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Silicon Valley Bank: Is the UK right to bail out tech firms? | CPT PPP Coverage

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Silicon Valley Bank: Is the UK right to bail out tech firms? appeared on www.bbc.com by BBC News.

Who are those customers? There are two types in the UK – start-up tech companies, and their funders in venture capital and private equity. The government thinks there is a serious risk to the tech sector. Others, such as former top Treasury boss Nick Macpherson fear that offering help beyond the normal £85,000 deposit protection limit could create serious “moral hazard”, in other words reward risky behaviour.

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