Government statement on financial support

The Treasury statement in full: After consultation with the Bank of England and the Financial Services Authority, the Government announces that it is bringing forward specific and comprehensive measures to ensure the stability of the financial system and to protect ordinary savers, depositors, businesses and borrowers. In summary the proposals announced today are intended to: Provide sufficient liquidity in the short term; Make available new capital to UK banks and building societies to strengthen their resources permitting them to restructure their finances, while maintaining their support for the real economy; and Ensure that the banking system has the funds necessary to maintain lending in the medium term. In these extraordinary market conditions, the Bank of England will take all actions necessary to ensure that the... [read full story]