GBPUSD News by Allie Longford on 05:33 November 28, 2017 EST
Britain's largest banks can withstand a series of economic shocks, including a no-deal Brexit scneario, the Bank of England said Tuesday.
The results show that all major lenders passed for the first time ever though it is worth mentioning that 2 out of the 5 largest institutions namely RBS and HBOS are still mostly owned by the government after bailing them out from collapse almost a decade now. Hardly reassuring.
In its annual stress test of the sector, the central bank said the country's biggest lenders were "resilient" to a sequence of adverse scenarios, including simultaneous recessions at home and abroad and hefty falls in the price of assets.
The Bank of England added that fintech competition could cut banks' profits by £1 billion.