£80bn more; we’ll be ok

Story link: £80bn more; we’ll be ok

But after this £80billion, how much more will be needed to fund the banks, will this just be a constant supply of money to keep our banks open. Lets not forget that they are not really lending to their full potential as it is anyway.

£80bn more; we’ll be ok

The warning will fuel fears that Royal Bank of Scotland, Lloyds Banking Group and Barclays may be fully nationalised, coming after a week in which share prices in all three banks have more than halved. Nomura added that the latest Government bail-out measures “do not change the key issue of the unknown and potentially unlimited losses of the banking system, and therefore whether it will ultimately require further capital injections”.
Investors in banks have been spooked by worse-than-expected losses at HBOS and RBS. Comparing the current recession with the 1990s, Nomura estimates that over four years Barclays will record credit losses of £33bn, Lloyds £56bn and RBS £61bn.