Banks account for half litigation liabilities of FTSE 100

Over half the litigation liabilities of the FTSE 100 are accounted for by UK banks, according to research from Thompson Reuters. The company reported that the FTSE 100 set aside £26.2bn during 2016 to tackle litigation and regulatory investigation expenses. Over half, £14.6bn, was attributed to Barclays, HSBC, Lloyds Banking Group and Royal Bank of Scotland (RBS). However this is down on 2015, when FTSE 100 litigation provisions hit a record £31.1bn, with money set aside by banks also hitting a record £17.3bn. Oil and gas producers accounted for over £5 billion, 19 per cent of the FTSE 100 total. However the biggest rise in contribution came from the pharmaceutical sector, which has more than doubled in a year from £612m in 2015 to £1bn in 2016.