Eight of 90 banks fail stress test

EIGHT of 90 banks have failed a stress test when they had a combined shortfall of €2.5 billion to survive another economic setback.

All three Irish banks, Allied Irish Bank, Bank of Ireland and Irish Life and Permanent, passed.

Analysts were quick to point out, however, that the positive results would not resolve the worsening eurozone situation. The leaders of the 17 euro area countries are to hold an extraordinary summit in Brussels next Thursday, raising hopes that they will agree a comprehensive solution to the Greek crisis.