London’s Plan B: Schacht on Steroids

London is frenetically putting options in place—its Plan B—should the U.S. spin totally out of their control. This centers around the drastic militarization of the entire trans-Atlantic economic system to gear up for war against Russia and China. Above German Panzergrenadiers during an exercise ©Bundeswehr/S. Wilke

June 26, 2026 (EIRNS)—“Everything is up for grabs—and wildly uncertain” in the U.S. political landscape, the Washington insider news outlet Axios warned June 25, with undisguised alarm. The story, headlined “America’s Great Political Implosion,” pointed to the explosive problems the Establishment faces: “both parties are equally despised by the electorate;” “a generational collapse in support for Israel is remaking both parties;” and “the populist forces Trump awakened are devouring the establishment, inflamed by a cross-partisan blend of endless war, soaring prices and elite impunity.”

The picture Axios paints is accurate as far as it goes. “Up for grabs” means just that: everything is up for grabs, depending on the policy alternatives offered to the American people, and the decisions we make on this 250th anniversary of the Declaration of Independence, in a world careening towards a full economic depression and possible nuclear war.

London, which is the command center of the bankrupt trans-Atlantic financial system, is frenetically putting options in place—its Plan B—should the U.S. spin totally out of their control. This centers around the drastic militarization of the entire trans-Atlantic economic system to gear up for war against Russia and China. To finance that military build-up, and at the same time keep their $2.4 quadrillion speculative financial bubble afloat, Canadian Prime Minister Mark Carney announced the prompt creation of a new multilateral bank, designed by Atlantic Council specialists and headquartered in the British Commonwealth’s Canada, to issue about $1 trillion per year in financing—for war!

Carney calls it the Defense, Security and Resilience Bank (DSRB); but a more honest name would be the International Destruction Bank.

Schiller Institute founder Helga Zepp-LaRouche explained what this means to the 160th weekly International Peace Coalition meeting on June 26: “That is exactly what (Hitler’s central bank head) Hjalmar Schacht did with the MEFO bills. You create money out of thin air to finance a war machine, but then as these monies become due, the pressure to actually resolve it with war increases, and it becomes a self-fulfilling prophecy.”

Zepp-LaRouche added that the $1 trillion per year “will trigger hyperinflation, and it will be the death blow to the financial system, because this goes not into the real economy; this goes into the destruction of real assets, because military production is not part of the real productive economy,” but pure waste.

NATO Secretary General Mark Rutte is totally with the program. “We are in the early stages of a defense industrial revolution,” he exclaimed before an Atlantic Council audience on June 25. President Donald Trump also got the memo, boasting to reporters at the White House on June 23 that he was pushing American auto makers to convert to arms production. “We’re going to build weapons…. We’re really in a big, strong economic push to do the weapons and some of the car companies… they’re making a deal to build missiles.”

But what if that $1 trillion per year were channeled not into destruction, but into development? What if the U.S. were to join the nations of the Global South in investing in great infrastructure projects, which North and South alike need? What if we were to work with China on the task of eliminating poverty globally? What if we were to take up Pope Leo XIV’s challenge to solve the migration problem by providing productive jobs and a dignified standard of living to people in their home countries?

What if, instead of Carney’s International Destruction Bank, we were to follow through on Lyndon LaRouche’s proposal to create an International Development Bank, to issue, not one, but tens of trillions of dollars of directed credit every year for productive economic activity?

The City of London and Wall Street would yell and scream, but what of it? We didn’t ask George III for permission to declare our independence in 1776, did we?