Output in the UK’s construction industry grew unexpectedly slowly in January February 2, 2017 The pound fell off its highs this morning after figures revealed output in the UK's construction industry had grown unexpectedly slowly in January – suggesting the sector's tentative recovery is swiftly running out of steam. Markit's purchasing managers' index for the construction industry dropped to 52.2 in January, from 54.2 in December and against expectations of 53.8. Any figure [...]
Royal Bank of Scotland no closer to privatisation: US verdict key to providing clarity, say sources January 26, 2017 Uncertainty over the level of fines to be levied on Royal Bank of Scotland is blocking the pathway towards privatisation, despite news the state-back lender has upped its provisions for penalties by £3.1bn. RBS today revealed it had set aside more money to cover fines relating to the issuing and underwriting of US residential mortgage-backed securities (RMBS). [...]
Spiralling IT costs to hit TSB’s profit this year despite stellar 2016 January 26, 2017 High street bank TSB is expecting a challenging 2017 despite its annual pre-tax profits growing by 169 per cent to £182m last year. The bank, which was spun out of Lloyds in 2013, expects “significant reduction” in profits this year due to the cost of using its former parent's IT platform. "At the moment, we rent our [...]
Mortgage lending hit a nine-month high in December January 26, 2017 Mortgage approvals hit a nine-month high in December, and overall in 2016, gross mortgage lending increased 12 per cent. Figures from the British Bankers Association show that gross mortgage borrowing increased by 3.6 per cent year-on-year in December, reaching £12.6bn, with remortgaging approvals jumping 30 per cent to their highest level since October 2008. Read more: Restaurateur [...]
Royal Bank of Scotland has set aside another £3.1bn for US settlements January 26, 2017 Royal Bank of Scotland today confirmed that it has set aside a further £3.1bn to pay fines relating to the issuing and underwriting of US residential mortgage-backed securities (RMBS). However, shares in the group were up almost two per cent in early trading. The bank said this takes the total sum it has provided for [...]
City Moves for 25 January 2017 – who’s switching jobs? January 25, 2017 Today's City Moves cover legal eagles, a digital business aimed transforming financial services firms and specialist lender Aldermore. Seddons Susan Monty is joining law firm Seddons as commercial litigation partner. Susan specialises in the resolution of complex financial and regulatory disputes and joins from Simons Muirhead & Burton, where she headed up the financial crime, civil [...]
Property legal Q&A: What legal issues should I consider before I let a leasehold flat in a mansion block? January 23, 2017 Question: I own a leasehold flat in a mansion block and am considering letting it on a daily/weekly basis. What legal issues should I consider before doing so? Answer: The success of Airbnb and similar providers of short room/property rentals has increased significantly over the past few years, but there are several factors to consider [...]
Royal Bank of Scotland flogs £235m of investment grade shipping loans to Japanese bank January 20, 2017 Royal Bank of Scotland (RBS) has sold £235m of Greek shipping loans to Japanese firm Orix in an attempt to bolster the coffers of the majority state-owned bank. The sale is considerably smaller than the original $3bn deal to sell the whole of RBS' Greek shipping business to Orix, and a narrower portfolio compared with $600m of debt [...]
How to invest your bonus: If you’re not off to the McLaren dealership, topping up a pension makes good sense January 18, 2017 Industry experts have warned that bonus season in the Square Mile might not be so bumper this year. In December, research by Emolument.com indicated that just 40 per cent of bankers in mergers and acquisitions found their sweetener satisfactory. And this week, the market leader of PwC’s global financial services HR consulting practice has warned that [...]
Deutsche Bank agrees $7.2bn settlement with US Department of Justice over mortgage-backed securities January 17, 2017 Deutsche Bank has agreed to pay the US Department of Justice $7.2bn (£6bn) over misleading investors with sales of mortgage-backed securities in the run-up to the financial crisis. The bank agreed the settlement amount in principle in December, but it was only finalised today. Deutsche Bank will pay a civil penalty of $3.1bn and provide $4.1bn [...]