Happening today: All you need to know as the Bank of England set to raise rates again June 22, 2023 The Bank of England is poised to raise interest rates for the 13th time in a row after disappointing inflation figures showed price rises have not eased. The UK’s Consumer Prices Index (CPI) was unchanged in May at a rate of 8.7 per cent , according to the Office for National Statistics. It came in [...]
Deutsche Bank’s Numis acquisition a step closer to completion following AGM June 21, 2023 Numis shareholders waved through Deutsche Bank’s takeover offer in its annual general meeting today. The vote passed through the court meeting with nearly 98 per cent support and secured the approval of over 99.9 per cent of shareholders at the AGM. The scheme empowers the board to take all necessary actions to complete the deal. [...]
Shadow banks need ‘increased resilience’ to avoid financial stability concerns, Bank of England warns June 21, 2023 The Bank of England’s Lee Foulger warned there needed to be “increased levels of resilience” in the shadow bank space to avoid risks to financial stability. With increased regulation of the traditional financial sector since the financial crisis, Foulger, a director, financial stability, strategy and risk. said “it is no surprise that over that time [...]
Holding top execs to account ‘critical’ to maintaining robust regulation, Bank of England says June 21, 2023 Holding top banking executives to account is a “critical” part of the regulatory regime, a Bank of England official said today, as the central bank consults on the largest changes to its enforcement policies in a decade. The Bank’s head of enforcement and litigation Oliver Dearie said “the Bank continues to consider individual accountability to [...]
Revealed: The London constituencies that will be worst hit by mortgage rate rises June 21, 2023 Mortgage holders in London and the Southeast are set to be the worst hit by the “crippling” mortgage rate rises on the horizon, new data shows. The top twenty areas of the country set to see the highest increase in their mortgage repayments increase are concentrated around the capital and the commuter belt, according to [...]
Nationwide bucks trend as building society promises to keep all its branches open until 2026 June 21, 2023 Nationwide has extended its promise to keep all of its physical branches open, as it continues to buck the trend among high street banks. The UK’s largest building society had already committed to maintain all 605 of its physical branches until 2024, but today it extended that commitment until 2026. Branches can still be closed [...]
UK banks leading European counterparts in tech readiness, new research reveals June 21, 2023 UK banks are leading against European rivals in their preparation for new technologies but still have much further to go to secure global leadership, new research shows. A new study from IT and consultancy firm Accenture – shared exclusively with City A.M. – shows that around a third of UK bank board members have technology [...]
LDI funds withstanding pressure in gilt market as BoE turns attention to shadow banks June 20, 2023 Liability driven investment funds (LDIs) have maintained “high levels of resilience” despite recent volatility in the gilt market, the Bank of England’s Jonathan Hall said today. Hall, an external member of the Bank’s Financial Policy Committee (FPC) said that recent moves in gilt yields had been “significant” as investors reassessed the likelihood of further rate [...]
Why arrears will tick up but banks will not be threatened by rising mortgage costs June 20, 2023 Arrears will tick up as interest rates rise but banks will not have to deal with a major credit event, experts at ratings agencies told City AM. Mortgage rates have spiralled in recent weeks as a result of stubbornly high inflation, meaning consumers will have to pay thousands of pounds a month more for their [...]
UBS set to pay huge fines over Credit Suisse’s Archegos failings June 20, 2023 UBS is reportedly to set to pay out hundreds of millions of dollars in fines over Credit Suisse’s failings linked to the collapsed hedge fund Archegos Capital. Credit Suisse was one of the banks hardest hit by the collapse of Archegos, with the bank facing losses of around $5.5bn. In contrast, UBS faced a $861m [...]