Troubled Co-op Bank pares back losses to £264.2m
Scandal hit Co-op Bank has shown signs of stabilising its financial position after losses were pared back to £264.2m in 2014 - as it enacts a tough turnaround programme overseen by chief executive Niall Booker.
Whilst still in the red this is a marked improvement on the £688.3m loss racked up in 2013, figures which helped ensure the bank was the only UK lender to fail stress tests set by the Prudential Regulation Authority.
The group is in the process of axing a further 57 branches this year, on top of 72 already closed, and reduced staffing levels by 14 per cent last year in a bid to close an estimated £1.5bn black hole in its accounts.
Booker said: “The Co-operative Bank is stronger than a year ago and we end the year with a strengthened capital position, ahead of schedule in the reduction of non-core assets and having made progress reducing underlying costs and improving the day-to-day management and governance.
"However, we are in the early stages of the turnaround and there is still much to do to transform the organisation into a sustainable business.”
Booker has agreed to remain in post till 2016 to see out reforms.