Manx savings protection reviewed

Isle of Man savers are currently protected up to �15,000

The Isle of Man government is reviewing its level of protection for savings as the global financial crisis takes hold.

The depositors' compensation scheme (DCS) pays out up to 75% of deposits, up to a maximum of �15,000, in the event of a bank's collapse.

UK savers will soon be protected up to �50,000, while Irish politicians have pledged an unlimited guarantee.

Treasury Minister Allan Bell said that global events were being monitored as part of the ongoing review.

Tynwald informed

No equivalent scheme exists in Jersey or Guernsey, although governments there are believed to be looking at the issue.

Mr Bell said: "I can confirm that the Treasury, working with the Financial Supervision Commission, is continuing to keep a very close watch on developments affecting global financial systems as they unfold.

"I can also confirm that the Treasury is currently reviewing the Isle of Man Depositors' Compensation Scheme and the Financial Supervision Commission has made a report to Treasury in this connection."

The minister has previously told Tynwald that the DCS is under regular review, but an amendment to the current scheme has yet to be proposed.

No date has been set for when changes to the scheme could be made.

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