You are here: Home - Saving & Banking - News -

FSA to investigate financial shares trading

Written by:

UK financial watchdog the Financial Services Authority (FSA) has launched an investigation into trading in UK financial shares this week.

Sally Dewar, managing director, wholesale and institutional markets at the FSA, said: “There has been a series of completely unfounded rumours about UK financial institutions in the London market over the last few days, sometimes accompanied by short selling. We will not tolerate market particiapants taking advantage of the current market conditions to commit abuse by spreading false rumours and dealing on the back of them.”

HBOS’s (the parent company of Halifax and Bank of Scotland) share price fell by as much as 17% at one point on Wednesday after rumours of liquidity problems at the bank spread though the markets. The Bank has strongly denied the rumours were true.

Commenting, Kevin Mountford, head of savings at price comparison site, said: “HBOS has a very strong business – and rumours that it is on its last legs are ridiculous.

“The world of banking has many different business models that differ considerably, and it is just plain wrong to tarnish all banks with the Northern Rock brush.

“Foolish rumours like these could cause panic among savers who should be reassured that HBOS, with its high interest savings and current accounts, is a far better home for your money than under your mattress.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
Consumers urged to check credit reports

As the purse strings tighten and the credit crunch takes hold, Callcredit Check is advising consumers to take a good...