Councils Iceland bank losses were reimbursed by the UK government and the UK government eventually by Iceland.

But how did that council come to have that much money stashed away in the first place? Why didn't they reduce council tax if they had a surplus of funds?

Why would they not? theres plenty of rather expensive things that can easily happen...bus crashes into a bridge now yes insurance will sort out out but in the time before so people can use the public highway!!

Every council keeps or tries to keep a slush fund so in case of emergency, what happens should a 9 year old girl need immediate safety and security.

Generally a troll doth being sensed and much amusement being sent that way.

Maybe they manage their employees pensions?

I'm not a troll.

Councils had over £1 billion in Icelandic banks. What catastrophe were they expecting? Would a local council have even been expected to deal with a disaster on that scale and not the national government? Could they have even accessed the money at short notice?

And every time those facts were explained, there was a chorus of "project fear" screamed by Brexit campaigners.

You can't assume the vast majority of people knew anything.

Enough people knew one thing, they wanted out of the EU. That's all that mattered. This country will succeed or fail on it's own merits from now on. Governments have nowhere to hide, no-one to blame.

Councils had to get the best returns on investment by law...so if some Icelandic bank would offer 5 or 10% then they would have to take it or get in serious trouble with the auditors.

Don't blame the councils but those who wrote the rules.

Exactly this. I have a friend who has been in local government for 20 years but her office got merged with a neighbouring council' s equivalent but also reduced and now three people do what was five people's jobs, covering a much bigger area and having to re-apply for those jobs or on a similar level more or less every year. Then there's the constant reorganisation as you say, nothing is stable. And the pension was originally set up to balance out the lower salaries on offer, which of course has been changed to their detriment.

The most recent Icelandic bank crash was not the first and neither was it a first for UK local authorities who had deposited money with them. The first one was in recent times and I have all the sympathy in the world for the public whose money was being foolishly invested and no sympathy for those who were making the investments; I'd have sacked the lot.

So why wasn't every local authority investing in Icelandic banks?

Although it didn't help UK-Iceland relations that the Brown government used anti-terrorism laws to freeze the assets of Icelandic banks

http://www.telegraph.co.uk/finance/n...don-Brown.html

First sentence, yes

The rest is total guff. We have always given judgement on government performance at general elections. Never has the UK population decided to keep an unpopular government and blamed the EU.

Excellent.

I think they already do