FSCS tells B&B customers 'your money is safe'

It says it is contributing £14bn, funded via a Bank of England loan, to enable retail deposits held in B&B and covered by the FSCS to be transferred to their new owner Abbey. The bank has been officially nationalised this morning after failing to meet its regulatory requirements and being declared in default by the FSA. The FSCS says it has been working closely with the tripartite authorities – HM Treasury, the Bank of England and the FSA - on the initiative to protect savings in the bank. As a result of the rescue deal, B&B’s retail customers will automatically become customers of Abbey....