Santander confirms Royal Bank of Scotland branch offer
Spanish giant Santander has today confirmed a potential £1.8 billion for the 318 Royal Bank of Scotland branches which are up for auction. It is believed that Santander is the only firm bidder for the branches despite the fact that a number of parties came forward when the auction process began. The branches are being sold because of an EU ruling in relation to state aid for Royal Bank of Scotland when the company was on the verge of collapse.
Santander has been picking up UK assets for some time now having bought Abbey, Alliance & Leicester and the savings arm of Bradford & Bingley. If the Royal Bank of Scotland offer is successful, as seems likely, the company will have a 14% share of the UK mortgage market and 10% share of the retail savings market. In many ways Santander has been ahead of the game having changed a number of well-known UK brands to the "Santander" brand thereby escaping some of the growing consumer disdain aimed at the UK banking arena.
Many people expect further consolidation in the UK banking sector with the potential for retail banking and investment banking arms to be separated at companies such as Barclays bank.
RBS face further IT problems after £56m fine
24/11/2014 Royal Bank of Scotland customers have had problems using credit and debit cards in shops and at cash machines over the weekend. Some customers of Royal Bank of Scotland and its subsidiaries, Natwest and Ulster Bank were affected, and were unable to use debit and credit cards. An RBS spokesperson said the breakdown had "minimal customer impact". It said the problems affected "a...Read More
US authorities allay fears over bank nationalisation
The US authorities have indicated that the nationalisation of some of the US's largest banks is not on the current political agenda. Federal reserve Chairman Ben Bernanke expressed an opinion that if there was a nationalisation of some of the largest banks in the US this would destroy inherent value which has been built up over years, something which was appreciated by the US stock market which ro...Read More
Bank profits 'cost households £441 each'
Financial marketplace Zopa has estimated that the cost of HBOS and RBS' profits results in a bill to each UK household of £441, marking a ten per cent year-on-year increase.Recently, the banks made their profits known, with HBOS recording a £5.7 billion total and RBS achieving a £9.2 billion profit."The truth is that banks in the UK have let down their customers badly by failing to deliver agai...Read More
When will the government sell Northern Rock?
Despite assurances about Northern Rock will not be run any differently to commercial banks in the UK it seems as though an increase in repossession numbers, far and above the sector average, would indicate a possible change of government strategy. There are concerns that those now in control of the bank are looking to reduce the number of mortgage defaults simply by repossessing homes at risk, dum...Read More
State backed banks accused of offering poor rates
The likes of Lloyds Bank and Royal Bank of Scotland today stand accused of offering very disappointing rates to UK savers and less than competitive rates to UK borrowers. This will dismay the UK government at a time when the UK economy needs further liquidity and UK consumers are crying out for more help. We have seen businesses and families struggling to make ends meet, and this is sure to have a...Read More