Bank of England says top UK banks no longer “too big to fail”

Bank of England says top UK banks no longer “too big to fail”


BOE Governor Andrew Bailey has warned the Bank is walking a “narrow path” between growth and inflation.

Bloomberg | Bloomberg | Getty Images

The Bank of England said on Friday it was satisfied that Britain’s top banks could be shut down without putting at risk the stability of the financial system or disrupting customers, but it found shortcomings at three major lenders.

In its first public assessment of how failing lenders could be dismantled in a crisis without taxpayer handouts, the BoE said it had also identified “areas or further enhancement” for six firms.

The three banks found to have shortcomings were Lloyds, Standard Chartered and HSBC. All three banks said in separate statements on Friday they were improving their so-called resolution plans.

The BoE is aiming to stop banks from being “too big to fail,” potentially requiring taxpayers to bail them out as happened in the 2007-09 global financial crisis.

The other lenders included in the review were Barclays, NatWest, Nationwide, Santander UK and Virgin Money UK.

The Bank of England said it would repeat its assessment in 2024 and review progress made by the lenders every two years after that.



Source

6 advocates for Israeli hostages in Gaza injured in fire attack in Colorado
World

6 advocates for Israeli hostages in Gaza injured in fire attack in Colorado

An attack on marchers promoting awareness of Israeli hostages in Gaza is an act of terrorism that injured 6 people, federal authorities said Sunday evening in Boulder, Colorado. A suspect was arrested at the scene. Witnesses told authorities he had shouted “Free Palestine,” while using an incendiary device to throw flames at the demonstrators. The […]

Read More
Asia-Pacific markets trade mixed after Trump says he plans to double steel tariffs to 50%
World

Asia-Pacific markets trade mixed after Trump says he plans to double steel tariffs to 50%

People walking through the neon lit night streets of Sinchon in the heart of Seoul, South Korea’s vibrant capital city. Fotovoyager | E+ | Getty Images Asia-Pacific markets traded mixed after President Donald Trump told U.S. steelworkers late Friday that he will double tariffs on steel imports to 50%, effective from Wednesday. Japan’s benchmark Nikkei […]

Read More
Oil giant BP seeks buyers for one of its crown jewels as it looks to stave off a takeover
World

Oil giant BP seeks buyers for one of its crown jewels as it looks to stave off a takeover

Britain’s BP appears to be attracting a number of possible buyers for its Castrol lubricants business as the struggling oil giant seeks to fend off a prospective takeover . Energy companies including India’s Reliance Industries and Saudi Arabia’s oil behemoth Aramco , as well as private equity firms Apollo Global Management and Lone Star Funds, […]

Read More