Virgin applies for banking licence in UK
Virgin Money, Richard Branson's Virgin finance offshoot, has today confirmed it has applied for a UK banking licence with the Financial Services Authority (FSA). While this is not a surprise, when you bear in mind that Virgin Money had been on the verge of acquiring Northern Rock before the UK government stepped in, it has set the rumour mill rolling again in the city.
It comes at a time when the UK banking sector is under a cloud and also on the same day that the UK government has confirmed it is awaiting EU clearance to split Northern Rock in two, made up of the relatively risk-free deposit business and the more risky mortgage and loan operation. Whether Virgin Money is again looking to acquire one or more parts of Northern Rock remains to be seen, but this would perfectly complement Virgin Money's credit card, insurance and mortgage operation which has been making good progress in the UK.
While there is no confirmation that the FSA has yet agreed the application for a banking licence there would appear to be little standing in the way of Richard Branson's Virgin Money vehicle and we await confirmation in due course.
Share this..
Related stories
Why is George Osborne changing the regulatory environment in the UK yet again?
Last night's announcement that George Osborne has effectively decided to abolish the Financial Services Authority (FSA) is a bitter blow to the regulator which has seen a significant increase in convictions over the last few years. Yet again we see a new government bringing a new regulatory environment with more cost, more confusion and more time needed to bed down these potentially enormous chang...
Read MoreBritish Airways to merge with Spanish giant Iberia
The long-awaited merger of British Airways and Spanish airline Iberia has been confirmed, creating a £4.4 billion business which will be one of the leading airlines in the world. This is a deal which has been ongoing for some time and one which has attracted significant criticism from various unions and consumer groups. So what does this mean for the future of British Airways?
As w...
UK inflation rate remains at 0%
14/04/2015 The UKs inflation rate stayed at 0% in March, according to official figures from the Office of National Statistics. The 0% inflation rate means that the cost of living is now roughly the same as it was in March 2014. The Consumer Price Index (CPI), which measures inflation, recorded an unchanged rate from February thanks to a rise in petrol prices. Food prices fell by 3.2% annual...
Read MoreBarratt Developments sees signs of a recovery in the property market
In line with yesterday's announcement from Persimmon, Barratt Developments has again reiterated the fact that there are signs of improvement in the UK property market with reservations per site up by over 30% compared to last year. Thankfully the company has managed to reduce its own debt load from £1.4 billion last year to £700 million this year due to the recent £720 million fundraising. It a...
Read MoreHenry Paulson in talks with US banks
Henry Paulson has emerged from his bunker to begin talks with the massive array of US banks as details of the $700 billion recapitalisation of the US financial system begin to emerge. While the UK market had its own day in the sun with an 8% rise it was the US market which took the lead with an 11% rise of just under 1,000 points!
Slowly but surely we are seeing an increased accept...