Dairy farmers and shoppers ‘ripped off’ by bankers
More grist to the mill for those longstanding bodies that speak up for rural communities. This article tells us:
Dairy farmers and shoppers are being ripped off by bankers who are rigging the money markets, the National Farmers Union has warned.
Farmers claim that the manipulation of foreign exchange rates has hit the subsidy they receive from the European Union, threatening their livelihoods.
They warned that the banks are “stealing money that’s essential to keeping food on the shelves of supermarkets across the UK”.
Last year banks were issued with billions in fines for failing to stop traders repeatedly rigging the currency markets for a decade and a half at the expense of their customers.
The victims of the currency manipulation include farmers, who lost millions during the scandal. Each year, a bank wins the mandate to convert about £2.6billion of worth subsidies into sterling.
According to Bloomberg, one British bank allegedly made a significant profit by selling euros with the goal of moving the exchange rate lower so when it fixed they could buy them back for less.The move cost British farmers a potential £16million in a single year.