MINISTER FOR Finance Brian Lenihan probably isn't too upset at the decision this week by foreign-owned Halifax, Bank of Scotland (Ireland) and IIB Bank, which is owned by Belgium's KBC Bank, to opt out of his bank guarantee scheme.
It means the State will have €18 billion less in deposits and debts to insure. That leaves the taxpayer providing guarantees of about €440 billion to the six Irish banks and another potential €27 billion for foreign-owned banks operating here.
All eyes are now on Ulster Bank and its sister institution First Active - owned by Royal Bank of Scotland - to see if they will sign up to the Irish guarantee.
Halifax's owner HBOS received a £13 billion cash injection from Gordon Brown's government earlier this month, while KBC took a €3.5 billion capital handout from the Belgian government on Monday. Both are comfortable that they no longer need the cover offered by the Irish scheme.
Halifax also says it can maintain a competitive edge by staying outside the scheme as the guarantee lays down onerous rules - in particular, possible restrictions on any new products.
Bank of Scotland (Ireland) was the first to offer tracker mortgages here (though these have now disappeared), while Halifax took on AIB and Bank of Ireland by offering cheaper credit card and current accounts.
IIB's decision to take cover under KBC's wing coincided with its rebranding under the banner of its Belgian parent. IIB boss Ted Marah said a decade into the marriage with KBC, it has decided to take its name. With €3.5 billion in fresh capital, KBC looks an attractive partner.
