Why a Bank of England interest rate cut looks increasingly likely January 15, 2020 Just a week ago, investors rated the chances that the Bank of England would cut interest rates at about five per cent. Today, they think there is a 60 per cent chance that the main rate will be lowered from 0.75 per cent, according to CME Group’s tool which analyses futures prices. So what has [...]
IBM takes control of TSB’s IT after digital meltdown January 15, 2020 TSB today handed control of its IT systems to tech giant IBM in a deal to overhaul its banking platforms as the bank attempts to escape the shadow of a disastrous digital meltdown. Spanish bank Banco Sabadell, which has owned TSB since 2015, hired IBM for €1bn (£856m), according to Reuters. Read more: TSB Bank [...]
Bank of America profit slips but beats expectations January 15, 2020 Bank of America’s (BoA) profit fell four per cent in today’s fourth quarter results, with the firm announcing $7bn (£5.4bn) in net income, down from $7.3bn in the same quarter last year. The small decline is due to lower interest rates squeezing the US lender’s ability to earn more from its loans. Read more: JPMorgan [...]
Provident Financial shares climb after credit card business beats expectations January 15, 2020 Shares Provident Financial rose today after the subprime lender said its credit card business, Vanquis Bank, performed “modestly above expectations” in the fourth quarter. Provident Financial led the FTSE 250 index risers on Wednesday, with shares up as much as 5.85 per cent to 446.6p by lunchtime. Read more: Non-Standard Finance abandons offer for Provident [...]
Fintech can be the silver bullet to banking the UK’s unbanked January 15, 2020 Can new technology help the 1.23m people in the UK who don’t have a bank account? And could it improve the lives of the 10–12m who still struggle to access affordable loans? New research suggests that the answer to both those questions is yes. It is all thanks to London’s booming fintech sector — one [...]
Citigroup profit jumps 15 per cent in strong end to year January 14, 2020 Profit at Wall Street giant Citigroup beat expectations to post a 15 per cent rise in fourth-quarter profit, with solid growth in both its consumer and institutional banking arms. Citigroup shares had risen 2.9 per cent two hours into trading to $82.93 as the lender continued the strong start to US earnings season, which had [...]
Revolut valued at $5bn ahead of new funding round January 14, 2020 UK-based fintech Revolut is reportedly set to be valued at $5bn (£3.85bn) in an upcoming funding round. Investor Technology Crossover Ventures (TCV) is leading a funding round that is expected to close in January, according to documents seen by Financial News. The documents showed that investors had placed a pre-money valuation of $5bn on the [...]
JPMorgan Chase kicks off US earnings season with record annual profit January 14, 2020 JPMorgan Chase brought in a record annual profit in 2019, its fourth-quarter results showed today, outstripping analysts’ expectations as it kicked off the US earnings season in fine style. The US’s biggest bank was boosted by a marked increase in bond trading as the global economy was shaken by the trade war between Washington and [...]
UK development secretary launches Kenya’s first green bond January 13, 2020 The UK’s international development secretary Alok Sharma this morning launched east Africa’s first “green bond” on the Kenyan securities exchange – a product developed with the help of the City and British aid. The bond will help Acorn Housing raise local currency to build environmentally-friendly houses for students in Nairobi, Kenya’s capital. Read more: Mark [...]
Open banking ‘held back’ by lack of trust over data sharing January 13, 2020 Businesses have failed to reap the benefits of open banking due to a wariness about sharing financial data, a new report has revealed. Open banking, which enables sharing of financial information with other banks and finance providers, was introduced in the UK two years ago in a bid to boost consumers and small businesses. Read [...]