Alistair Darling, the chancellor, met leading bankers on Monday night to discuss the possibility of a multi-billion pound taxpayer-funded capital injection into the sector, in an attempt to rebuild the battered balance sheets of Britain’s banks.
Mervyn King, the governor of the Bank of England, and Lord Turner, the chairman of the Financial Services Authority, were also at the meeting, where the possibility of extending the guarantee on retail deposits from the current level of £50,000 was also discussed.
