Are we about to see a run on Irish banks?
As the banking situation in Ireland continues to worsen there are serious concerns of a significant shift of funds away from the country into "safer" banking systems. The nationalisation of the Anglo Irish bank, and the rumoured similar fate of other leading Irish banks, has impacted heavily upon confidence in the Irish banking system.
As if to make matters worse, the Financial Services Authority has today reminded UK investors that they will not be covered by the Financial Services Compensation scheme in the event that an Irish bank failed in a similar way to Icelandic operation Icesave. There are serious concerns that many UK investors in particular are looking to withdraw their funds from the Irish banking system which could exacerbate an already difficult situation.
How ironic that UK investors are looking to repatriate their money at a time when the UK economy and UK banking system is under serious pressure, although many believe the Irish situation is worse still. Only a matter of weeks ago the Irish government had received worldwide acclaim for its handling of the banking crisis although events in the last few days have undone much of the good work.
Share this..
Related stories
Plastic is King as cash loses its appeal
The Payments Council has issued a statement today suggesting that fewer than 50% of transactions in the UK will involve cash by the year 2015. While of the 37 billion transactions carried out last year around 59% were paid for in cash, this figure is set to fall to below 50% by 2015 and 45% by 2018. When you compare this with the 73% figure back in 2000 the fall in the popularity of cold hard cash...
Read MoreShould politicians control the economy?
As we approach the next general election there are serious concerns that the UK government, and other governments around the world, will use taxpayers funds to shore up the economy in the short to medium term and offer "incentives" to those who may vote for them. While it will be the Labour government which will attract his attention in the short term there is no doubt that each and every governme...
Read MoreDon't use your credit card for recurring payments!
While direct debits are an integral part of many people's financial lives, and can in some ways reduce expenditure by simply taking the exact money from your account on a regular basis, there are concerns that people believe their credit cards operate in a similar manner. An investigation by the Daily Mail has concluded that more and more people are using their credit cards to set-up what are know...
Read MoreWhy are UK taxpayers paying the price for green energy?
The announcement that the UK government is injecting around £100 billion into a future green energy policy for the UK would normally be greeted with joy. However, the announcement that UK consumers could see their energy bills rise by up to £249 a year by 2020, has taken much of the shine of what should have been a good day for the environment.
Even though many taxpayers across th...
Barratt Developments sees signs of a recovery in the property market
In line with yesterday's announcement from Persimmon, Barratt Developments has again reiterated the fact that there are signs of improvement in the UK property market with reservations per site up by over 30% compared to last year. Thankfully the company has managed to reduce its own debt load from £1.4 billion last year to £700 million this year due to the recent £720 million fundraising. It a...
Read More