Lamport Bassitt Solicitors - Legal News - Banking mergers 'may have negative impact on consumers'


	LATEST LATEST LEGAL NEWS ARCHIVE		LATEST NEWS & EVENTS Banking mergers 'may have negative impact on consumers' Mergers occurring in the banking and building society sector may be having a negative impact on consumers, it has been suggested. Writing in the Daily Mail, Liz Phillips noted that over the last two years, more than 20 seperate organisations have joined together. This means people have to be "on their toes" if they want to make sure their money is safe, she claimed. She remarked: "Your savings are protected up to £50,000 under the Financial Services Compensation Scheme if your bank or building society goes bust." However, while some keep their individual compensation limit, others lose theirs in the wake of a merger, she pointed out. As an example, she noted that savers with Standard Life Bank - which is now owned by Barclays - lose their separate cover. This means the maximum amount guaranteed across both banks is £50,000. The wave of mergers began as a result of the credit crunch, as some firms struggled to stay afloat. Related Articles: 22/9/2011 - Manufacturers targeting strategic acquisitions to drive growth 21/9/2011 - Mergers and acquisitions rule changes take effect 14/9/2011 - Govt wants to make London a 'legal hub' for the world 12/9/2011 - ICB banking reforms: banks set to be given until 2019 to prepare 8/9/2011 - Banking reforms in danger of being 'watered down' More Corporate Law News