Safe banking for funds in excess of £50,000

yeribe

I am looking to startup a small business in the New Year and would appreciate some advice with regards to the bank/government guarantee of £50,000.

1. If you are banking both personal and business with the same bank does the £50,000 guarantee work on each account ie. a total of £100,000, or would the £50,000 cover both accounts?

2. If the guarantee is £50,000 per bank regardless of the number/type of accounts held, does another bank in the same group count as being in the same bank. ie, Halifax and Bank of Scotland?

3. Does anybody know or have a list of all of the banking groups and their subsidiary banks?

Thanks for any help offered.

Lokolo

1) If its a business account then it will be in a business name and therefore a different entity. I think. The rules do say per person though...

2) Yes it does

3) Yes there is http://www.moneysavingexpert.com/savings/safe-savings#whatcounts

Liz_the_Whizz

hi yeribe,

For what counts as one banking institution, check out the MSE guide:

http://www.moneysavingexpert.com/savings/safe-savings#whatcounts

Good luck with the business!

ManAtHome

Unless you are a sole trader:

For a sole trader account, the sole trader could claim up to £50,000 in total, but can only claim for either personal or business accounts with each institution - they cannot claim for both.

More details here http://news.bbc.co.uk/1/hi/7482914.stm

yeribe

Thanks for that manathome.