King call to split up RBS

Sir Mervyn King, governor of the Bank of England, said the Royal Bank of Scotland should be broken up. He told the British government to use its 82% stake to split RBS into a 'good bank' and a 'bad bank', saying nothing substantial has been achieved in the four years since the rescue.

According to the article, King argues the split is needed because 'nothing has been achieved' in the four years since RBS was rescued despite large taxpayer support. The piece links his call for a split to that ongoing lack of progress, but it does not provide further detailed reasons.

The article states RBS was rescued with £45 billion of taxpayer cash, plus hundreds of billions of pounds of state guarantees.

The article reports the British government holds an 82% stake in the Royal Bank of Scotland.

The article says Sir Mervyn King called for RBS to be split into a 'good bank' and a 'bad bank', but it does not define those terms or explain exactly how the split would be structured.

The article refers to the rescue as having taken place four years earlier; it does not give a specific rescue date in the text provided.

King said the British government should use its 82% ownership stake to implement the split of RBS into a good bank and a bad bank, according to the article.

The article reports Sir Mervyn King's recommendation but does not explain the specific implications for everyday investors. It simply states his view that the government should use its stake to split the bank; no investor outcomes are detailed in the piece.