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.
First time buyers now require £41,000 wage
06/05/2015 The average first time buyer will require a minimum income of £41,000 in order to be approved for a mortgage, according to a report from KPMG. The figure comes to almost double the UKs average wage of £22,000, and shows that the difference between house prices and wages has grown so wide that affordability is now an issue for all first time buyers but the very top earners, or...Read More
UK mortgage lenders set to experience more pressure
As the UK government bond market continues to rise, with bond yields having fallen to around 0.785%, there are growing hopes that UK mortgage lenders will start to reduce their rates. It seems that more and more investors have now come round to the idea that UK base rates will remain at 0.5% for some time to come and ultimately the cost of finance in the UK should fall accordingly. But will UK mor...Read More
Brits urged to make good on budgeting plans
Good intentions to save more money this year must be translated into effective action, a life and pensions company has warned. A study conducted by Friends Provident found that two-thirds of UK adults are planning to tighten their belt financially this year. Of these, 41 per cent are planning to make a new budget, while 33 per cent intend to conduct a complete overhaul of their finances in a bid t...Read More
David Cameron urged to back BP
David Cameron is today under pressure after apparently refusing to back BP in a war of words with the US government. Despite the fact that Pres. Obama appears intent on shifting the blame from the US government and the US authorities to the UK government in relation to the Gulf of Mexico spill David Cameron has said nothing in public to defend BP and Britain as a whole. So why is BP so important t...Read More
Tough times ahead for UK supermarkets
31/12/2014 2015 will be a very tough year for supermarkets, according to Asda’s chief executive, Andy Clarke. In an interview with the BBC, he said he has never seen profitability fall so quickly in the UK supermarket sector, and believes that 2015 is set to be just as challenging. He cited discount grocers as one of the main reasons for this. Analysts Kantar Worldpanel say Aldi and Li...Read More