George Osborne has said the fines levied because of Libor manipulation will be spent on charitable activities.
In his Autumn Statement to the House of Commons the Chancellor of the Exchequer said the money would go towards military charities.
The FCA alone has so far raised more than £532m from fines for Libor rigging.
He said: “We’ll support a host of military charities, from Guide Dogs for Military Veterans to Care After Combat.
“We’ll renovate our military museums - from the Royal Marines and D-Day Museums in Portsmouth, to the National Army Museum, to Hooton Park aerodrome, and the former HQ of RAF Fighter Command at Bentley Priory.”
Mr Osborne also announced that the £15m a year raised by the controversial “tampon tax” would be spent on women’s health and support charities until European rules are changed to allow it to be scrapped.
