View more on these topics

Regulation uncertainty makes banks a tough sell

UK Financial Investments says uncertainty over the future shape of financial regulation is making it more difficult for Government bank stakes to be sold.

The Government reform of financial regulation will split the FSA into two new regulators, the Prudential Regulation Authority and the Financial Conduct Authority.

The draft Financial Services Bill, which will deliver the change is about to go through Parliament, with the regulators expected to begin operating in early 2013.

In its annual report, published last week, the body overseeing the sale of the state owned banks says it will not start the re-privatisations until it has more clarity on future regulations.

UKFI chairman Sire David Cooksey says: “Our ability to commence a share sale programme of the Government’s investments in Lloyds Banking Group and Royal Banks of Scotland has been impacted by the ongoing uncertainty. We therefore await further clarity in relation to the work of the Independent Commission on Banking and other regulatory changes before we will be able to recommend the start of the process of selling the shareholdings.”

The ICB is set to report in September. In its interim report, published in April, it proposed ringfencing retail banks and making them holder higher levels of capital. In June, UKFI recommended that Northern Rock should be sold.

Recommended

Collective bargaining

It is easy to pick holes in the claim that collective defined contribution is the solution to the nation’s pension crisis. The fact that the idea keeps coming back shows it must have something to bring to the table. You might have thought the DWP’s rejection of collective DC schemes a year and a half […]

FMG unveils Rising 6 multi-manager

FMG Investments is planning to launch a “Rising 6” fund investing in Africa, Brazil, China, India, the Middle East and North Africa (Mena) and Russia. A specialist in emerging markets, FMG uses a multi-manager approach to spread the risk of its investments. The Rising 6 fund follows the launch of the Rising 3 fund, which […]

Aussie fund manager buys JO Hambro for £209m

Australian fun manager BT Investment Management is to acquire JO Hambro Capital Management Group’s core investment management business for £209m. BTIM will acquire £7.1 billion of assets under management in actively managed funds and segregated mandates. The deal will also include a 9.9 per cent interest in JOHCM’s private client business. The transaction is likely […]

Kensington doubles support service teams

Kensington has doubled its operations and underwriting teams in the last six months to bolster the service it offers intermediaries. It had six underwriters and 12 support operations staff six months ago and the numbers have now increased to 12 and 24 respectively. The lender, which this week raised its maximum loan to value to […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com