Government unveils last resort bank bail-out

Its new Asset Protection Scheme will allow banks to exchange cash or shares for a Government guarantee on their "toxic" debts. Any losses they suffer will be transferred from the banks to the taxpayer with the scheme expected to operate for a least five years. "To increase confidence and capacity to lend, and in turn to support the recovery of the economy the Government is today announcing its intention to offer protection on those assets most affected by the current economic conditions," the Treasury statement said. The Chancellor could not estimate how much the bailout would cost, but...