FSA has made an emergency rule change that will allow building societies that merge to keep their own separate FSCS compensation limits. It has made the change without consultation following consumer concerns and in an effort to stop consumers taking money out of institutions purely to keep within compensation limits. The rule will apply, subject to conditions, to mergers that take place between 1 December 2008 and 30 September 2009.

(Source: FSA/PN/140/2008 and FSA 2008/64)