At UK stress test banks, loan-loss estimates up £8bn in 2019
Impairments estimated to cut 5.7% off of the banks’ aggregate CET1 capital ratio
The tough stress scenario used by the Bank of England to test UK lenders’ resilience in 2019 was projected to inflict £147 billion ($195 billion) of impairment charges on the seven participating firms, £7.9 billion (6%) more than in 2018.
In aggregate, loss estimates for loans made to UK individuals and businesses over the five-year stress horizon were projected to be £75.2 billion, up 5% on 2018
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