The five major banks of the UK saw a nearly 40% increase in profits in the past year, however financial reports display this gain was almost completely wiped out as a result of regulation fees and a few administrative mistakes. Therefore, in actuality, profits actually declined after having to pay off the debts. While 2012 was a year of improvement in core performance from the banks, it is also crucial that the banks restore customer trust. Customer trust is something that is developed and then lasts for many generations so the banks need to make a sincere effort to communicate their devotion to customers and make it known that they are going to follow regulations and hopefully not be fined again for sloppy mistakes. I found this article to be especially interesting because I was abroad in the UK last semester. The British lifestyle is very well off and there is a feeling of wealth and class in the air, not debt or paybacks. As compared to the US recession where you could feel the economy crumbling, the UK economy was quite well off and people were economically active.
http://www.bbc.co.uk/news/business-21916653
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