view, the real key is whether they can achieve the profitability.
If you grow too rapidly in banking, it usually ends in tears.
"All this frenzy about nationalisation is not justified. I think one of the differences about this is the frenzy, because we haven't had a big recession like this for a long time.
"If we go back to the 70s we had a three-day working week, we had to go to the IMF for the UK to borrow.
"I don't think we're at the beginning of the beginning; I think this year will be a very rotten year and no real recovery in 2010.
"We're having to make an adjustment.
"If you grow too rapidly in banking, it usually ends in tears. "
