Bank Troubles

Struck Down by Brexit Blues

RBS-Reuters
RBS isn't the only bank suffering the consequences of Brexit.
  • Why it matters

    Why it matters

    The uncertainty caused by Brexit threatens to scupper planned banking deals not just in Britain but across Europe.

  • Facts

    Facts

    • The British government’s planned reduction in its holding in Royal Bank of Scotland by 2020 will be postponed because Brexit hit the bank’s share price.
    • Slovenia this week postponed investment road shows for the sale of its largest bank, Nova Ljubljanska Banka, citing the market impact of Brexit.
    • Deutsche Bank’s planned sale of its Postbank unit has also become more difficult in the wake of the referendum, and Deutsche may have to write down Postbank’s value even further, analysts said.
  • Audio

    Audio

  • Pdf

George Osborne promised British voters that the government would reduce its stake in the bailed-out Royal Bank of Scotland (RBS) to 25 percent by the end of the current parliament in 2020. But like so many promises made by British politicians, this one by the country’s finance minister has been blown away by the cold winds of Brexit.

“This will be quite a setback, let’s be honest,” said RBS Chief Executive Ross McEwan on Tuesday. He added that the sale would have to be pushed back by a couple of years at least.

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