LONDON, July 3 (Reuters) - British banks are not investible
after lenders were forced to scrap dividends by regulators to
see them through the coronavirus crisis, Royal Bank of Scotland
Chairman Howard Davies said.
Davies told a City & Financial webinar on Friday that
regulators needed to rethink their capital framework for lenders
by the autumn, adding that banks could not suspend payouts to
investors indefinitely.
"It's probably fair to say the banking sector is not
investible because when people try to do the models about what
banks are worth they can't plug in any numbers for cash out."
Starling Chief Executive Anne Boden, meanwhile, said banks
would need government support in handling an expected spike in
unpaid state-backed business loans in the coming months.
(Reporting by Iain Withers; editing by Simon Jessop)
