Santander set to grab 318 Royal Bank of Scotland branches
The inside word appears to suggest that Santander, the Spanish banking giant, is on the verge of acquiring 318 Royal Bank of Scotland branches put up for sale by the company. Despite earlier rumours that the company had bid of around £1.8 billion it seems that the final asking price will be around £1.65 billion with Santander the only bidder left at the table. However, it looks as though the deal may well take up to 18 months to complete!
Under strict UK and European banking regulations it is likely to take up to 18 months for the acquisition to be finalised and the transfer of the branches completed. This does seem rather bizarre when you consider that the European Union forced Royal Bank of Scotland to put these branches of the sale due to the fact the company had received significant state aid from the UK authorities. It will be interesting to see any comments from the competition authorities but ultimately with Santander the only bidder at the table the deal should effectively flow-through.
The sale of the branches will mean a massive difference to the future makeup of Royal Bank of Scotland which has paid a price for significant risks taken in the past. The Royal Bank of Scotland we see today will be very different to the Royal Bank of Scotland we will see in 18 months time.
Irish government pushed into a corner over deposit guarantees
While just yesterday the headlines were suggesting that the Irish government had been one of the bravest in Europe with a massive rescue package which saw all deposits in Irish banks guaranteed by the authorities, a different story is being told today. Was it more a case of being pushed than jumping?
News is emerging that the Irish government were concerned that as late as the week...
'Choose accounts without passbooks for best returns'
Savers seeking the best rates of interest on their cash have been advised to opt for accounts without passbooks. Researchers from price comparison site Moneysupermarket.com found that the average rate offered on an easy access savings account with a passbook stands at 3.84 per cent on balances of £1,000 or more. However, by opting for an account which does not provide the book, savers can secure...Read More
What can you expect from your future bank account?
There is no doubt that the days of "free banking" (if it ever existed) are coming to a close but what can you actually expect from your future bank account and future banking arrangements?
As we have seen over the last couple of years, more and more banks in the UK are now introducing monthly, quarterly, half yearly or annual charges across an array of different banking arrangements...
Islamic banking struggling in the UK
Launched in a blaze of glory just a few years ago, Islamic banking in the UK is struggling to survive at this moment in time with the likes of Lloyds bank, the initial main stream provider of Islamic banking in the UK, withdrawing a number of Shariah-based mortgages over the last few months. It seems that a lack of competition and a lack of demand within the UK have impacted short-term growth pros...Read More
OFT to review barriers to enter UK banking sector
The Office of Fair Trading (OFT) has today announced a wide-ranging review of the various barriers to entry for the UK banking sector. This comes at a time when the UK government, and the previous government, is looking to increase competition on the high street and competition in the UK banking arena in particular. There are specific areas which the OFT will look at including the regulatory envir...Read More