With most of the major banks posting their annual results this week (w/c 20 February), The London Institute of Banking & Finance’s Professor Pete Hahn was invited to give his analysis of their performance by the UK’s broadcast media.
Appearing on Sky News, Professor Hahn firstly discussed the performance of Lloyds Bank, which saw its profits rise by more than 150 per cent over the past year. The success, Professor Hahn said, was largely down to Lloyds eschewing some of the riskier areas in which some of their competitors have been involved, instead becoming “the simple, boring, earnings machine that its takeover of HBOS was supposed to be.”
The results also revealed an interesting story about the structure of the UK banking sector, as the banks at large, according to Professor Hahn, increasingly move away from the mortgage market, which has largely remained static, in favour of high-yielding services such as credit cards.
To see the interview in full, click here
Meanwhile, the story was bleaker at HSBC, which alongside RBS posted losses for the previous years. Speaking to BBC Radio 4’s Today Programme, Professor Hahn placed Lloyds’ performance in the context of the industry’s broader results and its importance to the economy at large.
To hear Professor Hahn’s comments, please visit: http://www.bbc.co.uk/programmes/b08fgd4b at 01:16:00