View more on these topics

Govt to net £2.1bn through RBS share sell-off

The Government has announced plans to sell 5.2 per cent of its holding in RBS to institutional investors.

The sale will take place through UK Financial Investments, which holds a 78.3 per cent stake in the bank.

The Government has recruited Citigroup, Goldman Sachs, Morgan Stanley and UBS to act as bookrunners for the sale, with shares offered at 330p per share.

The bank was bailed out in 2008 and 2009, with the Government buying shares at almost 500p.

The £2.1bn raised will be used to pay down the national debt.

Chancellor George Osborne says: “This is an important first step in returning the bank to private ownership, which is the right thing to do for the taxpayer and for British businesses: it will promote financial stability, lead to a more competitive banking sector, and support the interests of the wider economy.

“Now is the time for RBS to rebuild itself as a commercial bank, no longer reliant on the state, but serving the working people of Britain.

“I wasn’t the Chancellor who bailed out RBS; but I am the Chancellor now responsible for doing the right thing for the British economy. So while the easiest thing to do would be to duck the difficult decisions and leave RBS in state hands; the right thing to do for the economy and for taxpayers is to start selling off our stake. So today that’s what we’re doing.”

The announcement comes after the Government confirmed that it has raised almost £14bn from disposals of its holding in Lloyds Bank.



Zurich eyes Openwork stake sale

Zurich is considering selling its 25 per cent stake in advice network Openwork, Mortgage Strategy’s sister title Money Marketing reports. The insurer has appointed investment banking advisory firm Evercore to explore exit opportunities as senior management look to rid the company of any liability risk associated with the business. Sources say the move has been […]

PRA board gains two big players

The Bank of England has recruited two financial services heavyweights to the board of the Prudential Regulation Authority. Former Clydesdale & Yorkshire Banks chief executive David Thorburn and outgoing Scottish Widows deputy chairman Norval Bryson will join the board from 1 September. Thorburn was previously chairman of CBI Scotland and president of the Chartered Institute […]


News and expert analysis straight to your inbox

Sign up
  • Post a comment
  • Steven Balmer 4th August 2015 at 12:34 pm

    Writing off a billion in additional debt for our children to repay so Tory peers and pals can continue in the same rip off banking systems is not good politics. Why has the share holders of RBS not had to cover this debt when they benefited from profits? Why has those accountable not been forced to repay remunerations taken in greed? The corruption and social injustice in this country is a disgrace and such Tory policies ignore the fact they are still running up debts to this day at the same time regulators and bankers are still taking ridiculous incomes, shame on all of you!


Why register with Mortgage Strategy?

Mortgage Strategy continues to be the market-leading B2B mortgage publication in the UK, and provides trusted, independent insight with the aim of helping, promoting and analysing the latest developments for mortgage professionals.

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

Mortgage Strategy Events
Be the first to hear about our industry leading conferences, awards, webinars and more.

Research and insight
Take part in and see the results of Mortgage Strategy'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