Lloyds TSB and HBOS to merge?

[GlasgowGirl]

HBOS has confirmed that it is in advanced talks with Lloyds TSB about a merger. According to the BBC, the Prime Minister is personally involved and the government has said it will overrule any concerns raised by competition regulators.

Apparently it's in response to a spiralling run on HBOS funds and shares following the US sub-prime issues, but this is pretty serious stuff - they are two of the most established financial institutions in the country.

This really is a very bizarre time.

[Tony]

I am sure Marvin could make sense of it all : ) It would be a disaster if HBOS went south like Northern Rock, no doubt this is why Gordon Brown is involved.