Moody is issues negative credit rating for UK banks
Moody’s Investors Service said on its prospects for the direction of the lending conditions of the banking system in Britain is negative.
Credit rating agency, therefore, likely slowing of economic growth with high indebtedness of consumers in the UK, this can lead to debt and to increase the profit margin for small banks.
In addition, Moody expect banks continue to impact the credit crisis in 2008.
The company says that it is in a position to assess accuracy of the depreciation already taken some of the largest banks in the UK, or to predict how much damage can happen in the future.
The report is particularly bad news for the banks’ capital by a capital increase.
Royal Bank of Scotland (RBS), which has increased from 12 billion budget increase is not his case that at least eight years yesterday, the doubts that existing investors participate in the acquisition of money.
Subscribers can not leave, Goldman Sachs, UBS and Merrill Lynch (investment banks that have signed the object) in a difficult situation .
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http://www.bankingtimes.co.uk/30052008-moodys-issues-negative-credit-rating-for-uk-banks/
