Top 10 Banks in UK 2016

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7. Bank of Scotland

Bank of Scotland was founded in 1695 through an enactment by the Scottish parliament, which makes it first and the oldest bank of Scotland.

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In its journey of nearly three decades, Bank of Scotland acquired many companies which later consolidated to become the present Bank of Scotland. Bank of Scotland is a direct subsidiary of Llyods bank plc, which was set up mainly to help develop trade in Scotland with United Kingdom and other Low countries.


The Bank of Scotland’s original shares were held by 172 Scotland’s political and merchant elite. The Bank of Scotland provides a wide range of financial products which includes saving and current accounts, loans, credit cards and mortgages in retail market, private banking, loans and capital products to commercial and business customers. The group and the bank established two types of hedge accounting relationships with their customers for interest rate risk namely fair value hedges and cash flow hedges. The bank exposed to fair value interest rate risk on its fixed rate customer loans.

In 2015, the Bank has identified an error in its accounting for an intra-group hedging transaction which the bank has been correcting retrospectively. The effect on this on the bank financials has been to decrease the total assets by 51 mn Euro. In 2015, The Bank of Scotland has earned a net interest income of 6,668 mn Euro and 465 mn Euro of net fee and commission income. It has incurred a loss of 22 mn Euro in Securities and other income and earned 93 mn Euro in net trading income.

Total Revenue: 7263 Mn Euro