UK Govt to ensure savers get money back

StrawberryJam_2

Everyone is greedy, but some are more greedier than others.

My gut feeling told me not to move my money to Iceland. Feel sorry for those with cash out there, fingers crossed you dont need immediate access to this soon..

sss555s

Eezageeza wrote: »

Yes. The issues I have had with people on this board (not just this thread) is that:

1. People who put money in Icesave were somehow greedy and/or stupid/reckless.
2. The UK government/tax payers' money should not cover those depositors (notwithstanding that it should not be taken for granted).

1. No one but you said that

2. The rules were already in place

Eezageeza

TuftyMatt wrote: »

You do not say if you have over the protected limit or not but if so ask yourself one question. Did you honestly know your money was not covered or did you just take a chance? If you took a chance then like with everything else in life one day your luck will run out.

I know you're not talking to me here, but for the record, I didn't have more than the £35k in Icesave (far from it!).

sss555s wrote: »

1. No one but you said that

Certainly not true. I may have paraphrased, but there are many examples in this forum that suggest this.

Some examples close to home:

sss555s wrote: »

"Cant any of you super smart investors who chased that extra half a percent thinking you were so smart and ahead of the game...."

Nick_C wrote: »

"I think its time the tax payer stopped picking up the bill for people's reckless behaviour."

Look around the forum, you'll find other examples too.

sss555s wrote: »

2. The rules were already in place

Quite right, and they haven't been followed or enforced. Do we need to go over this ground again?

chris_yo

sss555s wrote: »

If you choose to invest out side the UK then why should the UK tax payer bail you out?

Because the actual company which runs the icesave savings scheme is "Landsbanki Islands hf", registered at Companies House with number FC026112, and authorised and regulated by the FSA to operate as a bank within the UK. This isn't like going on holiday to Switzerland and opening a bank account with some bank that has no connection to the UK - obviously you wouldn't expect the UK government to cover savings in that case. But when a company is given a banking license by the government to operate within the UK, then the government should ensure that an adequate compensation scheme is in place for customers of that bank if it fails. The regulators have clearly not done that, and so the government should be held liable for its failure.

Neillgb

My , admittedly simplistic, way of looking at this is that this thread has two selfish groups,

1, Those with savings in this bank that want UK taxpayers to bail them out and have, seemingly, got their way.

2, Those without savings in this bank that resent paying for those in group 1 whom, obviously, made a unwise investment decision.

I am in group 2 and therefore unhappy.

I very much doubt if any significant money will be recovered from Iceland because they too are selfish and will look after their own citizens.

However, I live in hope, perhaps Darling will increase tax on savings over £50K ,I doubt too many savers that fall into this bracket will be able to find a safer haven for their money than the UK....

I mean he is going to have to find huge sums to fund his various bail outs isn't he?

Eezageeza

Neillgb wrote: »

My , admittedly simplistic, way of looking at this is that this thread has two selfish groups

lol - you're probably right!

I'm just relieved. I tell you one thing though, I won't ever complain about my tax money paying for services I don't use/healthcare for people who could avoid it etc. I'm lucky to have benefited from the system, but I will be very careful what I do next time.

altocumulus

Neillgb wrote: »

My , admittedly simplistic, way of looking at this is that this thread has two selfish groups,

1, Those with savings in this bank that want UK taxpayers to bail them out and have, seemingly, got their way.

2, Those without savings in this bank that resent paying for those in group 1 whom, obviously, made a unwise investment decision.

I am in group 2 and therefore unhappy.

I very much doubt if any significant money will be recovered from Iceland because they too are selfish and will look after their own citizens.

However, I live in hope, perhaps Darling will increase tax on savings over £50K ,I doubt too many savers that fall into this bracket will be able to find a safer haven for their money than the UK....

I mean he is going to have to find huge sums to fund his various bail outs isn't he?

I've got savings in Icesave and I would rather Iceland honours their legal obligation to compensate. So that must put me in group 3, of your list .......

sss555s

Neillgb wrote: »

My , admittedly simplistic, way of looking at this is that this thread has two selfish groups,

1, Those with savings in this bank that want UK taxpayers to bail them out and have, seemingly, got their way.

2, Those without savings in this bank that resent paying for those in group 1 whom, obviously, made a unwise investment decision.

I am in group 2 and therefore unhappy.

I very much doubt if any significant money will be recovered from Iceland because they too are selfish and will look after their own citizens.

However, I live in hope, perhaps Darling will increase tax on savings over £50K ,I doubt too many savers that fall into this bracket will be able to find a safer haven for their money than the UK....

I mean he is going to have to find huge sums to fund his various bail outs isn't he?

Good post and my original rant was just to show there was two sides to this.

Looks like the government are gonna raise the required cash by lowering the interest rates now but i guess their hands were tied.

The debt deficit grows by the minute with this lot :rolleyes:

kamizuri

Seems odd when people in group 2 say they resent "paying for" those in group 1, as if we ever really have a choice where our tax money goes. The average British household pays more than £630000 in taxes over a lifetime, and what you lose on the swings you gain on the roundabouts.

I'm a tax payer and don't have an icesave account, but I certainly don't resent seeing our government helping other households who've been stitched up by the iceland government's approach to shoring up their financial system - it's an unusual situation and noone expected it to go this badly wrong; the idea that banks this large would be failing left right and centre seemed alien to me only a few months ago.

I think this is exactly the sort of thing our government is supposed to help out with and I'm glad to see they're looking after their own

Jocten

altocumulus wrote: »

I've got savings in Icesave and I would rather Iceland honours their legal obligation to compensate. So that must put me in group 3, of your list .......

Hear hear. Stick me in group 3 also.

Jocten.