U.K. stats agency reclassifies Lloyds, RBS as public firms

Britain's Office for National Statistics on Thursday reclassified Royal Bank of Scotland and Lloyds TSB as public corporations from Oct. 13, when the government announced it would recapitalize the companies. The agency said data from the two banking groups will be incorporated into data on public sector finances "as soon as is practicable, but it should be noted that they are large, complex organizations, and this may take some time." The U.K. government has pumped 17 billion pounds into Lloyds Banking Group and holds a roughly 43% stake in the company. The government has also pumped around 20 billion pounds into RBS and will hold a roughly 70% stake once preference shares are converted.

http://www.marketwatch.com/news/sto...5D-684B-493B-A6BA-4B69B8D6B1EC}&dist=hplatest

 

I am shorting cable here. We're talking about adding £1 - £1.5trn (70% of GDP) added to PSNB.

 

Excellent idea - especially in the wake of some important news :

IMPORTANT: Increase in Minimum Price Movement - Short Sterling



Beginning February 23rd, the minimum price movement for a Short Sterling futures contract will change from 0.005 (half tick) to 0.01 (full tick). For more details on this change, please see the notice from NYSE Euronext at the link below:



http://www.euronext.com/fic/000/044/210/442107.pdf

 

How is the UK going to fund the olympics???????

GOD save the UK:eek:

 

We are printing money. The Treasury will issue bonds, nobody buys them except the Bank of England with printed money.

 

Come on, there's a few banks and pension funds that can/will be forced to buy gilts as well.