Legal & General sought RBS changes last May
There's still one financial institution out there that Insurance Blogger loves.
We don't talk about them much here, because we don't have to.
We don't directly promote their products, because they don't need us to.
Insurance Blogger had the pleasure to work for them for five years in a consultant capacity and if there's one word that immediately springs to mind when Legal & General are mentioned - it is Integrity.
Something that appears to be sadly lacking from most of the other financial institutions in the UK today.
So when Legal & General's fund manager told a Commons Select Committee that it called for the CEO and Chairman of RBS to resign as early as May last year, we were all ears.......
According to an article in The Times
Peter Chambers, chief executive of Legal & General Investment Management (LGIM), told members of the Treasury Select Committee that its resignation demands had come as part of a concerted effort to “engage with” British banks during last year's market storm
LGIM is the biggest investor in the stock market and owns about 5 per cent of every listed company.
Labels: credit crunch, Legal and General, RBS bank
RBS shares plummet - The public votes!
So where do we start, it's a historic day in UK economics for many reasons not least the UK Goverment offering a 50 billion further bailout to the banks at our expense, and underwiting the toxic debts of the UK banks with a bad debt insurance policy.
You can read about all this stuff on the news sites, but what particularly interest us is the way that the Goverment's banking help package has helped put RBS to the sword!
Not content with sucking up 37 millon pounds of our money to own 70% of the company in the Autumn the Government looks like its bank bailout package has backfired upon the Goons who control RBS.
On the announcement of the latest rescue package the City has just responded with the biggest single corporate loss in UK history - RBS shares are currently down nearly 70% of their trading value this morning, making the bailout worth nothing!
Share trading has probably stopped by the time I've finished writing this.
Where this leaves RBS's insurance arm which includes Direct Line Churchill etc. remains to be seen. Probably going to get snapped up very cheap by the likes of one of the big suitors that have been courting it for the last year.
Insuranceblogger would like to point out that we foresaw this months ago (read the posts) and incidently would like to see any none performing bank go to the wall. Whatever happened to the free market economy - Ha! Ha!
Now's the time for 0% interest rates Mr Brown - great a free toxic mortgage!!!
Labels: credit crunch, RBS bank, rbs insurance, toxic debt
Government take two thirds stake in RBS Insurance
The government been forced to take ownership of 57% of Royal Bank of Scotland after it's own shareholders took up on just 0.24% of its capital raising.
The government will pay £15bn for the majority stake in the troubled bank and £5bn in preference shares following its bid of the UK’s biggest bank bail-out.
This bail-out will leave the long suffering taxpayers with an instant paper loss of £2.3bn, as RBS shares have recently been trading at a much lower share price than the 65.5p offer revealed last month.
In a bid to increase value for taxpayers and stop future politicians making business decisions about the running of banks, the government's shares will be held by an independent UK Financial Investments Ltd. (Who are they?)
According to the newswires RBS has been trying to flog RBS Insurance all year to raise £7billion, prior to the banks recent troubles!
As part of The Royal Bank of Scotland Group, RBS Insurance is one of the largest general insurers in the UK, employing over 18,000 staff and incorporating many of the highest profile household names in the business, including Direct Line, Churchill, Green Flag and Privilege, amongst others.
Labels: RBS bank, rbs insurance
RBS Churchill Car Insurance offers named Young Drivers No claims bonus
Despite the banking operation needing a £20 billion injection from you and me, the Insurance arm of RBS goes from strength to strength
At last some sense in the car insurance market from RBS owned
Churchill Car Insurance.
Not only have they revamped their website to make it easier to use, they've actually come up with a car insurance policy that makes sense for couples and families everywhere.
NAMED DRIVERS EARN NO CLAIMS BONUS YEARS!
This is going to give Churchill a massive edge in the very highly UK competitive car insurance market particularly as in recent years the only sensible way to get a young person under 21 insured was to be as a named driver on the parents policy.
Current insurance companies who target young drivers will surely respond or suffer loss of business to a dog with bite!
Visit Churchill
Labels: churchill, no claims bonus, RBS bank, young driver insurance
Scottish Parliament to rescue Banks?
Its refreshing to see that the unloved Republicans have stuck to their guns and said no to intervention - even it it means a crash and the collapse of their economy and all its global fallout.
Why? Because in the UK the opposite situation exists where an underlying fundamental ideology of nationalisation to the rescue still exists!
Or does it?
I've just heard A Darling say 'we'll do whatever it takes to keep the economy stable'
Maybe, the Yanks are right - You cannot underwrite a House of Cards Institutional collapse - especially if your not getting the profit in the good times.
Obviously the UK Government thinks you can!
When the Japanese banking system collapsed in 1990 the only solution was the introduction of ZIRP - Zero Interest Rate lending from the State to the Banks in order to kick start the circular liquidity flows. It took ten years to recover.
Maybe there'll be a honeymoon periods in a month or so after Obama wins the US election handsdown.
It might even help Mr Browns UK image, after all the Conservatives here (the republican equivalents) are marching around their annual conference here like headless chickens, triumphing the rise of New Conservatism and already talking about power.
Why the glum faces then?
These same people are being shot by both sides. The collapse of their beautified banking system and the value of their shares free falling, their system falling into the hands of the enemy (the current Government) has rather taken the shine of the promised election victory to come!
Well whoever wins it has just won a bucket of ****
Rumours are abounding that Lloyds board are trying to renegotiate the takeover of Halifax Bank of Scotland - its sending waves around the industry.
Well Mr A Darling it looks like you may have your first bank to nationalise....
It will probably be closely followed by Royal Bank of Scotland!
Hang on! - Whose in Charge? - a certain Scot Mr G Brown
Maybe he's planning to hand the Scottish banks over to the Scottish Parliament to run
Now there's a thought - Alex Salmon in charge of 2 of the UK's largest financial and insurance comglomerates!
Labels: Banks, credit crunch, HBOS, Insurance, RBS bank, scotland
