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PPI Claim News - 31/12/2009

 
Bank Claim: Icesave compensation agreed

An agreement has been reached after talks concerning online bank Icesave, which folded in 2008.

Thousands of UK citizens had internet accounts with the bank, which was owned by Icelandic firm Landsbanki but both had to be taken over by the island nation's government in 2008 following the global financial crisis.

The deal will mean that British savers and the British government, which partially refunded the bank's customers in 2008, will receive compensation.

It has received approval by Iceland's parliament despite considerable opposition, with a poll in August registering that 70 per cent of the country's population were against the agreement, according to the BBC.

The collapse of Landsbanki affected 320,000 people in the UK and prompted a diplomatic spat between the Icelandic and British governments after the bank's UK assets were frozen.

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