| Videos | Channels | Search |
Are you ready for the banking revolution?
The British banking sector is going through something of a revolution, according to Bill Blain from Mint Partners in London. All five major UK banks reported a profit in the second half of 2013, but Bill says that doesn't tell the whole story.
Increasing regulation is causing major problems for British banks, especially when it comes to capital composition. Bill says that banks that have too much capital are considered to be even more dangerous than those which don't have enough because it tends to get them to go and invest in more riskier assets.
Then there are still doubts about the final size of the mis-selling of payment protection insurance in the UK and there are ongoing investigations into share dealings and capital raising initiatives.
Bill says there's real uncertainty about the future shape of the UK banking industry.
Many banks are starting to pull out of aspects of the market in which they're not entirely comfortable or where regulation is proving to be more problematic.
01:47 minutes
Tags: banking, banking capital, banking regulation, banking revolution, banking sector, barclays, bill, bill blain, blain, british banks, capital, future, future of banking, hsbc, lloyds, lloyds group, london, mint, mint partners, natwest, rbs, regulation, revolution, risk, risk assets, saxo, saxo bank, saxo tv, saxotv, standard chartered, tradingfloor.com, uk banking, uk banking future, uk banks, uncertainty