State-owned Royal Bank of Scotland (RBS) is selling off its Lombard leasing operations as part of a ring-fencing process to protect taxpayers from further losses.
Lombard, one the UK’s biggest vehicles and machinery leasing companies, has been sold to Investec and Shawbrook for a figure of £150m, according to a report by Sky News.
Lombard, which is based offshore in the Channel Islands, has fallen victim to rules brought in following a 2011 banking review by Sir John Vickers.
Streamlining for sale
Britain’s biggest banks were told they must put offshore and investment banking arms into separate subsidiaries, outside the main banking operations.