Santander confirms Royal Bank of Scotland branch offer
Spanish giant Santander has today confirmed a potential £1.8 billion for the 318 Royal Bank of Scotland branches which are up for auction. It is believed that Santander is the only firm bidder for the branches despite the fact that a number of parties came forward when the auction process began. The branches are being sold because of an EU ruling in relation to state aid for Royal Bank of Scotland when the company was on the verge of collapse.
Santander has been picking up UK assets for some time now having bought Abbey, Alliance & Leicester and the savings arm of Bradford & Bingley. If the Royal Bank of Scotland offer is successful, as seems likely, the company will have a 14% share of the UK mortgage market and 10% share of the retail savings market. In many ways Santander has been ahead of the game having changed a number of well-known UK brands to the "Santander" brand thereby escaping some of the growing consumer disdain aimed at the UK banking arena.
Many people expect further consolidation in the UK banking sector with the potential for retail banking and investment banking arms to be separated at companies such as Barclays bank.
The old can be sold on internet banking
Older consumers, although still the least likely age group to use the internet as their main method of banking, can be persuaded by the convenience of the web to use bank sites as a secondary means of controlling their finances, according to HSBC.A survey by Apacs last month revealed that over 18 million people in the UK utilise online banking services, yet people aged 65 and above were more likel...Read More
Why are the Yorkshire and Chelsea building societies talking?
As speculation mounts this evening that the Yorkshire building society and the Chelsea building society will soon announce a merger of their operations, many are wondering why the ailing society sector appears to be the next merger and takeover hotspot. What is it which has prompted these two building society giants to even discuss the possibility of getting together? Back in February the Build...Read More
UK government seizes £4 billion of Icelandic assets in UK
In a move which has been welcomed in the UK but may well backfire in the overseas political scene it has been confirmed that the UK government has seized £4 billion of Icelandic assets held in the UK. The £4 billion figure is in excess of the £3 billion which is said to be owed to UK investors by Iceland's financial system. So what next?
While initially the Icelandic government...
Should there be a commercial bank owned by the government in the longer term?
As the UK government continues to hold significant stakes in the likes of Lloyds TSB and Royal Bank of Scotland there is a growing debate as to whether the UK authorities should operate a majority controlled bank in the UK commercial sector. The ability to potentially lead from the front has attracted the attention of many MPs and regulators although there are a number of issues such as conflicts...Read More
Cash machines 'give out £18m an hour'
Every hour cash machines in Britain give out £18 million, equating to £3 million every ten minutes, new figures have revealed. Statistics released by the British Bankers' Association (BBA) also found that banks, in addition to providing cash to Britons, have a wider role in promoting economic stability. Banks approve more than £4 billion in mortgages every ten minutes, a period in which they al...Read More