Deposit guarantee to be extended to more banks

Finance Minister Brian Lenihan has confirmed that the Government's bank guarantee scheme is to be extended to include more firms.

The guarantee was initially supposed to only cover the six Irish-owned banks and building societies.

However, concerns were expressed that the move could breach EU competition laws.

Mr Lenihan has now confirmed that the guarantee will be available to a number of foreign-owned banks - Ulster Bank, First Active, Halifax Bank of Scotland, IIB Bank, as well as Postbank, a joint venture between An Post and Fortis Bank, which is licensed in Ireland

He also says the details of scheme is in the advanced stages of drafting and will be presented to the Dáil as quickly as possible.