RBS shares plummet after record loss warning

Shares in Royal Bank of Scotland plummeted today after the beleaguered lender revealed it was on course for a record annual loss for a UK company.

RBS shocked the City as it estimated bad debts and the lower value of its acquisitions could leave it as much as £28bn (€31bn) in the red for 2008. This is higher than the £15 (€16.5bn) set by mobile phone group Vodafone in 2006.