Saw a (FB) posting where Australians are expressing concerns about a recent legislation (Banking Amendment (Deposits) Bill 2020) that has them aligning with other G20's where bank deposit protections DON'T apply if the bank is 'bailed-in' and where depositors could lose their deposits under such conditions. i.e. the £85,000 protection amount only applies if the bank fails and its ruled that deposits aren't going to be utilised to bail-out the bank (which in the UK's case applies under a EU legislation).
In short, is the £85,000 depositor protection now subjective to the whim of whether its deemed appropriate for the taxpayer or depositors to bail out the bank?
Depositor protection
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- Lemon Quarter
- Posts: 4130
- Joined: November 4th, 2016, 10:15 am
Re: Depositor protection
No, deposits up to £85,000 are 'protected deposits' not subject to the bail in provisions
https://www.gov.uk/government/consultat ... ce%20sheet.
https://www.gov.uk/government/consultat ... ce%20sheet.