RBS reaches settlement with the European Commission

RBS reaches settlement with the European Commission

The Royal Bank of Scotland Group (“RBS”) has reached a settlement with the European Commission (the “Commission”), in relation to competition law breaches concerning certain interest rate derivatives referenced to the London Interbank Offered Rate based on Japanese Yen (Yen LIBOR) and the Euro Interbank Offered Rate (“EURIBOR”).

Our news

04 December 2013

As detailed in the Commission's announcement today, RBS was one of seven banks and brokers implicated in respect of Yen LIBOR competition infringements and has agreed to pay a settlement penalty of €260,056,000 to resolve the investigation.

RBS was also one of seven banks implicated in the EURIBOR competition infringement and has agreed to pay a settlement penalty of €131,004,000 to resolve the investigation.

Both these payments are covered by provisions already made by RBS.

This announcement follows the settlement reached by RBS in February this year with US and UK regulators in relation to investigations into submissions, communications and procedures around the setting of the London Inter Bank Offered Rate (“LIBOR”).

Since becoming aware in 2011 of improper conduct in connection with rate setting, RBS management has taken action to strengthen significantly the systems and controls governing its submissions of LIBOR and other trading rates.  For example:

  • RBS has created an independent and ring-fenced rate setting team
  • All relevant staff are obliged to undertake a comprehensive training programme
  • New preventative and detective controls have been put in place that include monitoring and statistical checking of submissions by independent personnel within RBS
  • A Rate Setting Review Board has been created to oversee the submission process

Philip Hampton, RBS Chairman, said: “We acknowledged back in February that there were serious shortcomings in our systems and controls on this issue, but also in the integrity of a very small number of our employees. Today is another sobering reminder of those past failings and nobody should be in any doubt about how seriously we have taken this issue. The RBS board and new management team condemn the behaviour of the individuals who were involved in these activities. There is no place for it at RBS."

For further information:


RBS Investor Relations

+44 (0) 207 672 1758


RBS Group Media Relations

+44 (0) 131 523 4205

Posted In

Our news

Latest news

RBS to help 2.5 million people each year to be more financially capable

RBS has today committed to helping 2.5 million people in the UK each year to improve their financial capability.

RBS to increase lending to sustainable energy sector following £1.1bn securitisation of loans to UK sustainable energy market

RBS has executed a £1.1bn securitisation deal with Macquarie Infrastructure Debt Investment Solutions (MIDIS), which will allow the bank to recycle capital and increase lending to the sustainable or renewable energy sectors.

RBS launches £1 billion Female Entrepreneurship Funding and announces targets to help create at least 50k new businesses by 2023

RBS has today announced a new £1 billion in funding through NatWest to support female entrepreneurs in the UK to scale and grow – the largest intervention by a UK lender focused specifically on female-led businesses.

Set Tab for lightbox