Church of England backs bid for RBS branches

28 June 2013

The Church of England has given a group of financiers attempting to buy 315 Royal Bank of Scotland (RBS) branches millions of pounds of funding to make the deal happen.

As the banking sector has been hit with many scandals in the past few months the church is now attempting to realign its moral compass.

The Church Commissioners, which manages a £5.5 billion investment portfolio, has joined a consortium headed up by Lord Davies, the former trade minister.

Other organisations making up the bidding group are private equity firm Corsair Capital, US investment company Centerbridge, RIT Capital and the insurance and pensions group Standard Life.

RBS must sell the branches as part of the agreement with the European Union that saw it receive £45.5 billion in state funding to stay afloat.

Santander UK was set to pick up the outlets for an estimated £1.65 billion, however, the deal fell through in October 2012 after the complaints about IT systems arose.

By Asim Shah

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