Armed forces to reap fines benefits

Fines from banks and other financial services firms are to go to the armed forces, rather than the industry, the Government announced yesterday. Revenues from penalties, including £35m of fines imposed for attempted manipulation of the Libor interest rate, will be allocated to the Armed Forces Covenant Reference Groups, which consists of representatives of government, service families' federations and charities.

They will spend the money on improving conditions for service personnel and their families.