Coronavirus: UK bank shares take a hit after dividend suspension April 1, 2020 Investors have pummelled UK banks today, sending the FTSE 350 banks index tumbling after lenders suspended dividend payments amid the coronavirus crisis. Barclays, HSBC, Lloyds, Royal Bank of Scotland, Standard Chartered and Santander all halted payouts yesterday following pressure from the Bank of England’s Prudential Regulation Authority (PRA). Traders have today responded by selling the [...]
Coronavirus: Barclays, Lloyds, HSBC and RBS suspend dividends March 31, 2020 Barclays, the Royal Bank of Scotland, HSBC and Lloyds Banking Group said tonight they are suspending dividend payments this year because of the coronavirus pandemic. The banks said they had taken the decision after a request from the Bank of England’s Prudential Regulation Authority (PRA). The PRA also said it expected the banks to suspend [...]
ECB financial supervisor calls on banks to cut bonuses due to coronavirus March 31, 2020 Banks should exercise “extreme moderation” on bonus payments this year, according to Europe’s top financial supervisor, who also threatened to intervene if lenders fail to show restraint. Andrea Enria, chair of the European Central Bank supervisory board, said he hoped banks would limit payouts and avoid the need for the ECB to take action, but [...]
Nationwide pulls sales of mortgages for small deposit holders March 31, 2020 Nationwide is temporarily pulling its mortgage offering for low-deposit borrowers including first-time buyers as Britain’s biggest building society grapples with the impact of coronavirus on the housing market. Nationwide said that from Tuesday it would withdraw all fixed-rate and tracker mortgages above 75% loan-to-value (LTV) from sale for remortgage, first-time buyers, and new house purchases. [...]
Coronavirus: Monzo boss won’t take salary for year as staff offered furlough March 31, 2020 The chief executive of Monzo will not take a salary for a year as the digital challenger bank introduces pay cuts for executives and offers staff voluntary furlough amid the coronavirus crisis. In an internal memo, Tom Blomfield told Monzo’s 1,500 employees he would forgo a salary for the next 12 months, with the lender’s [...]
Rothschild warns of financial hit from coronavirus and halts dividend March 31, 2020 Historic bank Rothschild & Co has said it won’t propose a dividend at its 2019 annual general meeting, and warned that the coronavirus pandemic will hit its results as the virus batters businesses and markets across the world. Rothschild said it would pay out the planned €0.85 per share for 2019 “when appropriate”, but became [...]
What impact is Covid-19 having on global economies and markets? March 31, 2020 | City Talk The impact of the new coronavirus (Covid-19) pandemic continues to play out. The extent to which the virus will spread, both between and within countries remains unclear, and the duration and impact are highly uncertain. Sadly, the human impact continues to grow, and the virus has now claimed the lives of over 22,000 people, as [...]
Coronavirus: Ratings agencies see demand surge as firms try for BoE cash March 31, 2020 Ratings agencies have reported a surge in demand from UK companies as firms try to secure credit ratings that would let them access the Bank of England’s coronavirus bond-buying scheme. However, a significant number of firms expressing interest do not qualify for the money, agencies said. S&P Global Ratings said it has received around 30 [...]
Standard Chartered to freeze staff and cut bonuses to weather crisis March 30, 2020 Ftse 100 bank Standard Chartered has told staff it is freezing hiring for two months and said it is likely to cut bonuses, as it grapples with the fallout from the coronavirus pandemic. The Asia and Africa-focused bank said it would also re-prioritise discretionary investment for the time being, the company said in a memo [...]
Co-ordinated stimulus package recognises the critical role of banking to support the economy March 30, 2020 | City Talk A consistent message from financial regulators post 2008 was that the next financial crisis would look different. Few would have predicted a global health pandemic, coupled with an oil price war, would dramatically curtail economic activity. Yet while banking was not the cause of this crisis, regulators, politicians and the industry itself have quickly moved [...]