Press Release: State aid: Commission approves impaired asset relief measure and restructuring plan of Royal Bank of Scotland

The European Commission approved on 14 December 2009 under EU state aid rules the impaired asset relief measure and the restructuring plan of Royal Bank of Scotland (RBS). The Commission was satisfied that the measures were in line with its guidelines on impaired asset relief and on restructuring aid for banks. As such, the state support for RBS was compatible with Article 107(3)(b) of the Treaty on the Functioning of the European Union (TFEU), which allows state aid to remedy a serious disturbance in a Member State's economy. In particular, the measures ensured a sustainable future for RBS without continued state support, foresaw an appropriate participation of the bank in the costs of restructuring, and included safeguards to limit distortions of competition, notably by reducing the size of the bank .

ESO: Background information: European Commission Website: State aids http://www.europeansources.info/record/website-state-aids/

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