Name: SCMP
Telephone: +852-2680-8888

bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

helpersCheckIsPostiesArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

moreOnThisArticles

urlAlias

commentCount

sponsorType

authorLocations

authors

paywallTypes

corrections

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

socialHeadline

headline

flag

firstTopic

glossary

flattenTypeIds

publishedDate

additionalInfoBoxes

images

image

relatedLinks

relatedNewsletters

__typename

createdDate

sponsor

factSheets

series

knowledgeQuestion

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

copyrighted

customTimezone

liveContents

Reuters

Britain’s finance ministry has appointed investment bank Rothschild to advise on the potential break-up of part-nationalised Royal Bank of Scotland .
Finance Minister George Osborne said in June that Britain would examine whether to split the bank up, after acknowledging a sale of the government’s 81 per cent stake in the bank remained a long way off.
The Treasury said on Wednesday Rothschild would provide financial advice on the case for transferring RBS’s remaining toxic loans into a so-called “bad bank”. Slaughter & May will provide legal advice in the review, which is expected to be completed by the autumn.
Rothschild will receive 850,000 pounds (HK$10.0 million) for its advice, a source familiar with the matter said, a cost that could be picked up by RBS. Details of the contract will be published in the next three weeks.
RBS and Rothschild declined to comment.
The Treasury said more external advisors, including those specialising in asset valuation, would be appointed in coming weeks.
RBS, still lumbered with toxic loans from a boom-era property binge in the UK and Ireland and buffeted by its role in a global interest rate-fixing scandal, remains a thorn in the side of the government and the wider economy.
In his annual address to London’s financial elite, Osborne said RBS probably should have been split into a good bank and its soured assets hived off into a bad bank in 2008, when the lender was close to collapse.
Osborne also signaled the government’s intention to start selling shares in Lloyds Banking Group.


Five banks fined more than US$1 billion by EU for rigging multitrillion-dollar foreign exchange market: Barclays, RBS, Citigroup, JP Morgan and MUFG

UK police probe suspicious packages at Royal Bank of Scotland’s Edinburgh HQ and University of Glasgow

British banks urged to justify ‘staggering’ level of branch closures

Royal Bank of Scotland to pull out of Middle East and Africa

Royal Bank of Scotland

UK asks Rothschild to advise on possible RBS break-up

Britain is considering whether to split up Royal Bank of Scotland, which is now 81-per cent government owned. Photo: AFP

Britain to start sale of Lloyds soon, review RBS split

The government has largely ruled out a break-up of RBS. Photo: EPA

Business

Banking & Finance

Treasury says Rothschild will advise on case for transferring remaining RBS toxic loans into so-called “bad bank”
