WRXWagon.

... that if HBOS goes down (or another big UK Bank) there is not enough money to underwrite £35,000 per account!

Leslie

All those chickens are arriving at the roost!

Les

classic Subaru Si

Basically your covered with savings up to 35 big ones - the way of getting around this is by spreading your savings around other banks, so that you don't have more than 35k sitting in one account! I fecking wish!!!

WRXWagon.

My point being that, Yes - we 'should' be covered ..... but there isn't enough money in the kitty to honour that guarantee, apparently.

WRXWagon.

They are worldwide chickens Les ........ too much borrowing at cheap rates for too long to people who should never have had 50" Plasma TVs, BMW X5's, Holidays in amazing places and 6 bedroomed 5 bathroom houses!

SJ_Skyline

Maintining the current value of the pound then you may be right.

The easy way around it though is to devalue the pound, probably by increasing the money supply thus increasing inflation. It means that yes, the £35k is underwritten but it's no longer worth £35k. I'm sure one of the financial chaps here can articulate this better.

Coffin Dodger

Whilst that is true it's pretty unlikely. If it were to happen then the government would end up having to bail everyone out. OK for them though as they can just print some more cash