FACTBOX-Banks need more capital under Basel II

(Reuters) - British banks have raised more than 20 billion pounds ($34.9 billion) to shore up their capital bases so far this year, although analysts say they need more under the requirements of the regulatory framework of Basel II.

J.P. Morgan analysts said a blanket surcharge of 25 percent of the core tier I capital requirements applied by the Financial Services Authority (FSA), to account for market risks, created a total capital deficit of 45.5 billion pounds for major British banks.

Following is a summary of estimates of capital shortfalls and core tier 1 capital ratios adjusted for pension deficits, insurance assets, hybrid core capital and gaps between theoretical expected losses and provision charges: (J.P. Morgan estimates, full Basel II)

Banks capital ratio shortfall

(%) (bln pounds)

Bradford & Bingley 5.5 0.29

Royal Bank of Scotland 4.5 15.38

Barclays 4.4 12.72

HBOS 4.2 10.56