Tyler puts our national risk level at 8 with an estimated total debt level of $9tn. This figure's worth looking at. I think it's too low.
There are still some £500 trillion of derivatives floating around the financial centres of the world, which I once, incorrectly, described as 'worthless'. They do in fact have some residual worth; if you collapse the pyramid right back to the starting point, the Bank has estimated that the UK's net holding of truly worthless derivatives is 'only' $10 trillion.
There are only three ways of dealing with worthless derivatives. You can pay them off, write them off or inflate them away. Since there is no money left to even pay off a fraction of the debt, and the scale of inflation required to deflate it is in Weimar proportions, it leaves only one option - write them off. The banks will all collapse, of course, but they're collapsing anyway as the markets refuse to continue the fiction of their solvency.
So it's time to abandon the banks, ensuring as a matter of national security that a robust retail banking system is in place - beyond the control of the banks.