Hmmm. I wonder what the % increase in foreign deposits in Irish Banks was post the Government's '100%' announcement. I also wonder if the Icesave scenario will influence UK investors to pull money back from 'foreign' banks and into UK based banks. And finally, I wonder if the Irish Government anticipated this - or perhaps that would be too machievellian of them.

Yes. The UK Government has not guaranteed 100% of UK savers balances which is a key difference to the Irish Government. Also our population is much greater so the Govt - if things got really bad - could up taxes to raise the money to meet depositors needs. If we take Iceland as an example the population is 300,000 so their ability to raise capital is going to be limited. I am sure the Irish economy is basically sound but I for one wouldn't put all my money in an Irish bank. If lots of UK savers start putting their money in Irish banks I am worried about the exposure this creates.

Is your concern about the Irish Government's guarantee that the country's GDP might be mismatched with bank deposits? If so, could the same concern be raised about the UK?

Be careful. I am not wholly convinced about the 100% guarantee made by the Irish Government. I'd stick with spreading it across big UK banks and building societies!

The £50k protection is per one individual account held with institutions that hold independent licences, you are advised to seperate the amount so that £50k maximum is never exceeded with any one single organisation. Below is a list of who is owned by who to assist.

As an emergency measure bang the excess into a Post office savings account to give you time to finally find a secure home for your savings.(licensed by Bank of Ireland)

Savers with a Post Office account now have a guarantee that they will get 100 per cent of their money back if the bank behind the savings plans goes bust.

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

I have recently retired and have just had my lump sum transfered to my bank. I have been trying to disperse it so that I am covered if the bank goes up but am having difficulty because any of the investment banks have to go through the money laundering regulations to set up the accounts. Meanwhile I am scared stiff in the meantime that I will run out of time.

Does the £50,000 cover all bank accounts or just the savings in accounts. In other words if I have more in my current account and the banks falls am I liable to lose the rest above £50,000.

tingtong