London: Britain’s scandal-hit banks are losing their position in world markets, with all but two tumbling down global rankings as Chinese rivals surge ahead.
HSBC, the UK’s only player inside the world’s top 10, slumped from fifth to ninth position, according to an annual ranking of the world’s top 1,000 banks by The Banker. The bank has faced a torrid year marked by a tax evasion scandal at its Swiss banking arm exposed by the Guardian and other publications.
In 2008, HSBC led the rankings, which are based on capital strength.
Royal Bank of Scotland (RBS) has fallen even further down world rankings. The world’s third largest bank in 2008, the Edinburgh-based bank slipped from 15th to 18th position this year. Barclays slid from 12th to 13th place as, like RBS, it restructured and slimmed down in the wake of the financial crisis.
Brian Caplen, editor of The Banker, said: “At one time several UK banks were among a handful of truly global players. But since the financial crisis they have reduced their scope and are focusing on a fewer areas in a bid to restore profitability. We may have seen the end of the UK-based global bank.”
