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.
When Will Competition Return To The Mortgage Market?
The UK mortgage market has been something of a graveyard for many of the major players over the last 12 months with finance hard to come by and reliable customers even harder to find. So when will we see a return of good old fashioned competition in the mortgage sector? When will we be able to signup knowing that we have a competitive rate AND competitive terms and conditions?
Top economist believes UK base rate could remain low for years
Gerard Lyons, the chief economist at Standard Chartered Bank, has today issued his own comments and opinion on the UK economy. In direct contradiction to the vast majority of economists in the city he believes that the Bank of England has been hinting for some time that UK base rates will remain low for years to come and that deflation is the major problem rather than inflation. So who is right?
UK set for massive tax rises
The National Institute of Economic and Social Research has today issued a paper suggesting that UK taxes will have to rise by the equivalent of six pence on the basic income tax rate to reduce the UK budget deficit. There is also a growing belief that the economy is by no means over the worst and rising unemployment and sluggish trading could have a major impact over the remainder of 2010. Desp...Read More
New customer broadband deals 'proving popular'
Introductory deals are proving appealing to many broadband customers looking to cut their bills, BroadbandChoices.co.uk said.According to the price comparison site, around half of all users have taken out a special offer for new customers.One third also said that they had switched providers to another introductory deal - when their previous one had run out.A further 20 per cent claimed to have tak...Read More
Authorities reveal major tax error
HM Revenue and Customs has this weekend revealed that nearly 6,000,000 people in the UK paid the wrong amount of tax last year with a shortfall of around £2 billion for the PAYE system. Due to the error at HM Revenue and Customs around 1.4 million people in the UK will be forced to pay back an average £1420 to cover the under payment of taxes in the past. Through no fault of their own this means...Read More