Reykjavik off the hook for Icesave's multibillion payout


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Reykjavik off the hook for Icesave’s multibillion payout

Reykjavik off the hook for Icesave’s multibillion payout
Iceland has avoided a £4.4 billion compensation bill from Britain after the Court of the European Free Trade Association ruled that it was not obliged to compensate 300,000 British savers who lost their money through Icesave internet savings accounts.
The Times, p. 29
Also appeared in : Independent i, p.41, The Daily Telegraph Business, p.1, The Guardian, p.20, Independent i, p.24-25, The Times, p.32

Home owners left in dark on green energy loan interest rates
Ministers have been accused of “pulling wool over people’s eyes” after a £3m advertising campaign for the flagship Green Deal loan scheme failed to mention its high interest rates. Posters and newspaper advertisements promoting the scheme did not disclose that the loans carry interest rates of up to 9.3 per cent per year. The Advertising Standards Authority said its code “does not explicitly state that interest rates have to be included” but it “does state clearly that ads shouldn’t be likely to mislead consumers by hiding information”.
The Daily Telegraph, p. 10

GIC backs property fund
The Government of Singapore Investment Corporation will invest hundreds of millions of pounds in a new £1bn commercial mortgage programme in Britain.
The Daily Telegraph Business, p. 4

Savers remain under a cloud as rates cut on 100 accounts
Banks have launched a raid on savers, with rates cut on 100 separate savings accounts since the beginning of the year. So far this month 16 banks and building societies have reduced rates on 100 savings accounts. This compares to just 10 providers cutting rates on 24 accounts the previous month. In January last year just two banks reduced savings rates – according to, a comparison website.
The Daily Telegraph Business, p. 5

Don’t let foxes inside chicken coop, MPs are warned
Allowing ring fenced retail banks to offer derivatives would be like allowing a fox inside the chicken coop, according to Martin Taylor, the former chief executive of Barclays and one of the three members of the Independent Commission on Banking.
The Times, p. 35

Canadians buy landmark City site for £265m
Canada’s second largest pension fund has teamed up with private equity firm TPG to buy a landmark office building in the City for £265m.
City AM London, p. 9

BoAML clinches broker remit for insurerRSA
Bank of America Merrill Lynch has beaten off strong competition from rivals, including Barclays and UBS, to become new joint brokers to RSA, the insurance giant.
City AM London, p. 11

ECB fears banks will dodge new ringfence rules
A report from the Eurosystem and European Central Bank (ECB) argued yesterday that Europe’s planned ring fence to split up retail and investment banking activities could easily be evaded by banks and need to be based on new rules to avoid this happening.
City AM London, p. 10

Osborne braced for RBS bonus backlash
Royal Bank of Scotland is poised to pay as much as £250m to staff at an investment banking division implicated in the Libor-rigging scandal.
This abstract from the Financial Times was produced by Kantar Media
Financial Times, p. 1

Moody’s hits six banks (and next Bank of England boss)
Six Canadian banks had their downgraded last night amid concern about rising house prices and heavy consumer debts.
The Times, p. 35
Also appeared in : Financial Times Companies and Markets, p.16

Goldman Sachs is selling a $1 billion stake in Industrial and Commercial Bank of China, the largest Chinese bank.
International Herald Tribune, p. 17
Also appeared in : Financial Times Companies and Markets, p.16

Pound slides to its lowest level against euro for a year
The pound hit its lowest level against the euro in more than a year putting sterling on course for its worst month against the currency since the depths of the financial crisis.
Independent i, p. 40

‘Don’t make Autumn Statement another Budget’
George Osborne should stop making major tax and spending announcements in the Autumn Statement, the Treasury Select Committee argues in a new report today.
Independent i, p. 41

Bank wrong on accounting regulations, warns Sir David
Sir David Tweedie has claimed that directors of the Bank of England have got it wrong in demanding changes to accounting regulations, in a move that exposes a growing rift between regulators on measuring risks at British lenders.
The Daily Telegraph Business, p. 4

Mistake to let Cyprus default, Draghi tells Germany
Leading European Union officials have warned Germany it would be a serious mistake to let Cyprus default or to impose losses on private creditors. European Central Bank chief Mario Draghi said a collapse of EU debt talks with Cyprus or a forced restructuring would “undo the positive mood” that has calmed European markets since July. He told Der Spiegel that Cypriot banks are big enough to pose a systemic risk to the eurozone.
The Daily Telegraph Business, p. 4

Co-op removes Barclays from ethical funds list
Barclays has been removed from the list of companies in which the ethical funds run by Co-operative Asset Management can invest because of concerns about the way the bank has been hit by the Libor scandal and its reliance on investment banking.
The Guardian, p. 21

Royal Bank of Scotland […]
RBS is taking legal advice over whether it is able to claw back any of a £4 million bonus promised to its departing investment bank chief John Hourican.
The Times, p. 29

The above articles appeared on 29/01/13 reproduced with the kind permission of Kantar Media UK. All rights reserved.

Charterbridge Private Financial Planning, Independent Financial Advice, Thornbury, Bristol.