Anglo Irish Guarantee

dodgemotor

As Anglo Irish is guaranteed by the Irish and they did not pay up if they went bust would they come under the UK up to £50000

KingL

No, but many think that the UK government might choose to step in.

But you can't rely on that happening.

eeja

dodgemotor wrote: »

As Anglo Irish is guaranteed by the Irish and they did not pay up if they went bust would they come under the UK up to £50000

and what if the UK also went bust ?

cos69

The UK government choose not to bail out those with accounts in Jersey, IoM etc which have much closer links tot he UK than Ireland.

I am afraid it looks like Ireland would have to take the begging bowl to the ECB and I suspect not much luck there

gunnaknow

Wouldn't Ireland nationalise it, as a last resort?

eeja

gunnaknow wrote: »

Wouldn't Ireland nationalise it, as a last resort?

Of course they would but Anglo is not the problem today...Bank of Ireland is.
Their shares have been trading at an all time low today.

But please dont gloat...UK banks today have been hardest hit with RBS down 14% today to hit an all time low, Barclays at an all time low and Lloyds approaching an all time low !!

opinions4u

Nationalisation is all well and good if a nation can afford it.

That said, imagine a situation that almost happened when Ireland announced its 100% guarantee.

It sucks in huge sums from the UK and elsewhere.

Its banks collapse.

No way could a nation that small afford to fulfil its guarantee. As the Icelandics have discovered.

I'd rather have appropriate government action with no guarantee, than a guarantee that is not sustainable at any level.

eeja

opinions4u wrote: »

Nationalisation is all well and good if a nation can afford it.

That said, imagine a situation that almost happened when Ireland announced its 100% guarantee.

It sucks in huge sums from the UK and elsewhere.

Its banks collapse.

No way could a nation that small afford to fulfil its guarantee. As the Icelandics have discovered.

I'd rather have appropriate government action with no guarantee, than a guarantee that is not sustainable at any level.

You seem to have enormous over confidence in the UK !!
What has the UK got in reserves ? Gordon Brown practically gave away our gold reserves ( let them go at around $250 an ounce...current price $750) and the currency reserves the Treasury holds are a piddling $50 Billion !!
....less than half those of Thailand a developing country. Come off it....what can we offer to a creditor as security ...the Crown Jewels ? !!!

opinions4u

eeja wrote: »

You seem to have enormous over confidence in the UK !!
What has the UK got in reserves ? Gordon Brown practically gave away our gold reserves ( let them go at around $250 an ounce...current price $750) and the currency reserves the Treasury holds are a piddling $50 Billion !!
....less than half those of Thailand a developing country. Come off it....what can we offer to a creditor as security ...the Crown Jewels ? !!!

You may note that I didn't actually state that the UK government had taken appropriate action - quite deliberately!

evenasus

dodgemotor wrote: »

As Anglo Irish is guaranteed by the Irish and they did not pay up if they went bust would they come under the UK up to £50000

KingL wrote: »

No, but many think that the UK government might choose to step in.

I would hope not!

Anyone putting money in Ireland, after the Icesave fiasco, certainly should not be rescued by the British tax payer if things went wrong.

opinions4u

evenasus wrote: »

Anyone putting money in Ireland, after the Icesave fiasco, certainly should not be rescued by the British tax payer if things went wrong.

But if you invest your savings with an Irish organisation (e.g. the providers of accounts via the Post Office) who are registered under the FSCS, you will be covered in the UK!