

Currently released so far... 960 / 251,287
Articles
Browse latest releases
Browse by creation date
Browse by origin
Embassy Asuncion
Embassy Astana
Embassy Ashgabat
Embassy Ankara
Embassy Amman
Embassy Algiers
Embassy Addis Ababa
Embassy Abu Dhabi
Embassy Buenos Aires
Embassy Bucharest
Embassy Brussels
Embassy Bridgetown
Embassy Brasilia
Embassy Bishkek
Embassy Berlin
Embassy Beirut
Embassy Beijing
Embassy Bangkok
Embassy Bamako
Embassy Baku
Embassy Baghdad
Embassy Colombo
Embassy Chisinau
Embassy Caracas
Embassy Cairo
Consulate Casablanca
Consulate Cape Town
Mission USNATO
Embassy Muscat
Embassy Moscow
Embassy Mexico
Embassy Manama
Embassy Managua
Embassy Madrid
Consulate Munich
Secretary of State
Embassy Stockholm
Embassy Singapore
Embassy Seoul
Embassy Santiago
Embassy Sanaa
Consulate Shenyang
Consulate Shanghai
Consulate Sao Paulo
Embassy Tunis
Embassy Tripoli
Embassy The Hague
Embassy Tel Aviv
Embassy Tehran
Embassy Tegucigalpa
Embassy Tbilisi
Browse by tag
CH
CE
CA
CACM
CDB
CLINTON
CU
CASC
CJAN
CM
CO
CIA
CVIS
CMGT
COUNTER
COUNTERTERRORISM
CI
CS
CG
CF
CD
CV
CY
ENRG
ETTC
ECON
EINDETRD
EPET
ETRD
EINV
EG
EUN
ELAB
EU
EAID
EFIN
ECPS
EAIR
EAGR
EIND
EN
ELTN
EWWT
EMIN
EZ
ENVR
ECIP
ET
EFIS
EXTERNAL
EI
ELECTIONS
EREL
ECUN
EINVEFIN
KNNP
KIPR
KDEM
KWBG
KN
KPAL
KGIC
KRAD
KJUS
KISL
KPWR
KGHG
KFIN
KTFN
KCRM
KHLS
KSUM
KPIN
KS
KSCA
KAWK
KPAO
KTIP
KCOM
KTIA
KBIO
KWMN
KCOR
KZ
KDRG
KAWC
KIRF
KACT
KFRD
KR
KU
KMDR
KSEC
KOLY
KE
KPKO
KSPR
KGCC
KPRP
KG
KUNR
KCIP
KHIV
KDEMAF
PGOV
PHUM
PREL
PINR
PARM
PK
PTER
PBTS
PREF
PL
PAK
PINS
PE
PROP
POL
POLITICAL
PARTIES
PO
PSI
PA
PINT
PGOF
PHSA
PSOE
POLITICS
PBIO
PECON
PEPR
PM
Browse by classification
Community resources
courage is contagious
Viewing cable 09LONDON2225, CHANCELLOR DARLING ON BANKERS’ BONUSES, UK
If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs
Understanding cables
Every cable message consists of three parts:
- The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
- The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
- The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #09LONDON2225.
Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
09LONDON2225 | 2009-09-24 16:04 | 2010-11-30 23:11 | CONFIDENTIAL//NOFORN | Embassy London |
VZCZCXRO3615
PP RUEHAG RUEHROV RUEHSL RUEHSR
DE RUEHLO #2225/01 2671616
ZNY CCCCC ZZH
P 241616Z SEP 09
FM AMEMBASSY LONDON
TO RUEHC/SECSTATE WASHDC PRIORITY 3597
INFO RUCNMEM/EU MEMBER STATES COLLECTIVE PRIORITY
RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
RHEHNSC/NSC WASHDC PRIORITY
C O N F I D E N T I A L SECTION 01 OF 02 LONDON 002225
SIPDIS
NOFORN
NSC FOR FROMAN
TREASURY FOR MURDEN/SOBEL
EO 12958 DECL: 09/24/2019
TAGS ECON, EINV, PGOV, AGMT, UK
SUBJECT: CHANCELLOR DARLING ON BANKERS’ BONUSES, UK
RECOVERY, AND LABOUR PROSPECTS
Classified By: Ambassador Louis B. Susman for reasons 1.4 (b) and (d).
