The Independent on Sunday: ‘Bad bank’ RBS plan will be rejected by Treasury
The Treasury is set to unveil its verdict on a break-up of Royal Bank of Scotland shortly after the Tory Party conference. A Government-commissioned report is expected to reject a full-scale split into a good and bad bank, but could recommend hiving off RBS’s troubled Irish business in a bid to appease senior members of the Parliamentary Commission on Banking Standards who favour a break-up of RBS.
The Sunday Times: Brussels braces for bank chaos as ECB probes lenders
Brussels is preparing for a new wave of bank bailouts amid mounting fears that black holes in the eurozone’s financial system are about to be exposed. The European Stability Mechanism, the £420bn rescue fund set up last year, is hiring investment banks to advise on potential rescues of lenders across the 17-nation currency bloc. It is also recruiting hundreds of staff, according to senior financiers.
The Mail on Sunday: BP to make millions from lifting of Iranian gas ban
A crucial North Sea gas field frozen by international sanctions against Iran is set to return to production following Government intervention aimed at lifting the ban. The Rhum gas field is jointly owned by BP and National Iranian Oil and once supplied five per cent of Britain’s gas output. But the field has been idle for three years because of US and EU sanctions against Iran. The Government is understood to be close to agreeing a waiver for the field.
The Sunday Telegraph: Cabinet minister says ‘Stop the clobbering of the rich’
Senior Conservative minister Chris Grayling, currently the Justice Secretary, warned that the tax policies of both Labour and Liberal Democrats will drive wealth creators out of Britain after the next election. He said that, in contrast, protecting “wealth and job creators” from tax rises is a “red line issue” for the Conservatives.