Santander considering UK flotation

Santander is reportedly considering a flotation of its operations in the UK to raise money to fund the Spanish bank’s expansion plans.

Sources have told the Financial Times that Santander started discussing a possible flotation following an initial public offering of its Brazilian subsidiary in October.

The newspaper says that a partial sale of its UK operations, which include the recently rebranded Abbey business and Bradford & Bingley branches, would be one way of raising funds and would make up for the weak Spanish market.

Santander, which also owns Alliance & Leicester, is said to be keen to raise enough funds to expand in the UK, which the banking group has identified as a core growth market.