We are witnessing a sector that is going through rehabilitation. The banks are working very hard to change what they do and how they do it and the future is looking a little brighter, but is still heavily tinged with uncertainties and threats.
All five major UK banks recorded a profit in the first half of the year, for the first time since 2010. Combined profits of some £17.5bn, modest lending growth and falling impairments all show that the banking sector is, at last, starting to get back on track after the financial crisis. However, the industry emerging is very different to how it was before the crisis started and is adjusting to a future in which bank business models are “unlikely ever to be the same again”.