Laiki Bank

Banks should be forced to warn people when their savings go above the amount that would be protected if their provider went bust, a survey of MPs and consumers has found.

Around 15,000 savers with the UK arm of stricken Cypriot bank Laiki will have their deposits protected under British rules and will escape the Cyprus banking levy, it was announced today.

Savers can earn over ten times the current Base Rate but huge numbers are still stuck in decrepit accounts paying paltry returns. In some cases, savers are earning no interest whatsoever.