Questions about town and parish councils

Is there a limit to the amount a council can hold in anyone bank account?

Follow Councillor Q&A on X/Twitter

Follow us on X/Twitter

0 votes
by (220 points)

1 Answer

+2 votes
There is no legal limit but councils should be aware of the FSCS limit of £85000 and decide where to bank accordingly.  My council has savings accounts with a number of banks to spread the risk
by (25.1k points)
Thanks for confirming the limit, that is a great help.
by (220 points)
Just to add, the limit is set per financial group, not per bank or per account! As an example, HSBC owns First Direct, so you should only have up to £85,000 in an account with only one of these businesses. HSBC and Lloyds though are completely separate, so you can have up to £85,000 in an account from each. Definitely worth spending some time to look up "who owns who".
by (1.0k points)
Thank you for this a valid point, thank fully ours are separate.
by (220 points)

Welcome to Town & Parish Councillor Q&A, where you can ask questions and receive answers from other members of the community. All genuine questions and answers are welcome. Follow us on Twitter to see the latest questions as they are asked - click on the image button above or follow @TownCouncilQA. Posts from new members may be delayed as we are unfortunately obliged to check each one for spam. Spammers will be blacklisted.

You may find the following links useful:

We have a privacy policy and a cookie policy.

Clares Cushions logo Peacock cushion

Clare's Cushions creates beautiful hand made cushions and home accessories from gorgeous comtemporary fabrics. We have a fantastic selection of prints including Sophie Allport and Orla Kiely designs and most covers can be ordered either alone or with a cushion inner. Buying new cushions is an affordable and effective way to update your home interior, they're also a great gift idea. Visit our site now

3,097 questions
6,111 answers
8,540 comments
10,681 users
Google Analytics Alternative