The Pope and Greens can agree that banks have been bad for the common good. Photo: Getty
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The Pope of the poor and the Seven Deadly Sins of banking practice

Whether you choose the religious terminology of sin or the secular language of social harm, it is clear that banks have not been helping the poor but have focused on the wealthy few.

Pope Francis’ description of Europe as "somewhat elderly and haggard" was a gift to both UKIP and headline writers. But the Pontiff had much more to say. For example, he called for a Europe built, “not around the economy, but around the sacred nature of the human person.”

Unusually for a Pope, I didn’t once hear him mention the word sin. Equally surprisingly perhaps, this particular term of transgression was left to the Greens. That’s because on the day Pope Francis made his historic speech to the European Parliament the Greens launched an important website on the "Seven Deadly Sins of Banking". 

The Pope could no doubt write a full sermon on each of these deadly sins: addiction, megalomania, distortion, exploitation, greed, trickery and recklessness. Indeed, some of his wise pronouncements could even have been written with the banks in mind. Pope Francis has called for, “financial reform along ethical lines that would produce in its turn an economic reform to benefit everyone”, and has urged for a, “return to person-centered ethics in the world of finance and economics”.

So what might this financial reform look like? Last week, on the same day as the Pontiff spoke to the European Parliament in Strasbourg I also had a chance to address the whole Parliament. I used the opportunity to highlight the need for decisive structural reform of the banking industry.

I pointed out that the two most important causes of the financial crisis have still not been addressed. Firstly, the need for a clear-cut separation of retail from casino banking activities; secondly, the need to reduce the size of individual banks so that no single financial corporation can threaten the global financial system. Banks are still nowhere near the responsible corporations serving the real economy that we need them to be; they are still too big and too interconnected to fail.

Which brings us back to sin. Using the extensive information in the Green Group's "Seven Deadly Sins of Banking" website, we discover that UK banks are some of the greatest sinners. Or to put it another way, they rank particularly low in what we have termed a "Banking Social Harm Index".

UK banks present high levels of speculative activities; they receive high amounts of implicit subsidies and operate in a high number of offshore entities (tax havens). All of which demonstrates precisely the need for such structural reforms in the banking sector.

For each "Deadly Sin", our website offers atonement, or to put it another way, a solution. These include capping bankers’ salaries, penalising banks with operations in tax havens and limiting the percentage of bank assets financed by borrowing (imposing a leverage ratio). 

The Pope often reminds his audiences that he is a Pope for the poor; that he has a duty, “to remind the rich to help the poor, to respect them and to promote them”. Whether you choose the religious terminology of sin or the secular language of social harm it is clear to almost everyone that banks have not been helping the poor but have focused on the wealthy few.

The Pope believes that the ideologies of markets and financial speculation are denying States the ability to provide for the common good. The banking reforms that Greens are pressing for in Europe seek to ensure that finance, and therefore states, are able to work for exactly that: the common good.

Molly Scott Cato is Green MEP for the South West of England, elected in May 2014. She has published widely, particularly on issues related to green economics. Molly was formerly Professor of Strategy and Sustainability at the University of Roehampton

Molly Scott Cato is Green MEP for the southwest of England, elected in May 2014. She has published widely, particularly on issues related to green economics. Molly was formerly Professor of Strategy and Sustainability at the University of Roehampton.

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I am special and I am worthless: inside the mind of a narcissist

There's been a lot of discussion about narcissists this week. But what does the term actually mean?

Since the rise of Donald Trump, the term “narcissistic” has been cropping up with great regularity in certain sections of the media, including the pages of this journal. I wouldn’t want to comment about an individual I’ve never met, but I thought it would be interesting to look at the troubling psychological health problem of narcissistic personality disorder (NPD).

People with NPD (which is estimated to affect about 1 per cent of the population) have a characteristic set of personality traits. First, they have a deeply held sense of specialness and entitlement. Male NPD sufferers frequently present as highly egotistical, with an unshakeable sense of their superiority and importance; female sufferers commonly present as eternal victims on whom the world repeatedly inflicts terrible injustices. In both cases, the affected person believes he or she is deserving of privileged treatment, and expects it as a right from those around them.

Second, NPD sufferers have little or no capacity for empathy, and usually relate to other people as objects (as opposed to thinking, feeling beings) whose sole function is to meet the narcissist’s need for special treatment and admiration – known as “supply”. In order to recruit supply, NPD sufferers become highly skilled at manipulating people’s perceptions of them, acting out what is called a “false self” – the glittering high achiever, the indefatigable do-gooder, the pitiable victim.

The third characteristic is termed “splitting”, where the world is experienced in terms of two rigid categories – either Good or Bad – with no areas of grey. As long as others are meeting the narcissist’s need for supply, they are Good, and they find themselves idealised and showered with reciprocal positive affirmation – a process called “love-bombing”. However, if someone criticises or questions the narcissist’s false self, that person becomes Bad, and is subjected to implacable hostility.

It is not known for certain what triggers the disorder. There is likely to be a genetic component, but in many cases early life experiences are the primary cause. Narcissism is a natural phase of child development (as the parents of many teenagers will testify) and its persistence as adult NPD frequently reflects chronic trauma during childhood. Paradoxically for a condition that often manifests as apparent egotism, all NPD sufferers have virtually non-existent self-esteem. This may arise from ongoing emotional neglect on the part of parents or caregivers, or from sustained psychological or sexual abuse.

The common factor is a failure in the development of a healthy sense of self-worth. It is likely that narcissism becomes entrenched as a defence against the deep-seated shame associated with these experiences of being unworthy and valueless.

When surrounded by supply, the NPD sufferer can anaesthetise this horrible sense of shame with the waves of positive regard washing over them. Equally, when another person destabilises that supply (by criticising or questioning the narcissist’s false self) this is highly threatening, and the NPD sufferer will go to practically any lengths to prevent a destabiliser adversely influencing other people’s perceptions of the narcissist.

One of the many tragic aspects of NPD is the invariable lack of insight. A narcissist’s experience of the world is essentially: “I am special; some people love me for this, and are Good; some people hate me for it, and are Bad.” If people with NPD do present to health services, it is usually because of the negative impacts Bad people are having on their life, rather than because they are able to recognise that they have a psychological health problem.

Far more commonly, health professionals end up helping those who have had the misfortune to enter into a supply relationship with an NPD sufferer. Narcissism is one of the most frequent factors in intimate partner and child abuse, as well as workplace bullying. The narcissist depends on the positive affirmation of others to neutralise their own sense of unworthiness. They use others to shore themselves up, and lash out at those who threaten this precarious balance. And they leave a trail of damaged people in their wake. 

This article first appeared in the 16 February 2017 issue of the New Statesman, The New Times