RBS ‘considering Ulster Bank tie-up’

Royal Bank of Scotland is understood to be considering merging its troubled Ulster Bank business with Irish rivals.

The taxpayer-backed lender is mulling a tie-up of Ulster with other lenders to strip out costs at the loss-making division and help boost its position in the Irish market.

It is thought that potential merger candidates could be Permanent TSB or the Irish subsidiaries of Danske Banke or KBC.