Bank of England ‘should have shouted from the rooftops’ about the dangers it saw approaching, governor tells audience at BBC Today programme lecture Sir Mervyn King has admitted that the Bank of England should have “shouted from the rooftops” its concerns about the looming disaster in the City as he warned that Britain’s recovery from recession would be a long, slow process. The Bank’s governor urged the coalition government to press ahead with reforms that would ringfence the high-street operations of banks from their speculative activities, after blaming the last Labour government for allowing the financial sector to take ever bigger gambles in the build-up to the financial crisis of 2007-08. King said that the decision by Gordon Brown to strip Threadneedle Street of its powers to regulate banks had left him unable to do more than “issue reports and preach sermons” as the financial system became “increasingly fragile”. While accepting that “no one could quite bring themselves to believe that in our modern financial system the biggest banks in the world could fall over”, the governor said the Bank had been aware of the precarious position of institutions that were lending too much. “That isn’t to say we were blind to what was going on”, he said in the BBC Today Programme Lecture, adding that for several years the Bank of England and other central banks had warned that the financial markets were underestimating the risks they were taking.