Are you ready for a shock…..

Banks giving ‘misleading’ details about bad debts and may have to set aside £35billion more, BoE warns

Britain’s banks could be ‘misleading’ investors by failing to account properly for bad loans, including where they have given borrowers leeway on their debts, the Bank of England has warned.

The Bank of England urged lenders to take action to bolster their balance sheets and reveal the full extent of losses on bad debts, as well as expected compensation bills, in particular for mis-sold payment protection insurance (PPI).

The UK’s four biggest banks – HSBC, Lloyds Banking Group, Barclays and Royal Bank of Scotland – could need to increase their capital reserves by as much as £35billion between them, according to the Bank.

Read more: http://www.dailymail.co.uk/money/news/article-2240389/Banks-giving-misleading-details-bad-debts-set-aside-35billion-BoE-warns.html#ixzz2DeKgJy6A
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