The co-op is in a huge mess, rumours of losses of billions and the Myners report makes for grim reading. Its easy to say the were successful in the past but they’ve lost the plot the last few years with huge take overs of competitors yet without investing in IT or understanding what they should focus on. The bank is no longer co-op owned due to its huge losses resulting in it needing to be sold to prevent it bringing down the rest of the group, although they do own a large portion of the shares.

What co-op group looks like in a couple of years if it even does is anyone’s guess, but to survive it will need to be streamlined and have more suitable corporate structure.

without investing in IT

They were supposed to be getting a new IT system as part of the Lloyd’s buy, which they then didn’t have enough cash for as a result of the Britannia bail-out.

I don’t think the Co-op itself is in real danger; the problem is the bank (which annoyingly I moved my custom to just before the Crystal Methodist revelations came to light). As I understand it, the rest of the group is OK.

I worked for them for a very long time, Insurance and Bank.
Union rep too.

They abandoned their genuinely ethical and co-operative policies round about the time they started banging on about them relentlessly in the media.

The old school bosses, who treated their staff in a remarkably decent manner and ran the business for the benefit of their members were ousted in favour of a bunch of shysters.

And so the rot set in.

I could go on, but I get very, very angry about the way the co-operative movement was systematically undermined by those who swore to protect it.

Bastards.

I think the co-op will survive but they are going to have to sell parts of the group to cover the loses they are expected to announce shortly. The Myners report talks of problems with sale and lease back deals and large amounts of debt they are struggling to service. It’s interesting to compare co-op and John Lewis and a stripped down co-op could still be successful but it will be painful to get there for everyone involved.

1.25% versus inflation of 1.9% – so a negative real return to compensate you for giving your hard earned cash to a bunch of jokers. Our financial system is just great isn’t it…….

There’s no compulsion to save with them, most of my cash savings are getting 5% right now (bonds).

you are of course right I should buy a motorbike.
Seriosly though given I need instant access for an unspecified length of time but under 6 months the choices are all shite.

You are correct AA. Welcome to the world of financial repression as the governments atone for the past by secretly stealing our money in the future.

I’ve been with the coop for nigh on 35 year, if anybody is interested in ‘saving’ it then sign up here: http://saveourbank.coop/