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FACTBOX-What UK banks have set aside for mis-selling
March 7, 2013 / 11:51 AM / 5 years ago

FACTBOX-What UK banks have set aside for mis-selling

(Adds HSBC details, graphic, updates total provision)
    March 7 (Reuters) - Britain's top four banks set aside a
further 4.4 billion pounds ($6.6 billion) in the fourth quarter
to compensate customers for mis-selling two types of product.
    Banks have provisioned more than 14 billion pounds to
compensate customers for payment protection insurance (PPI),
making it Britain's biggest bank mis-selling scandal. The final
bill could be over 20 billion pounds, industry sources say.
    Banks have also set aside 2.3 billion pounds to compensate
small companies for the mis-selling of interest-rate hedging
products. That bill could reach 10 billion pounds.
    Following are details of provisions by major banks (in
millions of pounds, except HSBC in millions of dollars):
     
 PPI
 ===
 BANK                PROVISION     PAID OUT     PERCENT OF
                                              PROVISION PAID
 Lloyds       6,800         4,344          64
 Barclays     2,600         1,600          61
 RBS           2,200         1,300          59
 HSBC        $2,397        $1,191          50 
 Santander      772           N/A
 Nationwide              173           N/A
 Co-op                   130           N/A
    
 INTEREST-RATE HEDGING PRODUCTS (IRHP)
 =====================================
 BANK        PROVISION    TOTAL PRODUCTS      COMPLEX PRODUCTS
 Lloyds        400          c.4,500            fewer than 100
 Barclays      850          c.5,000
 RBS           700          c.5,000                600
 HSBC         $598          c.5,000 customers    c.200
 Santander      --          fewer than 500
    
    
    
($1 = 0.6643 British pounds)

 (Compiled by Steve Slater and Matt Scuffham; Editing by Dan
Lalor and David Holmes)

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