Just heard Peston say they are strongly considering it because the new Euro regulations are going to make it unprofitable. So, bearing in mind it’ll have to be a big international bank (to avoid hopping from one to another if they take the same line as the CoOp) – new bank recommendations, please.

Santander have been ok so far. Also nationwide have been good.

I don’t think they’re pulling out of banking, just pulling out of the deal to buy loads of LloydsTSB branches. I could be wrong though – it has been known 🙂

First Direct have been excellent for me. I have an offset mortgage with them which works really well.

Reading Peston’s article on this, he looks like he is pulling his usual stunt – hyperbole, a bit of fact (co-op strategic review) and look-at-me, I have great inside contacts!

Not need to panic. And unlikely to see any quick change from Co-op. But there is an important point about taking bank-bashing and regulation too far that you get unintended consequences – less competition, failure of monetary policy etc.

Well the bigger supermarkets have been teasing and dipping there toes in the water, recently tesco took over its own banking business (previously ran by HBOS i think) i wouldn’t be surprised if we start to see tesco:bank and js:bank on the highstreet after lloylds offloads all the unwanted branches.

No Baking Today

Co-Op have also pulled a £75Million contract from Rank Hovis, with the loss of 911 jobs. Struggling to understand how this has actually happened.

Not sure what to make of this; I was just about to move my current account from RBoS to the Co-op.

Maybe I’ll sit tight for a couple of weeks.

Rather inevitable I’m afraid. Take away the wholesale side of banking and you’re left with a labour and process intensive retail operation. Moves to split the big UK banks up will lead to the death of “free banking” in this country.

Woohoo…..they made a mistake leaving me overdrawn by 6 quid….this is the real reason that they are pulling out 8)

This is a bummer if true. Been with the Co-Op Bank since I had a bank account. They’ve always been great to deal with and I like the ethical dimension to what they do.

Reading Peston’s article on this…

Peston is an arse. He’ll stick his neck out with a guess and claim he knows something and then a few weeks later contradict himself shamelessly and say he knew all along.

Private Eye did a special on him were they listed all his reverse ferrets around the banking crisis.

His assertion that Fred Goodwin ‘knows what he’s doing’ was particularly delicious after he was sacked.