Royal Bank Of Scotland Set To Report Largest Loss In Banking History
The Royal Bank of Scotland (RBS) is set to announce the largest ever loss in UK banking history this week with some analysts forecasting a lose in the region of £1 billion, but some suggesting it could be as high as £1.7 billion for the first 6 months of 2008. The loss is going to severely dent the reputation which the bank as built up over the decades and lead to major pressure on the company's directors.
The bank is being forced to take a hit of around £6 billion in relation to problems caused by the credit crunch. This hit will wipe out the underlying profits of the group and lead to concerns about the banks funding position, even after the £12 billion rights issue. The last few months have been a complete disaster for the group with critics hitting the board from all sides.
The only real ray of sunshine was thought to have been the sale of the insurance division for around £7 billion but bidders have left in their droves and the prices has been falling. The group is said to be in advanced talks with US outfit Allstate but they are not prepared to pay anywhere near the £7 billion asking price. Watch this space....
Share this..
Related stories
Children Literally Bursting Out Of Their Clothes
The British Retail Consortium (BRC) is on a collision course with the government over the zero tax rating on children's clothes. While there has been a policy of zero VAT on the clothes of children under the age of 14 for many years the sharp increase in obesity among the children of the UK has seen many exceed the maximum size restrictions for zero tax well before their 14th birthdays.
Ethel Austin slips into administration
Discount clothes retailer Ethel Austin has today been placed into administration with 3,700 jobs at risk as the company struggles to survive. Administrators took control of the company early today with the snowy weather over the festive period one of a number of factors which appeared to have pushed the company over the edge. While it is hoped that buyers will step forward to acquire the business...
Read MoreIs £4 Billion Enough For Barclays?
As talks appear to be nearing a close it seems that Barclays Bank may soon be announcing a fund raising of £4 billion from a select number of institutional investors. As we have covered on this site over the last few days the move is seen by many as a turning point for the group, putting finances back on a more steady footing. However, there is a growing feeling that £4 billion may not be enou...
Read MoreGordon Brown accused of over confidence in economic fightback
Gordon Brown has come in for some severe criticism today for his comments regarding George Osborne and the falling exchange rate. Many of the financial press seem to be turning against Gordon Brown as his policy of do as I say not what I do seems to be coming more and more to the fore. Many newspapers are reminding UK readers that we live in a democracy where comments, criticism and praise can be...
Read MoreCentrica Confirms That A Possible Bid For British Energy Is Being Discussed
Even though it has been rumoured in the news of late, it has taken a push from the Takeover Panel to force Centrica to admit that it has been looking at a number of alternatives with regards to British Energy, if the failed bid by EDF cannot be revived. While the British Government is said to be active behind the scenes, looking to get the deal back on, it seems as though Centrica is just waiting...
Read More