US-style scheme could have stopped Rock run

A US-style deposit insurance scheme would have been a "real help" in halting the run on Northern Rock, Britain's chief regulator said on Tuesday.

Speaking to lawmakers, Callum McCarthy, the chairman of the Financial Services Authority (FSA), said: "There are certain things that we can learn from the US experience. They can deal with failure rapidly."

Having a system like that in the United States "undoubtedly would have been a real help in preventing a retail run," he said.

McCarthy said it wa

To continue reading...

You must be signed in to use this feature.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: