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RBS warns that Brexit puts GBP 44 bln worth of business per day at risk

Monday 18 February 2019 10:33 CET | News

Royal Bank of Scotland has issued a warning that Brexit puts its ability to clear daily cross-border payments under threat.

The lender said the total value of the 300,000 cross-border payments it makes per day is typically in excess of EUR 50 billion (GBP 44 billion) in any one day.

The bank is taking action to prevent any obstacles to those transactions, but said that given the quantum of affected payments and lack of short-term contingency arrangements, in the event that such euro clearing capabilities were not in place in time for a hard Brexit or as required in the future, it could have a material impact on the group and its customers.

RBS said the general uncertainty surrounding Brexit could have an impact on the groups operations or legal entity structure, including higher costs if the bank has to restructure. Hargreaves Lansdown analysts have stated that RBS’s results showed it was making efforts to improve performance, but warned Brexit risks would hold the group back for the foreseeable future.


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Keywords: Royal Bank of Scotland, Brexit, cross-border payments, banking, payments , Europe, UK, daily transactions
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