UK banks 'getting billions in hidden subsidies'

UK banks are getting tens of billions of pounds in "hidden subsidies" from taxpayers and customers on top of direct state support, a report says.

The biggest subsidy, worth possibly £30bn a year, comes from the state standing behind the banks, the New Economics Foundation (NEF) has said.


Increased interest rates to borrowers amounts to another £2.5bn a year.
But the British Bankers' Association (BBA) said the financial services industry paid £54bn in tax in 2010.


Cheap money The NEF, an independent economic think-tank, has said the banks received £1.2tn in support during the......Read More from the BBC Website