RBS confirms rights issue may be imminent

Royal Bank of Scotland has this morning confirmed it is considering conducting a rights issue.

Yesterday the bank was given approval for a £10bn rights issue by the Bank of England.

The bank says it will make an announcement in due course but it is thought that the move will be made to replenish its dwindling credit reserve to meet the average level across the European market.

Reports this weekend suggest RBS will be announcing £6bn in writedowns and that it will likely sell its £3.5bn share of leasing company Angel Trains.