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The Sale Of Britain's Gold Reserves

Gordon Brown ordered during 1999 and 2002 the sale of about 400 tons of gold from England's gold reserves

. It was the worst timing ever to sell this precious metal as in that period the price was at a 20-year low. Since then the price of gold has almost quadrupled. The loss of the British people adds up to 7 billion pounds because of Mr. Brown's bad judgement call.

This move is seen as one of the worst financial mistakes made by the Treasury. The sale of the British gold reserves is going to be a major election issue and it will also bring into the spotlight Gordon Brown's decisions. After several years in which there were a series of requests regarding the freedom of information, the Treasury was finally ordered to release details on the subject by the end of April.

The British taxpayers have the right to know why 7 billion pounds form their money was lost say the politicians. Inspite of some misgivings at the Bank of England, Gordon Brown is said to have pushed ahead with the sale. Some people live with the belief that the senior Bank experts were not even consulted on the matter.

It took the Information Commissioner 4 years to order the Treasury to release information about this situation so criticism will also hit him. This happened despite the public and political interest in the matter. A series of deadlines for ordering the release of information were missed by the officials because of this delay. As a consequence of this, a proper analysis of the disclosures will not be possible now.


The public has been leaked information about secret meetings between the Treasury and the Commissioner and also about the fact that they intend to keep much of the paperwork a secret. The Information Commissioner officially declared that only some pieces of information are to be revealed to the public. In the case that the Treasury fails to release the information required by the end of April, it will face legal action and it will be held in contempt of court.

by: Kathryn Smith
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