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Punt on UK banks?

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Comments

  • inflationbuster
    inflationbuster Posts: 254 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    edited 26 March 2023 at 4:41PM
    NatWest, Lloyds, Barclays all doing share buy backs and due to pay a dividend.  I guess the question is if UK banks were stressed would they be paying shareholders directly/indirectly? 
  • wmb194
    wmb194 Posts: 6,063 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    edited 26 March 2023 at 5:19PM
    NatWest, Lloyds, Barclays all doing share buy backs and due to pay a dividend.  I guess the question is if UK banks were stressed would they be paying shareholders directly/indirectly? 
    No, and there is a precedent for this. In 2020 at the beginning of the panic around Covid the Bank asked banks and insurers* to stop. Of course they might also cut or suspend voluntarily.

    *Notably Legal & General refused, saying that the Bank was panicking unnecessarily.
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