Royal Bank of Scotland joins UK asset protection scheme
Despite attempting to wriggle off the hook, which is the UK government's asset protection scheme, the Royal Bank of Scotland has been forced to sign up and confirmed that this happened on 26 November. While there's no doubt that the scheme will protect the company's assets in the short to medium term, like Lloyds bank, the company had been attempting to negotiate an exit rather than pay the multibillion pound premium.
In a bizarre quake of fate, if the UK economy does take a further downturn, as some people believe it will in 2010, the scheme will become vital for Royal Bank of Scotland and Lloyds bank may well have made a mistake negotiating its own exit. The agreement which was signed by Royal Bank of Scotland is conditional upon approval by Royal Bank of Scotland shareholders and overall approval by the European commission which is now heavily involved in the UK banking sector and the restructuring of businesses such as Lloyds bank and Royal Bank of Scotland.
Now that the saga surrounding the asset protection scheme looks to be over there are hopes that the Royal Bank of Scotland management can look ahead to the future even though markets are still very difficult. This is a company which was the largest banking operation in the world at one stage, after a massive expansion programme, but has now come back down to earth with a bump and will need to rebuild from a very low base.
More people set to ditch bank after poor treatment
A study from Which? has revealed that record numbers of people are expected turn their back on their bank in the coming year, as consumers become more fed up with how they are being treated. More than a quarter of people have admitted they have had a problem with their current account, while a fifth of people who went on to make a complaint to their bank said it was not resolved satisfactorily...Read More
Savers still unsure over ISAs
Savers are failing to maximise their money because they are wary of independent savings accounts (ISAs), it has been shown. A study conducted by Nationwide found that 62 per cent of the UK adult population do not currently hold an ISA, which offer higher rates of interest than standard accounts. The principal reason cited were lack of understanding of what are perceived to be complex investment pr...Read More
UK mortgage product numbers continue to rise
For the third consecutive month we have seen the number of mortgage products available in the UK continue to rise although they are still 90% below the peak of the market back in August 2007. Last week there were 2,516 mortgage products available in the UK which is the first time this has topped 2,500 since May 2009. However while competition is returning to the UK mortgage arena there is no doubt...Read More
When Breaking Up is Hard To Do - The BAA Story
As the much rumoured report which will prompt the breakup of BAA lands on investment managers desks this week, the argument has moved on to a new phase with concerns that the breakup of the group may have little impact on the UK airport sector. The Competition Commission will take formal action to force BAA to sell off two of their three London airports and one in Scotland in what is the biggest...Read More
Approval granted for UK's first Islamic insurance firm
Regulatory approval has been granted for the first ever specialist Islamic insurance provider in the UK, it has been announced. Principle Insurance has been cleared for business by the Financial Services Authority and will offer home insurance and motor insurance products. In keeping with Shariah law, the firm will not use interest and will shun investments in sectors that contravene Islamic princ...Read More