Have We Seen The Last Of The Major Credit Crunch Loses?
Just a few short weeks ago the UK stock market was awash with banks going cap in hand to shareholders for money to bail them out of what had become a serious situation. Now that many of the major UK banks have been recapitalised there seems to be something of a new acknowledgement that while there is still more pain to follow we have seen the worst. But is this true?
The US market has obviously been hit hardest which then moved on to the UK and other major markets around the world with some distasterous loses and seriously weakened balance sheets emerging from the dust. But have we really seen the credit crunch mortgage default numbers that appeared in the US? Have we seen UK banks stepping forward to confirm UK based loses?
There is a feeling that much of the pressure and loss of confidence at the moment is based upon the knock on affect from the US, with the UK markets not yet hitting rock bottom. We are slowly seeing mortgage default numbers rise and there is an underlying concern about sub-prime mortgage deals such as those on the books of Northern Rock - where some customers were offered mortgages of 110% at the height of the property market.
While UK loses would not be on the scale of those seen in the US, there is every chance that we have yet to see all of the UK banking investment loses brought out into the open.
Share this..
Related stories
73% of houses sold below asking price
26/02/2015 Nearly three quarters of houses on sale in January this year were sold for less than their asking price, according to figures from the National Association of Estate Agents January Housing Market Report. 73% of homes were sold for less than their asking price last month, which is 17% more than January 2013, when 56% of homes were sold for less. This means homebuyers are now in a...
Read MoreThe Bank Charge Saga Goes On
After losing what all parties had agreed would be a watershed case, it appears that the main banks of the UK are set to appeal the decision. Eight of the UK’s main banks are seeking permission to appeal against the earlier verdict which affectively gave customers the right to claim back a variety of bank charges going back some years. However, the situation is currently on hol...
Read MoreHas George Osborne gone a step too far?
George Osborne's announcement that he wants to limit cash bonus payments in the short term to just £2000, with other arrangements paid in shares or other similar financial instruments, has upset many in the city and is seen by some as a step too far. Even though the suggestions from George Osborne, who is Shadow Chancellor of the Exchequer, appear to be sensible and well thought out, he is puttin...
Read MoreSEC split regarding Goldman Sachs prosecution
It has been revealed that US regulator, the Securities and Exchange Commission (SEC), was split 3-2 when voting on the possibility of prosecuting Goldman Sachs. Many investors believe this was the reason why the Goldman Sachs share price increased today with concern as to whether the prosecution has a firm base and is likely to succeed. The $1 billion case is by far and away the largest and hig...
Read MoreRetail spending to hit £1 billion over the next three days
While the UK retail market has been under pressure, and continues to be, it is forecast that UK consumers will spend over £1 billion over the next three days with a raft of sales brought forward and many people looking for bargains. These are record figures for the UK retail market and while there will be a sudden drop-off when the sales end in January many businesses are hoping that the cash flo...
Read More