US and UK bid to stem fallout from Silicon Valley Bank collapse

The announcement came amid fears that the factors that caused the bank based in Santa Clara, California, to fail could spread.

A Silicon Valley Bank branch in Frankfurt (AP)

Governments in the UK and US have taken extraordinary steps to stop a potential banking crisis after the historic failure of Silicon Valley Bank – even as another major bank was shut down.

The UK Treasury and the Bank of England announced that they had facilitated the sale of Silicon Valley Bank UK to HSBC, Europe’s biggest bank, ensuring the security of $8.1 billion of deposits.