Britain's deposit protection scheme currently holds funds of just £4.4m, it emerged yesterday as banks warned that consumers face sharp price rises to pay for the Chancellor's plans to offer a £100,000 guarantee, reports The Independent.
The Financial Services Compensation Scheme took control of a £9m fund from its predecessor scheme but that has been gradually whittled down through payouts to depositers with collapsed credit unions. The scheme's meagre resources are in stark contrast to America's Federal Deposit Insurance Corporation which has a $49bn (£24bn) fund and the power to take control of the deposits of failing banks. BP’S NEW CHIEF EXECUTIVE, Tony Hayward, has signalled to staff that he is preparing for a major internal shake-up of the business, to be announced next month, and gave warning that the oil giant’s ...
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