The chancellor is to overhaul the insolvency regime for banks, in moves
designed to head off another Northern Rock-style banking crisis.
Alistair Darling revealed the moves in an
with the Financial Times today.
The changes will see a series of ‘triggers’ put in place, including a request
to the Bank of England for an emergency loan, allowing the FSA to step in.
Deposits would then be secured and repaid quickly or be parcelled off to
Northern Rock’s problems were not related to its solvency but to a lack of
liquidity, and the chancellor also wants to beef up the FSA’s powers to find out
more information about banks’ liquidity positions.
Darling will introduce legislation in May and a consultation within the next
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies
Smith & Williamson has been appointed administrators of charity 4Children