European banking correspondent
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Jul 6, 2015

Barclays spends $150 million on U.S. ‘living will,’ sees costs rising

LONDON (Reuters) – British bank Barclays Plc (BARC.L: Quote, Profile, Research, Stock Buzz) said it has spent more than $150 million to develop a resolution plan for its U.S. operations that would allow it to be wound down if it hits trouble, and warned of further extra compliance costs ahead.

In a submission to the U.S. Federal Reserve outlining plans for its so-called “living will” released on Monday, Barclays said it expects to incur further costs from the need to set up an intermediate holding company for its U.S. business by July 2016.

Jul 6, 2015

Barclays spends $150 mln on U.S. “living will”, sees costs rising

LONDON, July 6 (Reuters) – British bank Barclays Plc
said it has spent more than $150 million to develop a
resolution plan for its U.S. operations that would allow it to
be wound down if it hits trouble, and warned of further extra
compliance costs ahead.

In a submission to the U.S. Federal Reserve outlining plans
for its so-called “living will” released on Monday, Barclays
said it expects to incur further costs from the need to set up
an intermediate holding company for its U.S. business by July
2016.

Jul 3, 2015

Barclays eyes narrow new UK bank as rivals take different path

LONDON, July 3 (Reuters) – Barclays is planning to
set up a smaller separate UK bank than rivals as British lenders
finalise how to restructure to meet new rules designed to give
greater protection to savers and taxpayers.

Britain’s big lenders must set up so-called ‘ring-fenced
banks’ by 2019. The new businesses must include UK retail
banking and small business customers and most simple activities.
Big global corporate customers and most investment banking
products have to sit outside in a separate entity.

Jun 29, 2015

Greece may find it is easier to close banks than re-open them

ATHENS/LONDON (Reuters) – Capital controls imposed in Greece are likely to stay in place for months and its banks may need billions of euros of new capital or even face nationalization under a lengthy financial rebuilding, industry sources said.

The decision to close the banks and impose capital controls from Monday was difficult, yet re-opening them and finding a way to lift the measures could prove even tougher, experts warned.

Jun 25, 2015

Banks propose 90 ‘easy’ fixes as regulators struggle to assess risk

LONDON, June 25 (Reuters) – A leading banking lobby group
has submitted 90 proposals to regulators to improve consistency
in how banks assess the riskiness of their loans, which is
building into one of the biggest concerns among industry
supervisors.

So-called ‘risk weightings’ are applied to banks’ assets,
which should reflect how risky the asset is and determine how
much capital must be held against it.

Jun 25, 2015

Europe’s bankers fear Brexit more than Grexit

FRANKFURT, June 25 (Reuters) – The possibility of Britain
leaving the European Union sometime in the future worries
European bankers a great deal more than the prospect that Greece
might be on its way out soon.

Britain’s inclusion in the EU is more important to the
bloc’s long-term future than whatever happens to Greece,
bankers attending a financial industry conference said, even as
last-ditch talks aimed at keeping Greece solvent and avoiding a
possible exit from the euro zone rumble on in Brussels.

Jun 23, 2015

Britain’s Co-op Bank braces for fine over past problems

LONDON, June 23 (Reuters) – The Co-operative Bank could be
fined by financial regulators next month, the British lender
said on Tuesday, in settlement of an 18-month investigation of
actions by former management and its 2009 merger with Britannia
Building Society.

The bank is trying to recover from its near-collapse in
2013, when it was hit by a yawning hole in its finances, a drugs
scandal, an exodus of top executives and losses from bad
commercial real estate loans. It needed to raise new capital,
which has left it majority owned by bondholders including U.S.
hedge funds.

Jun 17, 2015

RBS customers face wait for payments after another IT failure

LONDON, June 17 (Reuters) – Royal Bank of Scotland
warned some customers will have to wait until Saturday to
receive payments after 600,000 transactions were hit by another
problem with its IT systems.

The state-backed British lender said the cause of the
problem had been identified and it was working to resolve missed
wages, benefits, bills and other payments for customers at its
RBS, NatWest, Coutts and Ulster Bank brands in Britain and
Ireland.

Jun 16, 2015

Market share decline could leave Europe with no investment bank champion

LONDON, June 16 (Reuters) – Retrenching and cost-cutting
European investment banks are on course to lose market share to
their bigger U.S. rivals for the 10th straight year in 2015, a
startling retreat that leaves the continent in danger of having
no global champion.

The top dozen European investment banks have taken just 20.7
percent of global investment banking fees so far this year, down
almost a third from a peak of 29 percent in 2003, according to
Thomson Reuters data. Their share has fallen every year since
2005.

Jun 12, 2015

Online wealth advisers set for client influx: Nutmeg CEO

LONDON (Reuters) – The flow of clients moving to online wealth management services from traditional banks could increase sharply as wealthy clients focus more on low fees and warm to online advice, the co-founder and CEO of British start-up Nutmeg said.

“We want you to feel like you’re walking into Goldman Sachs with 10 million, even if you’re logging on to Nutmeg with 1,000 pounds to invest,” Nick Hungerford said at the Reuters Wealth Management Summit.

    • About Steve

      "Responsible for overseeing coverage of the European bank sector and direct coverage of the international UK-based banks, based in London. Have been in current role for three years, and for previous three years was UK banking reporter. Have over 15 years experience as a financial newswire journalist in London and New York."
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