My noble friend will know that I have tabled Questions raising that issue about two other banks. The reality is that in Iceland the bank was run by three people—the governor and two others—with a supervisory board, elected by the Members of Parliament, that clearly did not know what was...

My noble friend will know that I have tabled Questions raising that issue about two other banks. The reality is that in Iceland the bank was run by three people—the governor and two others—with a supervisory board, elected by the Members of Parliament, that clearly did not know what was...

A slightly misleading answer there from the Minister, who is new to his brief. The guidance under which local authorities place deposits is actually joint guidance from the Treasury and the Department for Communities and Local Government. I know that because my honourable friend Vince Cable and I got that...

A slightly misleading answer there from the Minister, who is new to his brief. The guidance under which local authorities place deposits is actually joint guidance from the Treasury and the Department for Communities and Local Government. I know that because my honourable friend Vince Cable and I got that...

I believe that that was precisely what drove the Chancellor of the Exchequer to write to the European Commission asking for a careful and considered review of the implications of the EEA passporting regulations in respect of regulatory oversight and the adequacy of compensation arrangements. I am not in a...

I believe that that was precisely what drove the Chancellor of the Exchequer to write to the European Commission asking for a careful and considered review of the implications of the EEA passporting regulations in respect of regulatory oversight and the adequacy of compensation arrangements. I am not in a...

I join other noble Lords in thanking the Minister for his explanations this afternoon. I draw attention to my interest as a director of a financial institution that holds significant policyholder funds invested in financial institutions, including Bradford & Bingley. I think we all recognise the difficult circumstances that arose...

I join other noble Lords in thanking the Minister for his explanations this afternoon. I draw attention to my interest as a director of a financial institution that holds significant policyholder funds invested in financial institutions, including Bradford & Bingley. I think we all recognise the difficult circumstances that arose...

The range of questions asked was considerable. If I fail to answer any, I will carefully examine Hansard and ensure that I provide full answers to Members of the Committee who raised them, with copies to all those who participated in the debate. I start with the comments from the...

The range of questions asked was considerable. If I fail to answer any, I will carefully examine Hansard and ensure that I provide full answers to Members of the Committee who raised them, with copies to all those who participated in the debate. I start with the comments from the...

If I used the word ““negotiation””, I apologise; I was referring more to communication and discussions. The FSA’s position—with which I have sympathy—is that, notwithstanding what might happen, it would prejudice its ability to have open and full communications with a regulated entity if that entity were to believe that...

If I used the word ““negotiation””, I apologise; I was referring more to communication and discussions. The FSA’s position—with which I have sympathy—is that, notwithstanding what might happen, it would prejudice its ability to have open and full communications with a regulated entity if that entity were to believe that...

I am sure the noble Lord, Lord Oakeshott, appreciates that the responsibility for regulatory oversight of the Icelandic banks lies with the home state authorities, and that is where the primary focus of questioning to understand the failure of these institutions must be.

I am sure the noble Lord, Lord Oakeshott, appreciates that the responsibility for regulatory oversight of the Icelandic banks lies with the home state authorities, and that is where the primary focus of questioning to understand the failure of these institutions must be.

I thank the Minister for introducing these three orders. My remarks will mostly concern the Bradford & Bingley order, but I will start with a few remarks on the Heritable and KSF orders. As the Minister has explained, those two orders set the compensation at zero; it would be difficult...

I thank the Minister for introducing these three orders. My remarks will mostly concern the Bradford & Bingley order, but I will start with a few remarks on the Heritable and KSF orders. As the Minister has explained, those two orders set the compensation at zero; it would be difficult...

That the Grand Committee do report to the House that it has considered the Kaupthing Singer & Friedlander Limited (Determination of Compensation) Order 2008. My Lords, today there are three instruments before the Committee: the draft compensation orders for Bradford & Bingley plc and the UK subsidiaries, Kaupthing Singer &...

That the Grand Committee do report to the House that it has considered the Kaupthing Singer & Friedlander Limited (Determination of Compensation) Order 2008. My Lords, today there are three instruments before the Committee: the draft compensation orders for Bradford & Bingley plc and the UK subsidiaries, Kaupthing Singer &...

I declare a non-interest in that my wife is Icelandic. I obviously have family in Iceland but neither I nor my wife has bank accounts in Iceland. I make that absolutely clear because I wish to refer to financial aspects of this issue. My noble friend will know that I...

I declare a non-interest in that my wife is Icelandic. I obviously have family in Iceland but neither I nor my wife has bank accounts in Iceland. I make that absolutely clear because I wish to refer to financial aspects of this issue. My noble friend will know that I...

