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PRESS: Barclays Seeks UK Ringfencing Transitional Arrangement - FT

21st Oct 2015 05:42

LONDON (Alliance News) - Barclays PLC has joined the list of banks seeking a waiver on ringfencing rules in the UK, the Financial Times reported, entering talks with the regulator about a transitional deal to make its ringfenced retail bank a wholly-owned subsidiary of the rest of the company, rather than splitting it into a standalone entity.

The bank is proposing that instead of structuring itself as two "sibling" entities on either side of the ringfence under a single holding company, it could have a so-called "mother-daughter" structure, with the ringfenced entity to be owned by the rest of the group.

That would give the investment bank sufficient time to build up enough capital to become a viable standalone entity, the FT said.

https://next.ft.com/content/ce119f7a-775c-11e5-a95a-27d368e1ddf7

By Sam Unsted; [email protected]; @SamUAtAlliance

Copyright 2015 Alliance News Limited. All Rights Reserved.


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