0951 GMT [Dow Jones] Reports of adjustments to Basel III proposals would be particularly positive for UK banks, says Deutsche Bank. Notes reports that the Bank for International Settlements could be dropping its proposals for the net stable funding ratio at the G20 meeting, and that pension deficit deductions and the treatment of minority capital may be left to the discretion of national regulators. Sees this as good for UK banks, whose use of wholesale funding is higher than the peer group. Overall, thinks banks will retain profits, limit lending, and raise as much funding as possible, but that further government or Bank of England assistance will be required in 2011. Top pick is Lloyds Banking Group (LLOY.LN), rated buy. Shares -2.5% at 55p. (andrea.tryphonides@dowjones.com) Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com (END) Dow Jones Newswires June 25, 2010 05:51 ET (09:51 GMT)