The Royal Bank of Scotland (RBS) has been labelled the "most vulnerable" bank in Europe by Credit Suisse, in a note which also warns it may need further state aid.
Analysts at Credit Suisse said RBS could be forced to raise up to £17bn in fresh capital after it submitted a breakdown of its financial position to the European Banking Authority this week. Banks across Europe are facing a further round of stress tests as the crisis continues to hit markets. According to the Telegraph, Credit Suisse said RBS - already 83% owned by the taxpayer - would likely face full nationalisation under the scenario the analysts set out, estimating the bank might face a capital shortfall of £16.9bn in the latest round of stress tests. "RBS appears to be the mos...
To continue reading this article...
Join Investment Week for free
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes