By all accounts, the British authorities were taken aback by the failure of UK equities to rally on the back of their £400bn (€505.9bn) initiative to bail out the banks. Fear was still haunting the market today. If things get any worse, the question of the UK joining the euro could re-emerge.

Investors are aware that, on its own, the bailout risks throwing good money after bad, even though its promise to provide £100bn in short-term loans; £250bn in loan guarantees and £50bn in capital to weaker banks is reassuring. Crucially, it demonstrates that the UK government, not before time, means business.