To ask the Chancellor of the Exchequer what steps he is taking to ensure that guarantees by Derbyshire Building Society which were transferred to the Icelandic government are honoured in full. (249669)

[holding answer 20 January 2009]: Derbyshire Offshore (the trading name for Derbyshire Building Society's Isle of Man subsidiary) was established in the Isle of Man in 1990 and was regulated by the Isle of Man Financial Supervision Commission.

Arrangements for depositors in banks in the Isle of Man are a matter for the Government of the Isle of Man.

In line with usual constitutional arrangements, the UK Government will represent the Crown dependencies in their negotiations with the Icelandic authorities.