UK Banks Fined Over £100 Million for Sharing Confidential Information on Government Debt Trading

Four major banks, including Royal Bank of Canada, Citi, HSBC, and Morgan Stanley, have been fined over £100 million by the UK's Competition and Markets Authority (CMA) for sharing confidential information about UK Government debt trading. Traders from these banks used private chat rooms between 2009 and 2013 to discuss trades in UK Government gilts.

The Royal Bank of Canada received the largest fine, totaling £34.2 million. Citi will pay £17.2 million, HSBC £23.4 million, and Morgan Stanley £29.7 million. All banks received reduced fines for settling, with Citi receiving the largest discount for early settlement. Deutsche Bank was granted immunity for reporting its conduct to authorities.

The CMA stated that the traders were attempting to limit or distort competition within the financial services sector, which is integral to the UK economy. The banks have since implemented extensive compliance measures to prevent future wrongdoing.