UK to set out looser bank ring-fencing rules next week, Sky News says

LONDON, May 16 (Reuters) - ​Britain's government ⁠will set out more ​detailed proposals next week to relax ​bank ‌regulations that had been designed to stop ⁠a repeat of the ⁠2008 financial crisis, ​Sky News reported on Saturday.

Last week Prime Minister Keir Starmer's government set ​out its ‌legislative agenda for the new parliamentary session which included proposals to loosen the "ring-fencing" designed to stop problems ​in banks' investment-banking arms spilling ‌over into their high-street banking activities.

More detailed proposals could be ‌announced as soon as Monday, Sky News said, citing a government source.

Finance minister ​Rachel Reeves had signed off on proposals that "mean ‌that Britain's biggest banks can lend at reduced funding costs to organisations ⁠aligned ⁠with added government’s economic policy ‌objectives", the broadcaster said.

Banks would also be ​allowed ​to share more services ‌between ring-fenced and non-ring-fenced parts, reducing their costs, it said. (Reporting by David Milliken, Editing by Louise Heavens)

Lloyds

HSBC Holdings

Natwest

Barclays