UK leverage ratios edge lower as regulatory minimums climb
Additional leverage buffers raise minimum required ratios well above 3.25% floor
All bar one of the top five UK banks saw their leverage ratios, as measured by the Bank of England, decline over the first half of the year at the same time their minimum requirements rose.
Barclays, HSBC, Lloyds, RBS and Standard Chartered posted UK leverage ratios of 5.1%, 5.8%, 5.1%, 5.9% and 5.3% for end-June, respectively. The corresponding ratios for end-2018 were 5.1%, 6%, 5.6%, 6.2% and 5.6%.
The banks’ minimum required ratios have increased over the same period as the BoE’s
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