The French plan to rescue the financial industry do not disrupt competition, says EU Competition Commissioner Neelie Kroes .

The European Commission on Thursday cleared French and Dutch plans to preserve their lenders from the global credit squeeze.

Both were judged to be in line with EU rules on community aid and with guidelines reported by the European Union’s executive arm on 13 October.

These say that any rescue package should be limited in time and range and must not discriminate against foreign-based banks operating in that country.

Do you really need a French bank account , especially if you’re only buying a holiday home and not moving to France permanently?

Well, it is certainly preferable to have a bank account in France, especially for those looking to move abroad and work, in order to have their salary paid. You also need a French account if you have a French loan or mortgage so that the repayments can be made to your provider.

It may have taken over four years in the making but on the 19 June 2008 a new version of the double taxation treaty between France and the UK was finally signed by the Rt. Hon Alistair Darling MP, Chancellor of the Exchequer, and Mme Christine Lagarde, the French Minister for the Economy, Industry and Employment.

The new treaty is expected to enter into force some time late 2009 provided all treaty adoption procedures (i.e. parliamentary approval, ratification and exchange of diplomatic notes) are completed.

Below is a summary of some of the key elements which could affect British citizens living in or moving to France should the new draft of the treaty be ratified and become law.

Delayed Wealth tax liability