Break-up worries for banks ahead of ICB report

The commission will release its interim report next Monday, with speculation it could lead to 'functional subsidiarisation'. This would mean a split between investment banking and retail operations, where each division has separate cash cushions to absorb financial shocks, the Daily Mail reports. However, the industry is lobbying the ICB to lean towards 'operational subsidiarisation', which would see parts of a bank considered crucial to customers (such as deposit-taking and business lending) sealed off as separate entities. The ICB will make its final recommendations to Chancellor Ge...