RBS to focus on domestic retail banking

London

ROYAL Bank of Scotland (RBS) is to shrink its investment banking and international operations in a revamp in which the group could shed up to a quarter of its 120,000 workforce, sources familiar with the matter said.

The part-nationalised bank has given in to demands from politicians that it focuses on lending to British households and businesses, and maintains only a downsized investment banking business to service corporate clients, one source said.