GOVERNMENT MUST ACT TO HELP RESTORMEL

11.00.00am BST (GMT +0100) Thu 9th Oct 2008

The collapse of Icelandic bank, Landsbanki, could cost every resident of Restormel £50

Commenting on the news that every resident of Restormel has £50 of their tax exposed in the failed Icelandic bank, Landbanki, Stephen Gilbert, the Liberal Democrat parliamentary candidate for St Austell & Newquay said: "If money can be found to bail out the banks and the chief executives who helped to cause this mess, money must be found to make sure that local tax payers aren't left picking up the pieces."

Cornwall County Council has £5million of public money invested in Landbanki with an additional £4million of tax-payers money invested by Restormel Borough Council - equal to a total of £50 for every person living in Restormel.

Stephen Gilbert added: "Government must act to make sure that local authorities don't lose out due to the current financial turmoil. It would be wrong to expect local tax payers to pick up the bill. I have written to the Chancellor, Alistair Darling, asking him what Government plans to do to help local Councils."