¶1. (C/NF) Summary: Chancellor of the Exchequer Alistair Darling told the Ambassador during his September 23 introductory meeting that G20 governments must continue to implement stimulus packages and avoid complacency. Darling warned that if banks paid out large bonuses in 2010, they could provoke a political backlash and draconian legislation that would have unintended consequences. Governments needed to pressure the banks to exercise restraint. The Chancellor was cautiously optimistic that the UK economy would return to growth by year-end, but worried that the recovery remained fragile. Darling had sharp words for the Conservatives, who were campaigning on budget cuts, but unwilling to say what they would cut. He said that Labour was losing hearts and minds more than the Conservatives were winning people over. The Ambassador raised the issue of VAT charges on the London Embassy project and subsequently briefed U/S Kennedy by phone. End Summary. Recovery is Fragile and Banker Bonuses
Radioactive
--------------------------------------------- -----
¶2. (C/NF) The Ambassador said that the President was committed to a strong framework for growth at Pittsburgh and asked the Chancellor for his expectations from the G20 summit. Noting he was traveling to Pittsburgh early September 24, Chancellor Darling stressed the importance of continuing stimulus packages and avoiding complacency. Unemployment levels across the developed economies were high, continuing to rise, and risks to growth remained real. He cited IMF predictions that Germany could re-enter recession and expressed concern about the potential for higher oil prices. He noted that high public sector debt levels constrained governments, room for maneuver. On pay and bonuses, Darling cautioned that banks needed to exercise restraint. With spring UK elections in mind, he said that if banks announced large bonuses early in 2010, the pressure for draconian legislation would be politically irresistible. He expressed concern that a political backlash could produce legislation that had unintended consequences and cited Sarbanes-Oxley as an example. He said governments needed to persuade bankers not to do something stupid in the coming months. Cautious Optimism on Recovery
-----------------------------
¶3. (C/NF) On the UK economy, the Chancellor remained cautious, but expected a return to growth by the end of the year. But he cautioned that it would be &foolish to announce victory.” He said that the UK’s heavy dependence on services, and especially financial services, meant that UK growth would lag behind other economies and depend on their growth. He added that if businesses and the public see recovery, they will spend. U.S. Committed to Address Climate Change
---------------------------------------
¶4. (C/NF) The Chancellor asked about the prospects for climate change legislation. The Ambassador referred to the President’s September 22 speech at the UN Climate Change Summit and highlighted his commitment to address climate change through strong administrative measures and through legislation. Noting the determination of White House and Congressional leaders, the Ambassador expressed confidence that Congress would pass legislation. Labour Losing Hearts and Minds
------------------------------
¶5. (C/NF) Responding to a question on the UK election, Darling said that the Conservatives may think they can run a campaign on cutting spending without specifying what they are going to cut, but this will become less and less tenable. He said it is in the nature of the opposition to criticize without offering up specifics. In the meantime, he said that Labour would &fight like hell for re-election.” Darling was sanguine about Labour’s challenge ) &the problem is not that the Conservatives are winning hearts and minds, rather that we are losing them.8 He said that Labour needed to regain the confidence of the public that they can win. VAT Exemption on New Embassy Unlikely
-------------------------------------
¶6. (C/NF) Ambassador raised the new embassy project at Nine Elms, noting that the USD 1.2 billion project would spur redevelopment of a blighted area and create jobs. He said that as a matter of principle, the UK should not impose value-added tax on the construction of a chancery building. Darling responded that the government could not exempt the project from VAT, citing the recession, tight budget and elections. Ambassador noted that construction was projected
LONDON 00002225 002 OF 002
to start in 2012 and urged the Chancellor to work with him to find a solution.
Visit London’s Classified Website: http://www.intelink.sgov.gov/wiki/Portal:Unit ed_Kingdom
SUSMAN