Guidance for charities with Icelandic bank investments

The Charity Commission has published guidance for charities who have invested in the Icelandic banks that have collapsed, leaving them open in some cases to significant losses.

The Commission outlines what a Treasury statement implies for charities with investments in Landsbanki, Heritable and Kaupthing Singer and Friedlander. Some charities will qualify as retail depositors in those banks, and therefore, according to the Treasury, "will receive their money in full".

Charities that qualify include those with an annual turnover of £6.5 million or less, or assets of £1.4 million or less, depending on how the charity is structured.

The Charity Commission is asking all charities affected by the Icelandic crisis to contact enquiries@charitycommission.gsi.gov.uk so that it can collate information.

A day earlier the Commission has published guidance on the Financial Services Compensation Scheme - what it means for charities.

www.charitycommission.gov.uk/news/ice.asp