UK Banks will pull through sub prime crisis
The boss of the world’s biggest bank (Citigroup) has now left yet the chancellor Alistair Darling is saying that the UK Economy is strong enough to go through a period of financial uncertainty.
Banks are of course currently exposed to bad debts, something to keep in mind is that UK banks have seen high profits this year and sop balance sheets are strong.
Banks are likely to be more cautious about lending after the recent global credit scare.