Reply #29: No; it's either the Icelandic government, or the British and Dutch governments, who will pay [View All]

[muriel_volestrangler]

and which, and how much, will depend on how the Landsbanki assets are divided up in the bankruptcy settlement - see http://bjarnimax.blog.is/blog/bjarnimax/entry/1003708 . Under one proposal, the Icelandic guarantee gets covered fully, and so the Icelandic government (and thus taxpayer) only pays what interest (if any) is agreed for the loan while the assets are realised. That would mean the assets cover slightly less of the repayments the British and Dutch governments made to savers, so their taxpayers would pay a bit more. Under another proposal, only perhaps 88% of the Icelandic guarantee is covered by the assets, and so Iceland has to pay the other 12%. The British and Dutch governments would then get a bit more of the assets to cover the repayments the made, so their taxpayers would pay a little less.

So Joe Public will pay; it's a question of which Joe Public and how much, that's all.