VINCE CABLE WANTS RBS SPLIT UP
Vince Cable suggested that “RBS will not return to the market in its current shape”
Wednesday March 7,2012
A LEAKED letter from Vince Cable to David Cameron over the future of Royal Bank of Scotland laid bare a Coalition rift last night.
The correspondence from earlier this year showed the Business Secretary Vince Cable called for the bank to be split up and used to establish a new “British business bank”.
The Treasury wants RBS returned to the private sector. The letter also warned the Government “lacked a compelling vision” for Britain’s economic future.
Mr Cable suggested that “RBS will not return to the market in its current shape” but instead “carve out of it a British business bank with a clean balance sheet and a mandate to expand lending rapidly to sound business”.
Labour claimed the letter showed Coalition economic policy is in disarray and “a lack of joined up thinking”.