U.K. Bank Bailout Costs Halved to $356 Billion, Watchdog Says

Taxpayer support for Britain’s banks was almost halved to 228 billion pounds ($356 billion) in the year through March, the government spending watchdog said.

The National Audit Office said government support for the financial industry fell from 456 billion pounds in 2011 and from 1.2 trillion pounds at the height of the financial crisis. About 109 billion pounds of support for 2012 was on outstanding guarantee commitments and 119 billion pounds was in cash, the auditor said.

The fall in the share price this year at Royal Bank of Scotland Plc and Lloyds Banking Group Plc (LLOY) have wiped 18 billion pounds off the Treasury’s 66 billion-pound investment, said the audit office.

To contact the reporter on this story: Gonzalo Vina in London at gvina@bloomberg.net

To contact the editor responsible for this story: James Hertling at jhertling@bloomberg.net

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