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RBS avoids 'good and bad' bank split

1 November 2013 Last updated at 07:55 GMT

The government backed Royal Bank of Scotland will not split into separate 'good' and 'bad' banks.

The bank, which is 81%-owned by the taxpayer, will create an internal ring-fence around £38bn of bad assets.

RBS also announced a pre-tax loss of £634m for the third quarter.

Andy Moore reports.