Iceland and UK in diplomatic war over banks

British Prime Minister Gordon Brown has accused Iceland of "illegal action" for freezing the accounts of UK private and public depositors in collapsed banks.

"What happened in Iceland is completely unacceptable. I've been in touch with the Icelandic prime minister. I said this is effectively illegal action that they have taken," Mr Brown told the BBC about Reykjavik's move to nationalise several Icelandic banks while preventing their British customers to access their money.

Icela...