Arab Press

بالشعب و للشعب
Saturday, Jul 27, 2024

Silicon Valley Bank’s UK arm sees sharp inflows after £1 HSBC rescue

Silicon Valley Bank’s UK arm sees sharp inflows after £1 HSBC rescue

The British arm of Silicon Valley Bank has seen its deposit base rise back above £7bn - 10 days after steep withdrawals led it to the brink of insolvency.
The British arm of Silicon Valley Bank (SVB UK) has seen hundreds of millions of pounds of deposit inflows in the wake of its £1 rescue takeover by HSBC.

Sky News understands that SVB UK's deposit base now stands at over £7bn - 10 days after Europe's biggest lender agreed to buy the business in a deal orchestrated by the Bank of England.

Figures provided by the central bank and published by the Treasury Select Committee this week showed nearly £3bn of deposits were withdrawn from the technology-focused bank between 9 and 10 March.

The run on its UK deposit base came after its US parent company fell victim to a run after failing to raise capital from investors.

One source said more than £300m had been parked with SVB UK by business customers since the beginning of last week, with net inflows being recorded each day.

HSBC is planning to rebrand SVB UK in the coming months, although it is unlikely to use the parent's name and is instead chose to opt for the creation of a standalone brand.

An insider pointed to the precedent of HSBC's First Direct internet bank as a possible model for the future of the SVB UK business.

HSBC's decision to step in and rescue SVB UK for £1 provided salvation for thousands of early-stage UK companies which faced losing access to their deposits and even forfeiting the funds altogether in the event of an insolvency.

The US government is now engaged in a process to sell SVB's parent there.

HSBC declined to comment.
Comments

Brad 1 year ago
More government propaganda and bank propaganda.
Nobody's keeping cash in these banks.
I personally pulled out 22 billion.
Screw your banks.
Gaslighting the public is over twits

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Kamala Harris Pledges Action on Gaza Crisis after Netanyahu Meeting
Heatwave in Morocco Claims 21 Lives in Beni Mellal
Israel Warns France of Iranian Threats at Paris Olympics
Hamas and Fatah Sign Unity Pact Amid Gaza Conflict
Netanyahu Urges Unity Between US and Israel in Congress Speech
Netanyahu Criticizes Anti-Israel Protesters in US
World's Hottest Day Recorded on July 21
Sri Lanka Apologizes for Forced Cremation of Muslim Covid Victims
Hacking Vulnerabilities: Androids vs. iPhones
Israel Conducts First Direct Air Raid on Yemen's Hodeidah Port
Joe Biden Withdraws from 2024 US Presidential Race
A Week of Turmoil: Key Moments in US Politics
US Criticizes International Court's Opinion on Israeli Occupation
Netanyahu Denounces World Court Ruling on Israeli Occupation
Adidas Drops Bella Hadid Over Controversy
UAE Court Sentences 43 to Life Imprisonment Over Terrorist Links
Spain PM Pedro Sanchez Denounces Double Standards on Gaza at NATO Summit
Biden Affirms Commitment To Presidential Race
2024 Predicted to Be World's Hottest Year
Iran's President-Elect Masoud Pezeshkian Reiterates Support for Hezbollah
Biden Insists on Continuing Presidential Race Amid Criticism
US Officials Resign Over Biden's Gaza Policy
Campaigners Push for Emergency Uplift Visa for Palestinians Escaping Gaza Conflict
Netanyahu Criticizes Release of Gaza Hospital Head
UK Government and British Airways Sued Over 1990 Kuwait Hostage Incident
Afghan Women's Rights Declared Internal Issue by Taliban
UK Appeals to ICC May Delay Arrest Warrants for Israeli Leaders
Iran's Presidential Election: A Close Race
Iran Threatens Retaliation if Israel Attacks Lebanon
EU Enforces Sanctions on Hamas Financiers
UN Agency Sued by Israelis Over Alleged Aid to Hamas
United States Bans Kaspersky Antivirus
White House Cancels US-Israel Meeting Amid Netanyahu's Accusations
Muslim Community Leader Criticizes Nigel Farage for Undermining Muslims
Hezbollah Chief Threatens All of Israel Amidst Escalating Conflict
Canada Lists Iran's Revolutionary Guards as Terrorist Group
Iran Sentences Nobel Laureate Narges Mohammadi to 1-Year Prison Term for Propaganda
Japan Considers Sanctions on UAE-Based Entities for Aiding Russia
Israel Rescues Four Hostages from Gaza
Iran Approves Six Candidates for Presidential Election After Raisi's Death
Israeli Commander Resigns After Hamas' October 7 Attack
Israeli War Cabinet Minister Benny Gantz Resigns Over Gaza Strategy
UN to Add Israel to Human Rights Blacklist
Labour Party to Pledge Recognition of Palestinian State in Election Manifesto
Hamas Rejects Biden's Gaza Ceasefire Proposal as 'Just Words'
Hamas Has Not Responded To Latest Ceasefire Proposal: Qatar
State of Palestine Seeks to Join UN Court Case Accusing Israel of Genocide
Hezbollah Launches Drone Squadron Towards Israeli Military Targets
US-Built Pier in Gaza Faces Setbacks and Repairs
Norway, Ireland, and Spain Recognize Palestinian State
×