THE prospect of Islanders who lost their life savings in the collapse of Landsbanki Guernsey getting all of their money back is looking more and more doubtful, administrators have said.

The announcement has enraged many savers in Jersey, who have called an emergency meeting at the Town Hall this evening to discuss their position. They must now pin their hopes of being repaid in full on the Guernsey government stumping up the cash or on the UK government’s attempts to force the authorities in Iceland, where Landsbanki is based, to compensate savers being successful.

It was announced yesterday that the UK Treasury is to support the States of Guernsey in talks with the Icelandic government over the Landsbanki collapse. Landsbanki Guernsey depositors received a letter yesterday from administrators Deloitte offering an initial and immediate part-payment of 30 pence for every pound that they had deposited in the bank.

It is thought that Jersey savers had around £15 million deposited in Landsbanki when it went into administration on 7 October. Peter Wall, founder of the recently-formed Jersey Landsbanki Action Group, said: ‘There are a lot of people who are not happy about the offer. It has not given people much hope. Some are very angry. I have had people ringing me up in tears. They just don’t know what to do.’