Taxpayer support for banks helps FTSE gain

Ailing banks RBS and Lloyds led gains for the FTSE 100 Index today as the Government unveiled plans to insure toxic debts worth hundreds of billions.

The duo both posted gains of more than 20% as investors reacted positively to the extra support from the taxpayer. The Footsie lost some of its early impetus but was still 31.7 points higher at 3880.7 by mid-morning.