HSBC bucked the squeeze in the mortgage market today by offering to match homeowners’ existing fixed-rate deals.

Banking giant Barclays today posted profits of £7.08bn (€9.4bn) for 2007, but revealed a £1.6bn (€2.1bn) hit from the credit crunch and warned of “at least” another six months of turmoil.

Investors in stricken bank Northern Rock today faced the prospect of getting next to nothing for their shares after the British government’s decision to nationalise the lender.

British banking group HSBC today revealed an extra $1.4bn ($954m) hit in its American mortgage business as it continues to suffer from the country's sub-prime lending crisis.

Northern Rock's share price fell by around 20% today as analysts said current shareholders could lose out if Virgin's plans to pump cash into the group and rebrand the business went ahead.

Troubled British mortgage lender Northern Rock is today in talks over its future, including the possibility of a buyout.

The shockwaves resounding around world markets may have seen a host of corporate deals shelved, but the turmoil could yet be decisive in the outcome of the world’s biggest banking takeover.

Lloyds TSB today cheered shareholders with its first dividend hike for five years, as the bank posted a £2bn (€2.9bn) profits haul for the first half of 2007.

UK banking giants are understood to have forked out an estimated £200m (€297m) so far this year on settling claims relating to “unfair” overdraft fee and interest charges, according to a recent report.

Attempts by Royal Bank of Scotland to lead a buy-out of ABN Amro were boosted today when a court blocked the Dutch bank’s sale of its US business LaSalle.

More than 23,000 banking jobs are under threat after Barclays announced details of its proposed £45bn (€66.36bn) takeover of Dutch counterpart ABN Amro.