I understand that a wide range of options was considered, but it was the determination of the FSA over that weekend that Bradford & Bingley no longer met its threshold conditions and therefore would not have been allowed to take deposits on the Monday. As I said in my opening...

I understand that a wide range of options was considered, but it was the determination of the FSA over that weekend that Bradford & Bingley no longer met its threshold conditions and therefore would not have been allowed to take deposits on the Monday. As I said in my opening...

Noble Lords have debated whether the Government were entitled to take Bradford & Bingley into public ownership by relying on Section 2(2)(a) of the Banking (Special Provisions) Act 2008. If they were not so entitled, we would not be considering this order. The test in the Act is, "““maintaining the...

Noble Lords have debated whether the Government were entitled to take Bradford & Bingley into public ownership by relying on Section 2(2)(a) of the Banking (Special Provisions) Act 2008. If they were not so entitled, we would not be considering this order. The test in the Act is, "““maintaining the...

If I heard my noble friend correctly, he said before that the FSA would not comment on negotiations that were going on during this period—so, from the beginning of the year. That must apply to banks that still trade, but surely if a bank comes to the end of its...

If I heard my noble friend correctly, he said before that the FSA would not comment on negotiations that were going on during this period—so, from the beginning of the year. That must apply to banks that still trade, but surely if a bank comes to the end of its...

That is a pretty ridiculous situation. Now that we know, many months on, that disaster has struck, are we seriously to say that we are not allowed to find out when what appears to have been grossly negligent regulator failure has happened? Do we have to ask through the Freedom...

That is a pretty ridiculous situation. Now that we know, many months on, that disaster has struck, are we seriously to say that we are not allowed to find out when what appears to have been grossly negligent regulator failure has happened? Do we have to ask through the Freedom...

I thank the Minister for introducing the order in what I think is his first outing in the Moses Room. As he can see, there can be quite a lot of detailed questions, even on what might appear to be a relatively straightforward order. I start by saying that we...

I thank the Minister for introducing the order in what I think is his first outing in the Moses Room. As he can see, there can be quite a lot of detailed questions, even on what might appear to be a relatively straightforward order. I start by saying that we...

I cannot sing along with that mobile phone, which is a great pity. Perhaps I could if I could get the tune. Lastly, will the Minister say what estimates have been made of the cost of the valuation process? Perhaps that should have been dealt with in the impact assessment...

I cannot sing along with that mobile phone, which is a great pity. Perhaps I could if I could get the tune. Lastly, will the Minister say what estimates have been made of the cost of the valuation process? Perhaps that should have been dealt with in the impact assessment...

I reinforce the question I asked. I understand that there were explorations within the private sector to find a solution; indeed, the solution that was found included a fairly large private sector option to transfer the deposits. But was a public sector solution considered? That is the burden of the...

I reinforce the question I asked. I understand that there were explorations within the private sector to find a solution; indeed, the solution that was found included a fairly large private sector option to transfer the deposits. But was a public sector solution considered? That is the burden of the...

That is a wholly unsatisfactory answer. These banks had operations in the UK and there are bodies in the UK, not least the Treasury, that have measures of responsibility for them. To say that questions have to be asked of the Icelandic authorities is simply unacceptable; we are talking about...

That is a wholly unsatisfactory answer. These banks had operations in the UK and there are bodies in the UK, not least the Treasury, that have measures of responsibility for them. To say that questions have to be asked of the Icelandic authorities is simply unacceptable; we are talking about...

I no doubt stand corrected by the noble Lord. I well remember listening to his interview with a member of the local government community on the ““Today”” programme, an interview in which the noble Lord came out the clear winner. I turn to the points raised by the noble Lord,...

I no doubt stand corrected by the noble Lord. I well remember listening to his interview with a member of the local government community on the ““Today”” programme, an interview in which the noble Lord came out the clear winner. I turn to the points raised by the noble Lord,...

Draft Kaupthing Singer & Friedlander Limited (Determination of Compensation) Order 2008. Lords debate on a motion to consider. Agreed to on question. Debated with draft Heritable Bank plc (Determination of Compensation) Order 2008 and draft Bradford and Bingley plc Compensation Scheme Order 2008. Grand Committee held in the Moses Room.

Draft Kaupthing Singer & Friedlander Limited (Determination of Compensation) Order 2008. Lords debate on a motion to consider. Agreed to on question. Debated with draft Heritable Bank plc (Determination of Compensation) Order 2008 and draft Bradford and Bingley plc Compensation Scheme Order 2008. Grand Committee held in the Moses Room.