Bank of Ireland posts losses of almost €1bn
Bank of Ireland has today reported a pre-tax loss of €979 million for the six months to the end of September, compared to a profit of €647 million in the same period a year ago.
The bank described the last six months as “difficult” and said it was very cautious about future economic prospects, adding that there were “some indications of a slowdown in the pace of economic decline in the UK and to some extent in Ireland.”
The bank, which has nearly 50 branches in Northern Ireland, runs a financial services joint venture with the UK Post Office.
Meanwhile, it has warned the Irish Government that it may need another injection of taxpayers’ cash – after already receiving an emergency loan earlier this year.
The Irish Government injected €7 billion into its top two lenders, with Allied Irish Bank and Bank of Ireland each receiving €3.5 billion in state cash.
In January this year, Ireland‘s third largest bank, Anglo Irish, was nationalised to prevent it from collapse.
Irish banks have been hit by the global recession and, in particular, the slump in the country’s property market. This has resulted in a fall in the value of investments linked to the property market.