Rate decrease and what this means

For those of you keeping up to date with matters, the Bank of England today announced a rate drop to 0.5%.  Well I am not convinced this is going to work as :

1. the credit crisis is due to banks freezing on lending and nothing to do with rates,
2. quantative easing is just going to allow the Government to borrow more and put us all further at risk,
3. the credit easing needed is about investor confidence and banks recognising if they don’t lend soon, no-one will do business with them other than to have checking accounts.

We need to create some new institutions with private money and help companies survive, as without the liquidity we will get to melt down sooner than we think.