Tag: UK

UK1 Comment

BofE Governor in the dark on banking regulation

Colin Henderson

The management of UK banking/ financial system has become highly politicised reflecting the general Browns government style. This from the meeting yesterday between Mervyn King, Governor of the Bank of England and the Commons committee. Governor in dark on banking regulation | FT His comments to MPs on the Commons Treasury committee flabbergasted its members. John McFall, the committee chairman, said the lack of communication at the top level between the Bank, Treasury and Financial Services Authority was unbelievable. “The tripartite authorities are a communications black holes, which is worrying.” Continue reading BofE Governor in the dark on banking regulation

UK

Lloyds moves to regain independence

Colin Henderson

This is nice to see.  Lloyds is was the most risk averse bank before the crisis.  Yet after the Government intervention and Lloyds ‘takeover’ of HBOS with all their self inflicted mortgage problems, the situation altered dramatically. I hope Lloyds will be a survivor, and can remove government ownership. Lloyds repays £2.3bn to UK Treasury Lloyds Banking Group has repaid £2.3bn to the UK Treasury after strong support for its open offer and placing aimed at repaying the government’s £4bn of preference shares. Lloyds is believed to be the first major western bank to repay state equity in the round … Continue reading Lloyds moves to regain independence

Economy, Innovation

The Aftermath of Financial Crises | study

Colin Henderson

A short and useful paper offerring some points that help to frame the next few years for strategic planning purposes.  This to be read of course in the context of politicians preaching ‘road to recovery’ which leaves the uninformed with the view that we will get over this blip and back to normal. I prefer to think of this as a shift that will profoundly change things for the next few years, with some good and some not so good elements in that shift.  It may be good that the banking industry will be shaken up, and out of that … Continue reading The Aftermath of Financial Crises | study

Uncategorized

UK government, RBS, and Lloyds begin the bad asset removal process

Colin Henderson

In the first real appearance of specific moves towards the inevitable Great Unwinding RBS announce plans to reduce their balance sheet by 25%. RBS to cut balance sheet by 25% | ft.com Royal Bank of Scotland will this week unveil plans to shrink its balance sheet by up to a quarter over the next three to five years as Stephen Hester, chief executive, sets out a strategy to return the state-controlled bank to the private sector. Note the timeframe of three to five years – I suspect this will be on the shorter end of that timeframe or even less … Continue reading UK government, RBS, and Lloyds begin the bad asset removal process