Banks and building societies regulated in the UK must make it clear at their branch counters that the FSCS cover is in place for their savers, even if they are not UK residents.

BBC: Cyprus bailout: Savers in UK banks 'well protected'

"We need to have a clear strategy before the bean counters are let loose with their pens, with all due respect to accountants, " he said.

BBC: Tory MP warns on impact of defence spending cuts