RBS shows banks' tech nightmare as Scottish branches spur delay

London

WHEN Royal Bank of Scotland Group Plc (RBS) agreed to sell Williams & Glyn in 2009, it hoped to do so within months. Almost seven years later, it's still struggling to divest the unit, with a tangled web of technology causing six branches scattered across its home country to become a major issue.

Chief executive officer Ross McEwan's saga to separate the consumer unit is facing difficulty from the handful of NatWest branches in Scotland that operate on different systems than the rest of the unit, according to people familiar with the matter. They add to complications that are causing spiralling costs, new products to be put on ice, and a longer wait for dividends.