The bank was quoted as saying by Cyprus-Mail that it proposes to transfer the banking business currently carried out by Bank of Cyprus Public Company through its UK branch to Bank of Cyprus Advances, a wholly-owned subsidiary of Bank of Cyprus Public Company Limited.
The subsidiary will be renamed Bank of Cyprus UK.
According to the bank, by the second week of July 2012, the transfer of business to Bank of Cyprus UK is expected to take place and has assured its customers that it will continue to be managed by the same UK management team in order to provide uninterrupted banking services.
Presently, up to €100,000 (£81,000) of Bank of Cyprus UK savers’ money is protected under the island’s financial safety scheme, but after the launch of the program from mid July, each individual’s savings protected under the UK ‘s FSCS will reach up to £85,000, said the bank.
The bank also said that customers’ deposits remained to be protected by the Cypriot Deposit Protection Scheme up to €100,000 per customer until the transfer completes.
"On the transfer date, Bank of Cyprus UK Limited will automatically assume almost all aspects of the Bank of Cyprus UK branch’s banking business, including all assets, liabilities, contractual rights, obligations, guarantees and security arrangements, save for certain staff pension obligations and a small number of loans where we have informed customers individually," the BoC said.
