A ring-fence is a virtual barrier that segregates a portion of an individual’s or company’s financial assets from the rest. This may be done to reserve money for a specific purpose, to reduce taxes on the individual or company, or to protect the assets from losses incurred by riskier operations.
What is ring-fencing UK banks?
The aim of ring-fencing is to protect UK retail banking from shocks originating elsewhere in the group and in global financial markets. It covers banks with more than £25 billion of core (retail and SME) deposits.
How will ring-fencing affect banks?
What happens next? As the example shows, ring-fencing the retail bank helps to make sure it can continue offering consumer banking services. It will still be able to lend, and your money is safe. In other words, the ring-fence protects consumer banking services from shocks to the wider financial system.
What is ring-fencing in redundancy?
Ring-fencing 10.1 Ring-fencing is the grouping of employees who have not been automatically matched to a new position to available vacancies within the new structure. Consideration will be given to comparing the job duties and grade of the new/vacant posts with the job currently undertaken by the employee(s).
What is ring-fenced money?
To ring-fence a grant or fund means to put restrictions on it, so that it can only be used for a particular purpose. [British] The Treasury has now agreed to ring-fence the money to ensure that it goes directly towards helping elderly people. [
What is the meaning of financial intermediation?
Financial intermediation is a productive activity in which an institutional unit incurs liabilities on its own account for the purpose of acquiring financial assets by engaging in financial transactions on the market; the role of financial intermediaries is to channel funds from lenders to borrowers by intermediating …
Which banks are ring-fenced?
Barclays is one of the UK banks most affected by Ring-fencing due the large size of its investment bank, which will require significant restructuring.
What is ring fenced funding?
What does being ring fenced mean?
In business and finance, ringfencing or ring-fencing occurs when a portion of a company’s assets or profits are financially separated without necessarily being operated as a separate entity.
What is a ring-fenced farm?
It simply means there’s a fence around the perimeter of the farm’s land which ought to be stock proof.
