Home Business NewsBusiness Royal Bank of Scotland sees further losses of £468m in third quarter

Royal Bank of Scotland sees further losses of £468m in third quarter

28th Oct 16 10:35 am

Is RBS in more trouble?

Royal Bank of Scotland has seen more losses during the July-to-September months due to “legacy issues” overshadowing its performance.

The bank lost £468m during its third quarter.

During the financial crisis, the bank received a bail out of £45.5bn to help with ongoing problems throughout the company.

After the restructuring of costs and provision for litigation were excluded the bank made an adjusted quarterly profit of £1.3bn.

They said they will not be selling up to Williams & Glyn bank by the end of 2017.

The European Commission has ordered RBS to sell to Williams & Glyn as they don’t want the company to have too much power as the UKs largest lender to small business.

RBS has since missed an earlier deadline for the sale which was expected in November 2013.

The banks recent third-quarter loss compares badly with last year where they made a profit of £940m. This was helped by the sale of US bank Citizens.

RBS chief executive Ross McEwan told the BBC: “We’ve said that 2015 and 2016 would be noisy as we work through legacy issues and transform this bank for customers. These results reflect that noise.

“Our core business results were good, with a £1.3bn adjusted operating profit, our best quarter since 2014.

“The core business has now delivered on average over £1bn in adjusted operating profit for the last seven quarters.”

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