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£24Billion Loss Looming In Lloyds And Rbs Sell-Off:

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http://www.dailymail.co.uk/news/article-2318632/24billion-loss-looming-Lloyds-RBS-sell-Osborne-prepares-offload-Governments-share-order-bring-biggest-privatisation-British-history.html

'George Osborne is prepared to sell the Government’s shares in Royal Bank of Scotland and Lloyds at a loss in order to bring about the biggest privatisation in British history.

Senior Tory sources yesterday said that Labour had spent too much money on the 2008 bailouts, which injected £66billion of public funds into the failing banks.

They spoke after fresh reports the Chancellor is gearing up to sell an 82 per cent shareholding in RBS and a 39 per cent stake in Lloyds.

The Daily Mail first revealed in February that Mr Osborne wants to offload the shares before the 2015 election – and that he is examining

this'll be a first,privatise at a nominal loss.

I thought they were going to distribute shares to the public (or peasants ?)

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It's win-win for the tories it they do it pre-election.

Shares lose money - blame labour for losing £24bn.

Free shares for the public... free money, vote for us!

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this'll be a first,privatise at a nominal loss.

Genius. Start selling the banks just as they are starting to turn a profit and taxpayers potentially could get some yield on their investment

Hope Osborne is watching those local election results.

The Tories have only about 2 years looting opportunities left .

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Genius. Start selling the banks just as they are starting to turn a profit and taxpayers potentially could get some yield on their investment

Hope Osborne is watching those local election results.

The Tories have only about 2 years looting opportunities left .

They've already spent a trillion quid holding up house prices, with another trillion quid to come. £24bn is barely a rounding error.

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Osborne's trashed in elections

Michael Green puts out a privatisation story to still the beating nutter hearts

sad really

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Dramatic headline nonsense.

They'll sell their first tranche at a loss, prove to the markets that they are serious about returning it to private hands, approve the revival of a dividend and slowly drive the share price upwards selling more tranches on the way.

Intelligent strategy in a difficult market if you ask me.

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It's win-win for the tories it they do it pre-election.

Shares lose money - blame labour for losing £24bn.

Free shares for the public... free money, vote for us!

Dont know why but Just reminds me of this

Edited by THE BALD MAN

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Dramatic headline nonsense.

They'll sell their first tranche at a loss, prove to the markets that they are serious about returning it to private hands, approve the revival of a dividend and slowly drive the share price upwards selling more tranches on the way.

Intelligent strategy in a difficult market if you ask me.

You are Gordon Brown and I claim my five pounds.

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What I know about banking can be written on the back of a postage stamp.

But I did notice an item that RBS is a 'hold' rather than a 'buy' at the moment.

Never mind the 24m, the BOE seems to think it has still understimated its write-down. is under-provisioned for legal claims against its naughty doings and will need an extra 9bn to meet capital requirements at the end of this year.

Who is going fund that lot?

Bank of England Press Releases, Mar 27 2013. The primary finding was that the country’s largest banking institutions were overstating regulatory capital by as much as £52 billion ($79 billion), as the reserves for loan losses and other fines/charges were grossly insufficient.

The BOE believes the banks may be forced to write-off high-risk loans worth about £30 billion ($45 billion) more than the provisions they have currently set aside.

BOE also believes that the banks are underestimating their legal liabilities from mis-selling products like interest-rate derivatives and payment protection insurances (PPIs) to the tune of £10 billion ($15 billion).

RBS is facing two major issues that are causing a continuous decline in its financial performance. These are lawsuits due to its inappropriate actions, and the high costs of its operations.

One of the reasons behind the company's high costs has been revealed as the excessively high salaries paid to executives. The bank pays a significantly high amount of salaries to chosen executives and those amounts impair performance.

Barclays is not held by government authorities and its financial performance is relatively better than that of RBS. For the year 2012, Barclays declared a net loss margin of 0.95%, which is significantly lower than RBS's net loss margin of 31.4% for the same period.

BOE estimates that banks in the U.K. will need to raise between £12-13 billion ($18-20 billion) in fresh capital to ensure a Basel III capital ratio of 7% at the end of 2013 after adjusting for the over-statements. And about half of this figure has to be raised by RBS.

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Dramatic headline nonsense.

They'll sell their first tranche at a loss, prove to the markets that they are serious about returning it to private hands, approve the revival of a dividend and slowly drive the share price upwards selling more tranches on the way.

Intelligent strategy in a difficult market if you ask me.

You may be right.

I thought this co-op scare may delay the rbs selloff/giveaway. But since the govt can simply help out with capital injections (from the magic money mountain) I suppose it's little more than a minor hiccup.

The govt. is hoping for a "feel good factor" in the next 18 months, fed by house price rises (unsustainable we all know, but the herds will want it to be true) and a present of "cheap" shares from the RBS arrangement.

Hate to say this, but they may just pull it off..

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Genius. Start selling the banks just as they are starting to turn a profit and taxpayers potentially could get some yield on their investment

Hope Osborne is watching those local election results.

The Tories have only about 2 years looting opportunities left .

If it the taxpayers' investment why not give the shares directly to taxpayers? Cut out the wasteful middleman.

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If it the taxpayers' investment why not give the shares directly to taxpayers? Cut out the wasteful middleman.

The politicians are in politics to enrich the middlemen. In fact that's who they are.

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If it the taxpayers' investment why not give the shares directly to taxpayers? Cut out the wasteful middleman.

because taxpayers own nothing....they simply pay for Government, which as a legal entity, DOES own things.

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  • 239 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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