LONDON — HSBC has acquired the British assets of the now-defunct Silicon Valley Bank, the U.K. Treasury announced today. No U.K. taxpayer money is involved, and customer deposits have been protected, according to the announcement.

The news provides a welcome relief to local startups and venture capitalists who had spent the weekend worrying about their futures after the American bank collapsed.

“Today the government and the Bank of England have facilitated a private sale of Silicon Valley Bank UK; this ensures customer deposits are protected and can bank as normal, with no taxpayer support,” Chancellor Jeremy Hunt, the United Kingdom’s treasury chief, said in a statement. The U.K. deposits of the California bank are estimated to be worth a combined $7 billion.

“I said yesterday that we would look after our tech sector, and we have worked urgently to deliver that promise,” Hunt said.

HSBC saw off competition from other rivals, including the Bank of London, looking to scoop up the British bank focused primarily on providing financial services. HSBC, which is Europe’s largest bank, said in a statement it was acquiring SVB’s U.K. arm for £1, according to the Guardian.

The deal “saved hundreds of the U.K.’s most innovative companies today,” said Dom Hallas, the executive director of the Coalition for a Digital Economy who was among those leading the charge to get an agreement done over the weekend.

This article is being updated.