UK savers could have up to £110,000 protected under regulator’s new plan

The Bank of England’s Prudential Regulation Authority said the increase in the savings protection limit would account for inflation. Photograph: Gareth Fuller/PA

UK savers would have up to £110,000 of their deposits protected if their bank or building society goes bust under proposals put forward by the Bank of England.

The plan, put forward by the central bank on Monday, represents a near-30% hike from the current limit of £85,000, and would mark the first substantial change to the savers’ protection scheme since the 2008 banking crisis.