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Old May 7, 2020, 5:50 am
  #15  
pauldb
 
Join Date: Jun 2003
Programs: BA, IHG, 5C
Posts: 4,413
Originally Posted by Raffles
That's not correct. The CCFF money is raised by HMG directly buying bonds issued by corporates. It is NOT a Government guarantee for a loan made by a commercial bank. The £300m has come directly from your pocket.
That’s not quite correct either. Like all the special measures, the CCFF money is being borrowed by HMG and that borrowing will be repaid by HMG when BA repays HMG.

The £300m will only come from your pocket if BA defaults, in the sense that the taxpayer would have to repay the borrowings or forever pay interest on. And that’s exactly what the picture would look like with a guarantee that got called upon.
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