By Marcus Leach
Mervyn King, the Bank of England governor, has said the current financial crisis could be the worst the UK has ever seen.
His comments come less than 24 hours after the Bank announced a second round of quantitive easing that saw £75 billion injected into the flagging economy.
Speaking on Sky News he said that the current situation is the worst the country has seen since the 1930s.
"This is the most serious financial crisis we've seen at least since the 1930s, if not ever," Sir Mervyn said.
"We're having to deal with very unusual circumstances and to act calmly and do the right thing. The right thing at present is to create some more money to inject into the economy."
The Bank has already injected £200 billion into the economy by buying assets such as government bonds, in an attempt to boost lending by commercial banks.
The Monetary Policy Committee have been split for several months on QE, but with several key performance indexes pointing to further trouble for the UK economy they finally opted to inject more cash into the economy this week.
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