“While the scheme has its merits..”

Halifax Bank of Scotland have decided not to join the Republic of Ireland’s bank guarantee scheme, despite previously saying they would join to ensure “a level playing field”. They’ve cited the UK government’s banking bail-out. From the Irish Times report.

“While the scheme has its merits, and it may suit some of our competitors to join, from our strong financial position it doesn’t suit us,” Mark Duffy, chief executive officer at Bank of Scotland (Ireland), said in a statement. “It would ultimately prevent our ability to offer a better deal for our customers,” Mr Duffy said.

And, if David McWilliams is right, they’ll also avoid sharing liability for any banks in the scheme that do fail.. Adds As Mack points out in the comments below, the FT reports that the shared liability clause has been dropped.