Monte dei Paschi races to raise €5bn cash by end of year

Italy’s Monte dei Paschi bank has said it will try to raise €5bn (£4bn; $5.3bn) from investors by year end as it races to avoid a state rescue. In a statement, the world’s oldest bank said it would stick to the recovery plan it outlined on 25 October, which includes issuing new shares. The bank had sought a three-week extension ... Read More »

Millions of bank customers on raw deals, figures suggest

Millions of people who have basic bank accounts may be paying higher fees than necessary, government figures indicate. Basic bank accounts are designed for people who do not already have a bank account and are ineligible for a standard current account. While eight million people have basic accounts, around half of them are still liable to pay fees for failed ... Read More »

Carney says will not extend his time at BoE again

Bank of England Governor Mark Carney said on Tuesday he would not consider a further extension of his time in charge of the British central bank, which is now due to end in June 2019. “I will leave June 30, 2019,” Carney said in response to a question during a regular meeting with lawmakers in parliament. The Canadian said on ... Read More »

HSBC calls for Theresa May to clarify status of EU nationals

HSBC has called on Theresa May’s government to clarify the position of EU nationals working in the UK because of the uncertainty caused by the Brexit vote. As Britain’s biggest bank reported profits down by almost 50% in the first nine months of the year, its chief executive, Stuart Gulliver, said the prime minister should be given “space” to negotiate ... Read More »

RBS facing £400m bill to compensate small business customers

Royal Bank of Scotland has apologised to small business customers as it revealed a £400m bill to compensate them for poor treatment in the wake of the banking crisis. After at least three years of complaining of bad service from the bailed-out bank, small businesses will receive refunds of the fees they were charged and will be allowed to make ... Read More »

Tesco cyber-raid raises serious questions over UK banks’ security

The texts began arriving on customers’ phones over the weekend: Tesco Bank had spotted unusual activity on a significant number of current accounts, and was getting in touch with customers to alert them. But that wasn’t enough to prevent £2.5m being siphoned out of about 9,000 accounts, and transferred to criminals whose identities and locations remain a mystery. The damage ... Read More »

Lloyds Banking Group to close 49 branches and cut 665 jobs

Lloyds Banking Group is cutting 665 jobs and closing 49 branches as it continues to cut costs in an attempt to complete its return to the private sector. To cushion the blow of further branch closures, the bank – bailed out in 2008 – is launching a fleet of mobile vans intended to visit communities knocked by the disappearance of ... Read More »

RBS chairman calls on Theresa May to draw up Brexit transitional plan

The chairman of Royal Bank of Scotland has warned that banks could pull operations out of Britain unless Theresa May draws up transitional arrangements for the country’s exit from the EU. Sir Howard Davies said it would be damaging if there was no transitional plan and that banks would have to make decisions based on uncertainty. Speaking to ITV’s Peston ... Read More »

Asia stocks stumble as weak China trade data raise growth concerns

Asian stocks stumbled to three-week lows and U.S. stock futures and Treasury yields fell after China’s September trade data showed a sharp decline in exports, raising fresh concerns about the health of the world’s second biggest economy. Risky assets have had a torrid start to the final quarter of 2016 after recent outperformance as concerns around the outcome of U.S. ... Read More »

China’s credit binge increases risk of banking crisis, says watchdog

China’s huge credit binge has increased the risk of a banking crisis in the world’s second biggest economy in the next three years, according to global financial watchdog. An early warning of financial overheating – the gap between credit and GDP – hit 30.1 in China in the first quarter of this year, a report from the Bank for International ... Read More »