Depositor protection

[1nvest]

Saw a (FB) posting where Australians are expressing concerns about a recent legislation (Banking Amendment (Deposits) Bill 2020) that has them aligning with other G20's where bank deposit protections DON'T apply if the bank is 'bailed-in' and where depositors could lose their deposits under such conditions. i.e. the £85,000 protection amount only applies if the bank fails and its ruled that deposits aren't going to be utilised to bail-out the bank (which in the UK's case applies under a EU legislation).

In short, is the £85,000 depositor protection now subjective to the whim of whether its deemed appropriate for the taxpayer or depositors to bail out the bank?

[scrumpyjack]

No, deposits up to £85,000 are 'protected deposits' not subject to the bail in provisions

https://www.gov.uk/government/consultat ... ce%20sheet.