Royal Bank of Scotland on the verge of Direct Line sale
Despite the fact that Royal Bank of Scotland had initially wanted to sell its Direct Line insurance division in 2012 via an IPO it is believed the company is on the verge of announcing a trade sale very soon. There is speculation that figures such as Warren Buffett, the investment guru, have already stepped forward to show their interest in what is a quality operation.
It seems rather strange that Royal Bank of Scotland is effectively being forced to sell the family silver because of the way it was rescued by the UK government. However, these are the rules of the EU and the bank and the UK government have been forced to abide by them. There is no doubt that many interested parties will step forward in the knowledge that the company is a "forced seller" and cannot therefore in theory hold on for the best price.
When you also consider the company is also being forced to sell its Churchill Insurance operation it is highly likely that Royal Bank of Scotland will exit this particular area of business in the future. This is a company which is slowly but surely being stripped of its former jewels as a consequence of the deeply damaging credit crunch.
Financial Ombudsman reports record number of complaints
Complaints to financial institutions rose to the highest recorded level over the course of the last year, after a 92pc rise on the previous year. The Financial Ombudsman Service (FOS) reported that claims for the mis-selling of payment protection insurance (PPI) accounted for the vast majority of the complaints, a total of 74pc. However there were rises in complaints in most areas, and more rec...Read More
Perilous pooches uninsurable?
Pet owners who have a pit bull may find it very difficult to obtain a pet insurance policy, as many large insurance companies are now refusing to provide cover for 'dangerous dogs'.Both Tesco and Churchill are among companies that will not offer pet insurance to any breeds listed under the Dangerous Dogs Act.A spokesperson for Churchill Pet Insurance said: "Certain dog breeds which are considered...Read More
Government backtracks on national insurance argument
The UK government, and especially Lord Mandelson, have this weekend backtracked on a number of allegations made against the business community in the UK. Lord Mandelson had been highly critical of many business leaders who signed a letter in support of the Conservative party's intention to reduce the proposed national insurance tax increase. The government appeared to suggest that business leaders...Read More
So Who Will Pay For The Equitable Life Mistakes?
As the Equitable Life debacle continues to gather pace it seems as though Alistair Darling is doing his best to kick the issue into the political long grass for another time. Not one single member of the government has formally commented on the recent report which called on the government to compensate victims to the tune of £4 billion.
The thorough investigation into the incident...
New ash tax announced for UK travellers
There is anger today amongst UK travellers with news that British insurer Aviva will be adding £10 to the cost of travel insurance from 1 July in order to cover any costs associated with disruption caused by the ash cloud. The £10 additional cost relates to annual insurance cover for any individual although those booking single trip insurance will only be charged an additional £5. There has...Read More