FSCS reassures Northern Rock savers after Virgin takeover

The announcement yesterday led to speculation that the sale would affect future FSCS payouts to investors with savings in both organisations. But chief executive Mark Neale said the FSCS would treat the newly-branded Northern Rock branches as separate to Virgin. "Those people who have money with both Northern Rock and Virgin Money can be reassured that the two brands will operate under different banking licences," he said. Customers with savings in both would therefore be able to claim the current £85,000 cap for each account in future compensation payouts, he added. In cases wh...