More later, but the UK government are set to take £550bn in assets out of RBS and Lloyds and place into some form of state facility.  (thats close to $1 trillion btw).  The nationalisation word still remains unsaid.

State to insure £300bn of RBS assets | ft.com

Royal Bank of Scotland was preparing to inject loans and other credit assets worth more than £300bn into a government-backed insurance scheme on Wednesday night in an effort to stabilise the state-controlled bank while saving it from full nationalisation.

Lloyds Banking Group, which is expected to insure up to £250bn worth, is expected to unveil a similar deal when it reports its results on Friday.