RBS brands lost £722m in value over tough 2013
BRITISH banks’ brands are soaring in value around the world, according to consultancy Brand Finance, with the exception of RBS which has lost out sharply in the last year.
Falling revenues at the state-backed bank are partly to blame, but the agency believes Lawrence Tomlinson’s claims that the lender forced small businesses to the wall for profit have also contributed. RBS has denied Tomlinson’s claims and appointed law firm Clifford Chance to investigate.
The worldwide ranking shows the value of RBS’ main brand has slumped from the world’s 43rd most valuable brand to the 55th.
Some of its brands have increased in value – NatWest climbed the industry league table from 84th most valuable to the 56th – but overall the group fell.
Brands linked to RBS lost £722m over the year, the study found.
RBS declined to comment.
By contrast HSBC added £2.4bn of brand value in the year to a total of £16.3bn, and climbed from third place to second.
Barclays rose from 17th place to 13th, adding £442m for a total of £8.6bn, and also climbing from 17th place to 13th.
US bank Wells Fargo retained its top spot with a brand worth $30.2bn (£18.3bn).
“In the last year, there has been a significant revival of UK bank brands,” said Brand Finance chief executive David Haigh.
“Bad news in the form of IT breakdowns and fines for bad behaviour have continued, but looking forward, the outlook is encouraging with increased competition and choice, particularly in retail banking.”