“likely to add to bank costs impacting both customers and

RBS opposes internal firewalls

For the record, the statutory attributable loss was 528m in the three cheap moncler jackets mens months to March 31, compared with moncler sale a profit discount moncler jackets of 12m in the last quarter of cheap moncler jackets womens 2010 and cheap moncler jackets a 248m loss in the first quarter of 2010.

But, as is moncler outlet prices par for the course with big, complex universal banks, these numbers do almost as much to obscure as to enlighten.

They are, for example, heavily influenced by changes in the valuation of debt sold by Royal Bank of uk moncler sale Scotland to investors and of credit moncler usa insurance bought from taxpayers in the form of the Asset Protection Scheme.

There was a loss of not far off 1bn moncler womens jackets on these items. Now it’s moot whether it really enhances our understanding of Royal Bank moncler outlet online of Scotland’s performance that the value of these contracts which can’t be broken at a moment’s notice have moved against RBS.

More important, I think, is that operating profits of RBS’s retail and commercial operations are almost a fifth better than a year ago at 1.9bn, though a little bit lower than in the fourth quarter of 2010.

The trend at RBS’s global banking and markets business what most would call its investment banking arm was more volatile. Operating profits were 1.1bn in the latest period, double what was generated in the final quarter of 2010, but a third less than the bumper first three months of last year.

For the bank as a whole, the charge for debts going bad seems to be on an unambiguously declining trend, from 2.7bn in the first quarter of 2010, to 2.1bn in the final quarter of last year, and just under 2bn in the latest quarterly figures.

As for other important measures, RBS is succeeding in widening the gap between what it charges for credit and what it has to pay to borrow (good for shareholders, not always welcomed by customers) and overheads appear to be under control.

So there is cheap moncler sale progress towards re establishing RBS as moncler sale online thriving, growing business, which could prosper without the benefit of exceptional support from taxpayers although that progress goes by fits buy moncler jackets moncler uk outlet and starts rather than in one giant moncler outlet woodbury leap (witness, as with Lloyds, a big increase in losses on lending to the troubled Irish economy).

What will perhaps best moncler jackets spark some controversy is that the provision of credit to small businesses fell 7%. And, once again, RBS puts this down to a weakness of demand rather than a lack of any determination moncler sale outlet on its part to supply but that doesn’t enlighten on whether it’s the unattractive borrowing terms on offer that puts off some potential business borrowers.

Also RBS cheap moncler coats mens has gone on the record for the first time with its opposition to the proposal from the Independent Banking Commission that internal firewalls should be erected inside moncler online store giant banks such as RBS.

RBS says that the Independent Banking Commission’s recommendation that universal banks like it should erect internal firewalls, or should put their retail and investment banking operations into separate insulated subsidiaries, are “likely to add to bank costs impacting both customers and shareholders without the safety gains that the broader Basel process is delivering” (the Basel process is the global negotiations on strengthening banks).

It is also striking that RBS signals that it isn’t overjoyed at the unilateral decision made yesterday by Lloyds to chuck in the towel in the banks’ legal battle against the regulators’ judgement that they should make comprehensive restitution to those mis sold PPI loan insurance.

As I’ve mentioned before, if RBS follows Lloyds’s lead and offers a comprehensive PPI settlement, that would probably cost the bank a bit more than 1bn, about a third of the cost to moncler outlet sale Lloyds.

And if we’re in the business of comparing the two partly nationalised mega banks, Lloyds and RBS, both still look some way from being in a fit state to see taxpayers’ huge stakes privatised at a profit to all of us.

However if Lloyds entered the reporting season looking as though it was nearer to privatisation than RBS, their respective latest results probably show RBS inching forward a bit in that journey and Lloyds perhaps retreating slightly.

Comment number 1. the business that originates loans/debt) that is the goose that lays the golden moncler outlet eggs.

That’s why the’re not happy about internal firewalls, let alone legal separation of the retail and casino banking arms (ala Glass Steagall).

Complain about this comment (Comment number 1)

Comment number 2. At 10:48 6th May 2011, jmor wrote: Risky UK banks should, perhaps, be allowed to fail or be split so that components can fail?

“So there is progress towards re establishing RBS as thriving, growing business, which could prosper without the benefit of exceptional support from taxpayers”

The problem with this aim (or progress to the aim) is that it moncler outlet store is being undertaken to the detriment of societal values (assuming that we wish to remain under a system that allows failure, as a function of risk, rather than our current path towards a semi capitalist command economy).

I know people who are now making their business judgements based on the assumption that the MPC will never be able to get us off emergency https://www.cheapmoncler.com rates.

Complain about this comment (Comment number 2)

Comment number 3. At 11:12 6th May 2011, watriler wrote: Firewalls. “likely to add to bank costs impacting both customers and shareholders without the safety gains that the broader Basel process is delivering” Maybe but it would be a small price to pay IF it ensured there was not the calamity of 2007 9. A big if and the government could go a long way to uk moncler outlet ensuring stability and good governance and practice if it retained at least one of these two banks in public ownership. The government will still need to back up governance for the private banks with the law which would apply to directors.

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