Page 42 - Flip Banks TG
P. 42
Threats
• Brexit uncertainty is bad for many UK businesses
including Barclays. Management have already come up
with contingency plans to establish an enhanced
presence inside the EU to handle Barclays EU activities
within the borders of Europe should this be required as
a result of the Brexit negotiations (Financial Times 2017).
• Regulatory pressures including new capital
requirements.
• Introduction of a new 8 percent surcharge on bank
profits in January 2016 by UK government.
• Legal proceedings by the Serious Fraud Office (SFO)
over the bank’s dealings with Qatar at the height of the
financial crisis.
• Book value to share price. Potential to be seen as a
target for acquisition.
• Shareholder disquiet over poor dividend return may
lead to shareholder revolt.