We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Debate House Prices
In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
RBS has lost all of the taxpayer bailout
Graham_Devon
Posts: 58,560 Forumite
But don't worry, they are offering bonuses of £567m to those who can find it...or lose more of it.... 
http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/10664372/RBS-has-lost-all-the-46bn-pumped-in-by-the-taxpayer.htmlRoyal Bank of Scotland has lost all the money invested in it by the taxpayer six years ago when the lender came close to collapse.
The bank has confirmed its total losses since its bailout have now drawn level with the £46bn pumped into it in 2008 in return for an 81pc stake.
RBS made a loss last year of £8.2bn, its sixth consecutive annual loss, taking its cumulative losses to £46bn.
The scale of the losses means that all the capital provided by the taxpayer has now been used up dealing with the toxic legacy assets on the bank's balance sheet.
Losses at the bank came after it took a £3.8bn bill for customer mis-selling compensation and a £4.8bn impairment charge against the continued run down of its bad loans.
Excluding these costs, RBS reported an operating loss for the year of £2.5bn, with profits from its retail and commercial business falling 4pc year-on-year to £4.1bn, while its markets division reported a 58pc fall compared to 2012 making a profit of £638m.
Despite, the loss RBS said it had put aside £576m to pay staff bonuses for 2013.
0
Comments
-
The new CEO was on R4 this morning. Rather unimpressive when pushed.0
-
Fraudulent benefit claimants living off the welfare state.0
-
To put this in perspective, Jobseekers allowance cost the tax payer £4.91bn in 2011-12. So we're paying out more to RBS than all the supposedly work-shy in the country.“The ideas of debtor and creditor as to what constitutes a good time never coincide.”
― P.G. Wodehouse, Love Among the Chickens0 -
Whilst unpalatable, it's an ongoing cost of stabilising the UK banking sector. RBS at one time was the world's largest bank and given the extent of the issues expecting a profit is probably unrealistic.
By most accounts Steven Hester (reportedly sacked by George Osborne) is credited with turning RBS around. If we accept that's the case it just shows the enormity of the job in hand.
Steven Hester has moved to RSA Insurance where a £200m account 'irregularity' has been discovered, the bad weather has hit them badly and there's a £700m rights issue on the cards - they'll start calling him Jonah soon.
Could've let them go bust but if Northern Rock & HBOS were considered to be vital to maintaining the banking system what should've happened to RBS - it's a difficult question to answer and that's with the benefit of a few years of hindsight.0 -
I remember when businesses failed if they were not viable...0
-
What was 'bailed out' by the UK taxpayers were RBS customer deposits.
That is, if RBS was truely allowed to go bankrupt, then the deposits (current a/cs, saving a/cs etc) would have been lost.EU tariff on agricultual product 12.2%
some dairy products 42.1% cloths 11.4%
EU Clinical Trials Directive stops medical advances0 -
The bailout went way beyond just guaranteeing customer deposits. Most were covered anyway.What was 'bailed out' by the UK taxpayers were RBS customer deposits.
That is, if RBS was truely allowed to go bankrupt, then the deposits (current a/cs, saving a/cs etc) would have been lost.0 -
The bailout went way beyond just guaranteeing customer deposits. Most were covered anyway.
what was the bail out used for?
in what way were most of the deposits covered anyway?EU tariff on agricultual product 12.2%
some dairy products 42.1% cloths 11.4%
EU Clinical Trials Directive stops medical advances0 -
What was 'bailed out' by the UK taxpayers were RBS customer deposits.
That is, if RBS was truely allowed to go bankrupt, then the deposits (current a/cs, saving a/cs etc) would have been lost.
Would it have been cheaper to secure the deposits alone @ £85K max for private investors?
A failed company (bank) couldn't be "sued" for all the negligent or reckless stuff it had done in the past that currently seems to have no end.
OT:- When was the last PPI policy sold? Surely we must be coming up against the Statute of Limitations cut off sometime soon?"If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.6K Banking & Borrowing
- 254.5K Reduce Debt & Boost Income
- 455.5K Spending & Discounts
- 247.5K Work, Benefits & Business
- 604.3K Mortgages, Homes & Bills
- 178.6K Life & Family
- 261.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards