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BoE's Bailey says some UK banks need more capital

Wed, 13th Mar 2013 15:21

LONDON, March 13 (Reuters) - Some of Britain's banks needmore capital but the government has not been asked to put cashinto Royal Bank of Scotland or Lloyds, the UK'stop banking supervisor said on Wednesday.

Andrew Bailey is due to present a report on capitalisationof UK banks to the Bank of England's Financial Policy Committeenext week.

"I agree there is a need to strengthen the capital positionbut I am not going to go into detail," Bailey told parliament'sTreasury Select Committee.

"I have not asked the government to put capital into RBS orLloyds," said Bailey, who has been appointed a deputy governorof the Bank of England, in charge of prudential regulation.

The restructuring of banks should be a precursor to raisingmore capital, Bailey added.

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