Martin Lewis has issued a warning to Metro Bank account holders over savings protection. ITV This Morning and Good Morning Britain Mr Lewis has spoken out amid the trouble at Metro Bank, and told UK account holders that their money is protected up to £85k should a bank fall into trouble.
Taking to Twitter, now X, Mr Lewis warned: “A number of questions coming in about savings protection on the back of news of poor financial results at Metro bank. While I need to stress this DOESN’T mean afaik [as far as I know] anyone’s money is currently at risk, it’s always good to know the score, in the unlikely event the worse happened.
” In a UK regulated institution, for consumers, the first £85,000 you have per PERSON saved is guaranteed by the FSCS. So if you’ve less than that there’s nothing at risk (money from a life event eg house sale has up to £1m protected for six months) It is worth saying that even in the crash of 2007, this was rarely brought into play for savings, instead the govt simply forcibly ported collapsing banks’ savings books (ie all their savings) to larger safer banks so all money was protected and no one lost owt.
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“There’s no guarantee of that, but it is probably the most likely attempted rescue scenario if any bank did go under.” Nick replied: “Is that multiples of £85k spread over different banks or the FSCS only cover £85k in total?” Jac asked: “What about business accounts? Is there any protection?”
“”No one lost “owt”are you from Yorkshire lad… just seen what you said on BBC news , be nice to have more than £85k in savings,” said another. Mr Lewis’ warning came after shares in high street lender Metro Bank plunged to new lows as it revealed it is mulling over fundraising or selling off assets in a bid to shore up cash.
The bank is reportedly looking to raise around £600 million in capital to help it refinance debts. Metro Bank’s chairman Robert Sharpe met with City regulators on Thursday.
