This is how City analysts reacted to Barclays’ results February 23, 2017 Another day, another big bank reports its numbers – this time, it's Barclays' turn. Shares in the the lender went up by more than three per cent after it reported pre-tax profits almost tripled last year, growing by a massive 182 per cent to hit £3.2bn – but the bank still missed expectations. Here's how [...]
Leeds Building Society’s profits headed north for the fourth year in a row, but boss warns low interest rates and Brexit could make the road ahead tough February 22, 2017 Leeds Building Society announced today its annual profits before tax had risen for the fourth year in a row, but the lender's boss warned super low interest rates could lead to tough times ahead. The figures The building society revealed profits before tax of £116.6m, up 7.5 per cent compared with £108.5m the year before. However, [...]
London home buyers down three per cent in fourth quarter of 2016, CML says February 22, 2017 The number of home buyers in London dropped to a four-year low last year, according to new data from the Council of Mortgage Lenders (CML). Home buyers in London borrowed £24.5bn for house purchase, down 0.4 per cent on 2015, and took out 75,800 loans, down seven per cent compared to the year before. The CML [...]
Analysts banking on Lloyds and Barclays to have steamed ahead during 2016, as other UK lenders struggle February 19, 2017 Analysts are predicting Lloyds Banking Group and Barclays will race ahead of the pack when the UK's big banks report their earnings this week. Lloyds, which will report its 2016 full-year figures on Wednesday, is forecast a statutory pre-tax profit of £4.4bn, more than double the £1.6bn it reported in 2015, when its earning potential [...]
Property Legal Q&A: I own a flat that has 87 years left to run on the lease. Should I extend the lease? February 18, 2017 A: A longer lease has the advantage of being both more mortgageable and more attractive in the market. A leasehold flat whose term has significantly reduced (say to below 50 years) is a wasting asset, and extending its lease term is essential to preserve the value. The Government in the recent Housing White Paper states [...]
Big five banks run up £100bn bill in bad loans and legal costs over the last five years February 16, 2017 The UK's big five banks, which report full-year results next week, have run up a bill of nearly £100bn over the last five years for a toxic mix of fines and bad loans according to a new analysis. However, the era of sour loans and megafines that dwarf the banks' dividend payouts could finally be [...]
Low interest rates knock Credit Agricole’s quarterly profits, but numbers beat expectations February 15, 2017 Credit Agricole became the latest European bank to report a slump in its profits this morning, as low interest rates continued to put pressure on its bottom line. The figures The French lender reported full-year net income of €3.5bn (£3bn), largely flat on the year before – although the fourth-quarter figure was €291m down 67 per cent from €882m. These [...]
Credit Suisse posts worse than expected losses with thousands more jobs to go in 2017 February 14, 2017 Credit Suisse's share price jumped over three per cent this morning despite posting greater than expected fourth quarter losses following its settlement with US authorities. The lender also revealed it plans to further reduce headcount in 2017, with 5,500 jobs set to go. Shares in the firm were trading at SFr15.20 at 8.30am this morning. The figures Fourth quarter [...]
As the Co-Op Bank goes on sale, is now the time to buy UK banks? February 14, 2017 It wasn't hard to spot the irony when Paul Flowers, chairman of the avowedly ethical Co-Operative Bank and a methodist minister, was arrested for drug possession in 2013. In the same year, the mutual Co-operative Group ceded control of the ailing lender to its bondholders, after a massive £1.5bn hole was discovered in its balance [...]
Co-operative Bank and Capita resolve differences after row over £325m contract February 13, 2017 The Co-operative Bank and Capita have resolved their differences after a public spat over alleged failings regarding a £325m servicing contract. The lender sold its mortgage servicing company, Western Mortgages Services (WMS), to Capita in November 2014 for £25m. The deal was followed by a 10-year contract for Capita to service the Co-operative Bank's mortgage book by [...]