Reykjavik-on-Thames

The doom-laden comparison between London and the capital of Iceland.

The New York Times reported:

An island nation that bulked up on debt and lived beyond its means. A plunging currency. And a financial system edging toward nationalization. With the pound at a multidecade low and British banks requiring ever-larger injections of taxpayer cash, it is no wonder that observers have started to refer to London as “Reykjavik-on-Thames.” While that judgment seems exaggerated, there are uncomfortable parallels between Iceland’s recent financial downfall and Britain’s trajectory.

The Economist ran with the story – charting London’s evolution fromManhattan-on-Thames to Londonistan and Londongrad – and concluded:

“Reykjavik-on-Thames” exaggerates Britain’s predicament – probably. But it captures the way in which, at the moment, the country looks to some to be as much a victim of globalisation as its champion and beneficiary.