RBS in the red

Part-nationalised Royal Bank of Scotland has said that it remained in the red last year but has cut its losses.

The group said it sharply reduced losses of £1.1 billion against £3.6 billion a year earlier.

RBS, which is 83 per cent owned by the Government, said it briefly returned to the black in the first three months of the year, with £12 million in profits.

Its improvement came despite a rise in bad debt charges in the fourth quarter as it took a hit in its Ulster Bank subsidiary from the Irish economic woes.