Iceland to cough up our councils’ lost investments

TAXPAYERS’ money invested into Icelandic banks by local authorities is due to paid back as regional councils have been labelled priority creditors by the Supreme Court.

Oxfordshire County Council and South Oxfordshire District Council both feared they had lost their money when Landsbanki collapsed three years ago.

This ruling has seen the councils take a step closer to recovering their investments.

A spokesman for the district council said: “We are delighted the Icelandic Supreme Court has found in favour of UK local authorities and other UK wholesale depositors.

“This judgment means that UK local authorities’ claims have been recognised as deposits with priority status over other creditors’ claims.

“This means they will be paid first when it comes to getting their money back and will recover almost all of the money they had on deposit with the failed Icelandic banks.

“This decision, which comes more than three years after the banks failed, is a huge victory.”