What the Germans did
It gets weirder.
My official sources tell me that the German government is not legislating to formally increase protection for savers.
What Angela Merkel did, they say, was give a "political" commitment that no German savers would lose a penny - which is more-or-less identical to the commitment given by our Chancellor of the Exchequer, Alistair Darling
But the horse has already bolted - in that this morning the Danes have given an unlimited guarantee to their savers and the Swedes have massively increased the level of protection they offer.
Whether the German or British governments like it, there does appear to be a clear trend towards almost total protection for European retail depositors.