Seanad approves legislation to guarantee bank deposits

The Seanad has approved the Government's emergency legislation to guarantee all the deposits held by the six Irish-owned banks.

The Credit Institutions (Financial Services) Bill was passed by both the Dáil and the Seanad in the early hours of this morning and is expected to be signed into law by the President later today.

The Dáil approved a number of opposition amendments to the legislation, including a measure to put a public interest watchdog on the boards of banks which avail of the guarantee.

The Labour Party, however, voted against the bill, with spokesperson Joan Burton saying it lacked improved regulation and transparency to ensure the banks cannot engage in further reckless behaviour.

The charges banks will pay and the conditions that will be applied are due to be outlined next week.