Santander records biggest loss ever as pandemic bites and profits plunge February 3, 2021 Santander recorded its first ever annual loss today, as €1.14bn restructuring costs overshadowed positive core banking results in the fourth quarter. Net profit plunged 90 per cent to €277m in the quarter versus the same period a year earlier, below the €411m average forecast from analysts polled by Reuters. The annual net loss was €8.77bn [...]
Paykey launches trading functionality to compete with ‘wild west’ app market February 2, 2021 The Gamestop frenzy last week not only showed the power of retail investors but the popularity and risks associated with free trading apps. Robinhood, which promises no user fees, faced backlash from investors after sharp swings in the value of stocks meant it was forced to restrict trading. It has sparked debate over whether these [...]
Metro Bank snaps up £384m RateSetter portfolio of loans February 2, 2021 Metro Bank has today announced the purchase of £384m in loans to increase its exposure to unsecured personal lending. The purchase has come from peer-to-peer investors through the RateSetter platform. Commenting on the acquisition, Daniel Frumkin, Metro Bank’s CEO, said: “The addition of this portfolio to our loan book is a further step towards growing our [...]
George Osborne takes up full-time banking role at Robey Warshaw February 1, 2021 George Osborne is joining boutique investment bank Robey Warshaw, as he shuns a portfolio of wide-ranging roles to become a full-time mergers and acquisitions banker. The former chancellor will step down from his current roles as editor-in-chief of the Evening Standard and a senior advisor to Blackrock at the end of March, taking up a [...]
TSB reports losses as pandemic prompts lending surge February 1, 2021 TSB’s full-year financial performance was dented by the coronavirus pandemic as lending rose sharply, the bank announced today. Statutory loss before tax was £204.6m in 2020, compared to a £46m profit in 2019. The losses largely reflects the adoption of government measures in response to Covid-19, as well as unemployment rates and reduced customer spending. [...]
City watchdog to crack down on ‘buy now pay later’ firms February 1, 2021 The City watchdog is preparing to move in on so-called buy now pay later firms such as Klarna following a review of the unsecured credit market. The Financial Conduct Authority (FCA) will this morning publish a report by interim chief executive Chris Woolard recommending that the sector be brought under the regulator’s remit, Sky News [...]
US investment giant Fidelity in talks over £100m Starling Bank stake January 29, 2021 US finance giant Fidelity is said to be in discussions over taking a £100m stake in Starling Bank amid surging interest in digital lenders. Fidelity Management & Research (FMR), which manages trillions of dollars in assets, is in advanced talks to lead a fresh round of funding worth £200m, Sky News reported. The US investment [...]
Paragon Banking Group reports fall in first quarter lending January 29, 2021 Challenger bank Paragon Banking Group has reported an “encouraging start to the year” despite a fall in lending volumes. “We have made an encouraging start to the year. Good momentum in new business flows has led to strong growth in the pipelines, particularly for buy-to-let and development finance,” chief executive Nigel Terrington said. In the [...]
UK banks urged to scrap branch closures during lockdown January 28, 2021 Britain’s Financial Conduct Authority has today told banks to rethink moves to close branches during lockdown. The FCA said banks should consider the impact of national restrictions on their ability to comply with regulatory guidance on closing branches. The authority released a statement today urging banks to consult any customers that are affected directly. The [...]
Ex-Barclays GC takes bank to court January 27, 2021 Judith Shepherd, a former general counsel at Barclays Capital, has filed a claim against her ex-employer in the High Court. Fox Williams, acting on behalf of Shepherd, lodged a claim in the Commercial Court on 22 January against Barclays PLC, Barclays Bank and Barclays Execution Services, The Lawyer reported. Law firm Simmons & Simmons has [...]