Our economic system is working against us, not for us. There is never enough money to pay for essential public services so, incredibly, the government borrows money from the banks by selling them Treasury Bonds. The banks simply create the new money to buy the Bonds by entering figures in an account. They are creating the money which the economy needs to function. The debts which such a crazy system imposes on the economy bring instability, leading to recessions with bankcruptcies and unemployment, or inflation with high interest rates which cause immense suffering.

THE GOVERNMENT SHOULD CREATE ITS OWN CREDIT.

If the banks can do this and make fabulous profits by charging interest then the government can also create what money it needs for public services such as the NHS, education, police, law and order, and so on. This money would not be a debt but money for these services to spend. It would not add to the national debt as borrowing from banks does. Government-created spending money would take a huge burden off the backs of taxpayers.

WOULD GOVERNMENT-CREATED MONEY BE INFLATIONARY?

Some so-called experts, economists and politicians, have said that it is inflationary for the government to create money They don't say that about the money the banks create. They then take the credit for having curbed inflation by interest rate increases - which causes hardship to millions of people However, the experts are wrong in saying that government-created credit is inflationary. It will be less so than bank-created credit because it does not make demands on the economy for interest, as bank-created money does. In any case, if the government controlled the total amount of bank credit and reduced it by the same amount that the government creates, there would be no inflation.

Increasing interest rates is a brutal way to curb inflation. Too many people go bankrupt and lose their homes and their businesses. Those with money saved or lent at interest increase their incomes. It is far better to curb bank lending by increasing the fractional reserve ratio of deposits to lending or reintroduce a statutory reserve deposit by which the banks have to lodge funds with the Bank of England, thus decreasing their lending, in order to stop inflation.

Increasing interest rates makes a financial elite richer at our expense, in a debt-based economy where there is a shortage of money and a massive surfeit of debt. The only way to survive becomes, increasingly, to borrow. This and this alone is the hidden reason for our economic decline.

Happily, there is a solution to all this: restore to our government its ancient constitutional right to issue our currency and demand that it spend the money into existence, never lend it. The Government already has that right but does not use it except to issue cash (notes and coins). We think it must. The current system is not ordained by God, it is the creation of men with profit for themselves in mind. The governement can change it to something that works better for us all.

Making available real credit money instead of debt disguised as money will drastically lower taxation and mean cheaper goods and thriving public services. In fact it will change our lives beyond all recognition. It is time the people of Britain demanded a fair and honest deal, and the right to flourish and prosper without the burden of a debt-based currency.

Exposure is the one thing the bankers fear, so add your voice to ours: make ten or more copies of this page and distribute it to your friends.

Further information at www.prosperityuk.com