RBS and Standard Chartered 'weakest' links in BoE stress tests

Further £10bn needs to be put aside

clock

All seven UK banks have passed the Bank of England's latest stress tests but Royal Bank of Scotland and Standard Chartered were revealed to be in the weakest positions, and had to raise capital during the process.

The Bank's Financial Stability Report, which is published twice annually, aims to set out the central bank's assessment of UK financial services in the wake of the 2008 global financial crisis. Although the seven largest lenders are said to be in good economic health, with Barclays, Lloyds, HSBC, Nationwide and Santander all clearing the stress tests,  RBS and Standard Chartered were found to have the lowest capital reserves when the stress-test scenarios were run, the Financial Policy Committee said. RBS, one of the banks bailed out by the government and still 73%-owned by the UK tax...

To continue reading this article...

Join Investment Week

  • 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

Join now

 

Already an Investment Week
member?

Login

More on Financial services

Trustpilot