Consumer Duty: High street banks prepare for major regulatory shakeup as clock ticks down May 31, 2023 Banks in the UK have just two months to prepare for the incoming Consumer Duty, with some prominent bankers suggesting the new regulatory standards will prompt widespread changes in the industry. The Financial Conduct Authority’s (FCA) flagship Consumer Duty, which will come into effect on 31 July, requires firms to deliver good outcomes for retail [...]
Falling value of commercial real estate likely to hit European banks, RBC warns May 31, 2023 The European banking sector could be at risk from the weakening outlook for commercial real estate, analysts have warned. In a note, Anke Reingen, analyst at Royal Bank of Canada, argued that European banks are “likely to take some hits from the worsening [CRE] sector outlook”. CRE has faced widespread problems in recent months as [...]
Monzo: Digital bank narrows losses as it chases fintech rivals toward profitability May 31, 2023 London-based challenger bank Monzo said it narrowed its losses last year and has now swung into the black as it scrambles after its rivals in the race to reach steady profitability.
People who get ‘poor’ bank rates should ‘shop around’, DWP sec Mel Stride says May 31, 2023 People who feel they are getting “very poor” interest on their savings should “shop around” and find a bank that will pay “a better rate”, the Work and Pensions Secretary has said. Mel Stride said some of the “stickiness” comes because there is “often inertia” and that it is “relatively easy to change and switch [...]
Goldman Sachs to make another round of job cuts as dealmaking slump continues – reports May 31, 2023 Goldman Sachs is considering another round of job cuts over the next few weeks as the drought in dealmaking continues to weigh on performance. According to Reuters, the layoffs – which would total not more than 250 – could include senior figures like partners and managing directors. The news was first reported by the Wall [...]
Proposals to relax rules for small banks in UK a ‘game-changer’ despite US regional banking crisis May 30, 2023 Experts were quick to praise proposals to relax rules on smaller domestic banks as the consultation on the so-called ‘strong and simple regime’ came to an end today. The proposals include simplifying disclosure and liquidity rules for domestically focused banks with less than £15bn in assets.. The rules, the Prudential Regulation Authority (PRA) said, aim [...]
Property fintech LendInvest sells £243m buy-to-let mortgage portfolio following financing deals May 30, 2023 London-listed property fintech LendInvest confirmed the sale of a £243m buy-to-let mortgage portfolio to digital bank Chetwood Financial. The portfolio includes mortgages originated between 1 March 2022 and 30 November 2022 during which time interest rate hikes reduced the profitability of the mortgages. LendInvest will take a £10.5m loss on the sale which will be [...]
Blockchain and Britcoin could bolster fight against ‘fraud epidemic’, experts argue May 29, 2023 The digital pound could be an important weapon in regulators’ fight against the rising tide of fraud, experts have argued. With the widespread scale of scams in the UK, Quant’s chief executive Gilbert Verdian said “we need a complete reset”. Quant builds technology for blockchains, including those underlying central bank digital currencies (CBDCs). According to [...]
Another fine mess: Credit Suisse faces £750m bill over former Georgia PM’s assets May 26, 2023 The embattled, scandal-hit and soon to cease to exist lender Credit Suisse announced this morning it will appeal a ruling in a Singapore court that it breached its duty to safeguard the assets of a former Georgian Prime Minister. The ruling, in a Singapore court, will see the bank forced to cough up $926m (£750m) [...]
How Wall Street is preparing for worst-case scenario debt default May 26, 2023 Anxiety is increasing in parts of Wall Street that rely on Treasury securities to function, with some traders starting to avoid U.S. government debt that comes due in June and others preparing to deal with securities at risk of default. U.S. President Joe Biden and top congressional Republican Kevin McCarthy are closing in on a deal that would raise [...]