Bank of England quizzes lenders over Deutsche bank exposure
Duncan Richardson, News Editor
27 Oct 2016, 11:25 a.m.
The Bank of England has demanded Britain’s largest banks disclose their exposure to Deutsche Bank and Italy’s oldest bank Monte dei Paschi.
The request was officially made by the Bank of England’s Prudential Regulation Authority in reaction to the companies falling share prices and £14bn fined imposed on Deutsche bank by U.S. regulators. Further bad news for Europe's largest lender could lead to a large scale sell off in the banking sector.
In reaction to their plummeting share price, Monte dei Paschi is planning to make 10% of their work force redundant, close branches, sell assets in attempt to win back investor confidence.