UK customers escape bank levy

The Chief Executive of the Bank of Cyprus, Yiannis Kipri, has been fired by the country's Central Bank.

Read: Bank of Cyprus chairman submits his resignation

Angry workers from the largest Cypriot commercial bank, the Bank of Cyprus, marched to the Central Bank of Cyprus in Nicosia to demand clarification about the banking restructure deal clinched with international lenders.

Europe Correspondent Emma Murphy reports:

The Chancellor told the Treasury Committee: "We will make clear where we think mistakes have been made and we have made it very clear that we thought it was a mistake to try and bail-in the insured depositors over the last week.

"But we are also here to try and resolve this situation because in the end, as we have discovered to our costs over the last couple of years, developments in the eurozone have a very direct impact on the British economy.

"If financial markets become concerned that also has a direct impact on the global financial system."

An administrator has told Reuters he has been appointed to take over the running of the Bank of Cyprus. Earlier today it was reported the Bank of Cyprus chairman Andreas Artemis had submitted his resignation,

British pensions will not be paid into Cypriot bank accounts for the "foreseeable future" and expats are being advised to open UK accounts, the Department of Work and Pensions said today. A spokesman said:

The Bank of Cyprus chairman Andreas Artemis has submitted his resignation, a bank source has told Reuters.

Protests are taking place outside the presidential mansion in Nicosia, in Cyprus. The crowd is chanting for Troika to leave Cyprus alone - Troika is made up of representatives from the European Central Bank, the EU and the IMF.

The Cypriot finance minister Michael Sarris has said he thinks capital controls will last "a matter of weeks" in an interview with the BBC.

A Financial Times leader article (£) has said that the Cyprus bailout has set "profound precedents" for Eurozone banking.