The passage today of legislation by the House of Representatives to roll back key financial reforms put in place in the wake of the 2008 financial crisis will once again put our nation’s financial system, economy, and taxpayers at significant risk. Today’s action, coupled with Trump’s embrace of financial deregulation and his appointment of regulators committed to the deregulatory agenda, will open the door to reckless risk taking on Wall Street to the detriment of families, businesses, and communities across the country.
It is particularly shameful that the House would pass this legislation on the 10th anniversary of the financial crisis that cost millions of Americans their jobs and their homes and wiped away trillions of dollars in household wealth, with all too many families and regions still struggling today from the fall-out of the crisis. Without any compelling public policy rationale – other than the deceptive guise of aiding regional and community banks – this legislation will put us on the road to re-creating the conditions of Wall Street excess and regulatory neglect that the Financial Crisis Inquiry Commission concluded led to the 2008 crisis.
Sadly, it appears that the more than $3 billion in campaign spending and lobbying by the financial industry since 2008 has paid off handsomely for the recidivist banks, at great cost to our nation. With Trump’s appointments in place and financial deregulation underway, the only missing ingredient for another crisis is Wall Street excess – as sure to come as the sun is to rise.
Phil Angelides 