State set to become BoI majority stakeholder

THE Government is set to take a majority stake in Bank of Ireland as part of a projected €85 billion bailout of the banks, it was reported last night.

The development came as the bank’s share price tumbled further amid continuing fears about the weaknesses of the sector.

While not fully nationalising the bank, the Government will take a majority stake in the troubled financial institution, thereby further increasing State control of the sector, several sources were quoted as saying.