Banking (Special Provisions) Act 2008: Difference between revisions
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'''The Banking (Special Provisions) Act 2008''' (2008 c. 2) is an [[Act of Parliament|Act]] of the [[Parliament of the United Kingdom|United Kingdom]] that was introduced in order to enable the UK government to [[nationalise]] high-street banks under emergency circumstances by [[secondary legislation]]. The Act was introduced in order to nationalise the failing bank [[Northern Rock]] after a private-sector solution was deemed "not to provide sufficient value for the taxpayer" by the UK government. |
'''The Banking (Special Provisions) Act 2008''' (2008 c. 2) is an [[Act of Parliament|Act]] of the [[Parliament of the United Kingdom|United Kingdom]] that was introduced in order to enable the UK government to [[nationalise]] high-street banks under emergency circumstances by [[secondary legislation]]. The Act was introduced in order to nationalise the failing bank [[Northern Rock]] after a private-sector solution was deemed "not to provide sufficient value for the taxpayer" by the UK government. |
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Opposition to the Act by the [[Conservative Party (UK)| |
Opposition to the Act by the [[Conservative Party (UK)|Conservatives]] was based on the Bill providing an exemption to the [[Freedom of Information Act 2000|Freedom of Information Act]] and the alleged lack of independence from the government. The Bill was also sufficiently widely drawn to allow the nationalisation of any financial institution, leading to the concern that other banks may be in financial difficulty.<ref>[http://www.telegraph.co.uk/news/main.jhtml?xml=/news/2008/02/20/nrock120.xml Alistair Darling accused of Northern Rock Freedom of Information cover-up] ''[[The Daily Telegraph]]'' February 20, 2008. Retrieved: February 21, 2008.</ref> |
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==Status== |
==Status== |
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Revision as of 00:21, 25 February 2008
The Banking (Special Provisions) Act 2008 (2008 c. 2) is an Act of the United Kingdom that was introduced in order to enable the UK government to nationalise high-street banks under emergency circumstances by secondary legislation. The Act was introduced in order to nationalise the failing bank Northern Rock after a private-sector solution was deemed "not to provide sufficient value for the taxpayer" by the UK government.
Opposition to the Act by the Conservatives was based on the Bill providing an exemption to the Freedom of Information Act and the alleged lack of independence from the government. The Bill was also sufficiently widely drawn to allow the nationalisation of any financial institution, leading to the concern that other banks may be in financial difficulty.[1]
Status
The Bill was first read in the House of Commons on the 19 February 2008, where it also received a second reading.[2] The bill was passed at 23:06 on 21 February 2008.[3] Royal assent was granted next day and it came into force immediately upon royal assent.
The Northern Rock plc Transfer Order 2008 (SI 2008/432) was laid before Parliament on February 21 2008 and it can into force the following day.
References
- ^ Alistair Darling accused of Northern Rock Freedom of Information cover-up The Daily Telegraph February 20, 2008. Retrieved: February 21, 2008.
- ^ Rock Bill clears first major hurdle, The Press Association, 19 February 2008
- ^ Northern Rock nationalisation bill passed, MyFinances, 22 February 2008
External links
- Banking (Special Provisions) Act 2008, Office of Public Sector Information (PDF file)
- Northern Rock plc Transfer Order 2008, Office of Public Sector Information (PDF file)