British savers are taking greater care to spread their money between many different banks and building societies to guard against losing out in a Northern Rock style run.
The former building society saw the first public run on a bank in the UK for more than a century five years ago today. It was then forced to run to the Bank of England for emergency funding.
A survey conducted by the Financial Services Compensation Scheme found that 43% of savers have changed the way they bank since the run on Northern Rock in 2007, with 17% saying they now bank with more than one institution. Marc Neale, chief executive of the FSCS, said: “The run on Northern Rock was a seminal moment and changed how people feel about their money.
“The images of people queuing to withdraw their cash remain imprinted in the minds of many and show just how important it is for consumers to have complete confidence that their money is safe.”
