Credit rating agency Moody's downgraded Britain's part-nationalised banks Lloyds and Royal Bank of Scotland on Friday, although Britain's finance minister said UK banks were well-placed to cope with a European debt crisis.
The British government has struck a deal with banks to curb bonuses and boost lending, people familiar with the matter said on Wednesday, but the accord could prove hard to enforce.
The talks, dubbed "Project Merlin", will see the top five
Britain's banks could have to pay out at much as GBP5 billion ($7.9 billion) to compensate customers who accuse them of mis-selling insurance policies after a US rival warned it faces a big hit.
Britain's competition watchdog has for sever
British banks may need another state bailout next year and their borrowing requirements could hit 25 billion pounds ($39.5 billion) a month, a thinktank said, although the UK finance minister dismissed any such scenario.
UK banks have a $5 billion total exposure to Dubai World, making them the biggest foreign creditor group at the troubled Dubai state-owned conglomerate, a report said.
Royal Bank of Scotland was the most exposed with a figure of $1 bi
The UAE’s central bank governor has said there was no cause for concern about local banks, which he said had proven themselves able to weather the global crisis, the state news agency WAM reported.
"Sultan Nasser al-Suweidi said .. he did
Banks from the UK have the most exposure to the debts of Dubai World, while Asia's banks have 'limited' exposure, Harm Zebregs, the International Monetary's Fund's Asia-Pacific representative, said.
'Given what we k
British banks have urged the UK to try to fix a debt restructuring dispute in Saudi Arabia that has left overseas banks potentially exposed to billions of dollars of losses, according to a letter seen by Reuters.
The dispute involves up to
The dollar rebounded from a one-year low against the euro on Friday as waning risk appetite cut demand for higher-yielding currencies and boosted safe-haven demand for the greenback.
Sterling declined across the board, hitting a near five-
China's factory output surged for a fourth month in July, data showed on Monday, while two of Britain's biggest banks emerged from a year of financial turmoil in profit but damaged by bad debts of a combined $21 billion.