Join our community of smart investors

Will banking M&A pick up this year?

Tesco Bank and Virgin Money getting caught up in a mini-takeover flurry opens up the possibility that banking might become exciting again
March 15, 2024
  • Takeovers expand balance sheets without straining them
  • NatWest poised to free itself and grow

There has been a distinct danger over the past decade that memories of deal-hungry banks pulling off mega-takeovers and challenging for global dominance might have faded into a folk tale of the sector’s former glories.

However, with Barclays (BARC) and building society Nationwide buying Tesco Bank and Virgin Money (VMUK), respectively, the UK’s financial institutions are again finding ways of deploying their excess capital that do not involve sticking strictly to dividends or buybacks.

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in