UK banking customers had their deposit guarantees raised to £50,000 (€63,804) from £35,000 (€44,663) today by Britain's financial regulator.
The British Financial Services Authority (FSA) said it will consult with banks and consumer groups on further changes, including another increase in the compensation limit, the regulator said in a statement.
"In the interests of providing clarity over the minimum level for the long term we have now decided to implement the move to a £50,000 limit,'' FSA chief executive officer Hector Sants said. UK consumers are increasingly worried about the safety of their savings.
Northern Rock, which the UK government nationalized in February and has complete deposit protection, said yesterday that it had started to turn away a surge of new customers.
Bloomberg