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Banks analysts dismiss RBS 'nationalisation'

Oriel Securities describes idea of buying out remaining RBS shareholders as 'nuts', arguing that driving a bank by loan and earnings targets is 'arguably what sunk HBOS and RBS in the first place'

The debate over the future of Royal Bank of Scotland was thrown back on the agenda this morning – with analysts pouring cold water on the idea of a full nationalisation of the UK bank.

The Financial Times this morning published that a number of "senior government figures" have discussed spending £5bn to buy up the remaining 18% of RBS not owned by the government, in a bid to force the bank to lend to businesses.

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