British Government Will Break up Misbehaving Banks

Those that do not effectively separate investment and retail operations at risk

(Reuters)—British banks that fail to guard their day-to-day banking from risky investment activities will face being dismantled, finance minister George Osborne said on Monday.

Britain is shaking up its system of bank regulation following the 2008 financial crisis, when the government poured 65 billion pounds ($102 billion) of taxpayers' money into rescues of Royal Bank of Scotland (RBS.L) and Lloyds. (LLOY.L)