Somerset councils say Northern Rock money is safe
TWO major councils in Somerset have money invested with troubled banking giant Northern Rock, but they are assuring taxpayers that their money is not at risk. Somerset County Council and Sedgemoor District Council, the authorities responsible for the Ched
TWO major councils in Somerset have money invested with troubled banking giant Northern Rock, but they are assuring taxpayers that their money is not at risk.
Somerset County Council and Sedgemoor District Council, the authorities responsible for the Cheddar, Axbridge and Wedmore areas, both have money in the bank.
Newcastle-based Northern Rock hit the headlines earlier this month when shares plummeted by 40 per cent, inciting many worried customers to withdraw their savings.
A spokesman for Somerset County Council said: “The council has a cash deposit with Northern Rock but this is treasury management cash and neither the council or the pension fund holds shares in the bank. We have no reason to suspect that it will not return our investment with the agreed interest when it falls due today.”
You may also want to watch:
A spokesman for Sedgemoor District Council was also eager to reassure residents, even though the authority has £1million in the bank.
Finance spokesman Alison Griffin said: “We have a portfolio of investments and Northern Rock is one of them. The Government has given assurances and the council is not concerned about the money it has in the bank.
- 1 Worle resident left with maggot-infested bins during heatwave
- 2 Disruptions to your journey by car across North Somerset
- 3 Versatile extended cottage with annexe in rural village
- 4 LOVE ISLAND 2021: Weston's Jake Cornish makes it official with Liberty
- 5 Could self-driving pods be the future of Weston?
- 6 Council hopes to reopen Weston Marine Lake later this week
- 7 Electrical appliance retailer opens appliance showroom
- 8 Overnight A&E closures continue at hospital
- 9 Family pays tribute to founder of Jolly Dollies support network
- 10 Popular Weston restaurant closes after nearly 60 years
“However, we will not be putting any more cash in that direction in the future but we do know that anything with Northern Rock now is protected.”