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How to save safely with UK banks and building societies

25 September 2008

Following the problems with HBOS, and the proposed takeover by Lloyds TSB and Northern Rock's nationalisation last year, savers are worried about how much of their savings are covered by the Financial Services Compensation Scheme.

On July 1 2008, fast-track payouts were proposed by Chancellor Alistair Darling to help repair consumer confidence. He proposed that savers who lose money when a bank goes under will be given compensation within a week.

He also aims to raise the amount of money protected from the current £35,000 to a new ceiling of £50,000.

However, as it stands these plans have not been finalised and the compensation limit is currently £35,000 per separately authorised institution.

Below is a link to the web's most comprehensive guide to savings compensation. The name of the bank is listed next to its licence. If the ownership of the bank is different to the licence-holder, this is noted in brackets. But the licence-holder is the most important information

http://www.thisismoney.co.uk/saving-and-banking/article.html?in_article_id=440726&in_page_id=7