RBS could face £500m fine over role in LIBOR rate-rigging

Royal Bank of Scotland is facing the prospect of a £500m fine over its role in the LIBOR interest rate-rigging scandal.

The bank is still locked in negotiations with regulators in the US and UK over the exact scale of a settlement likely to be announced next week, the Daily Mail reports. But sources familiar with the situation said they expected the fine to fall within the ‘ballpark' range of £400m to £500m. US regulators will take the lion's share of the penalty, because the offences took place before the UK's Financial Services Authority introduced a stiffer tariff of fines in March 2010. The settlement will be accompanied by the release of emails likely to prove embarrassing for the taxpayer-owne...