Banks face inevitable effects of recession, significant legacy losses – UKFI

UK Financial Investments Ltd (UKFI), who manage the Government’s investments in UK banks, say the banks face inevitable effects of the recession and significant legacy losses.

The comments come in the wake of reports LLoyds are to write off £13 bln.

Cable dipped to a session low 1.6054 in the wake of the UKFI comments hitting the wire. We’ve subsequently seen a mild recovery back to 1.6075 at writing. Wonder if China was still in buying. Could well have been, but haven’t had confirmed reports of such.