RBS narrows losses

Royal Bank of Scotland (RBS) has reported a loss of £1.13bn for the full-year 2010, due in part to a £1.1bn tax charge.

The result was an improvement on the £3.6bn loss the bank made in 2009, and when it plunged £24.3bn into the red in 2008.

Money put aside for bad loans fell by a third compared with a year earlier to £9.3bn.

Losses on loans to Ireland were one of the lender's main challenges over the year.