RBS Taxpayer Bailout Encounters Challenges
RBS Taxpayer Bailout Encounters Challenges

Anti-poverty and environmental campaigners have risen further in their campaign against the government bailout of Royal Bank of Scotland, launching another High Court challenge and labeling the latest taxpayer capital injection 'unlawful'.

The World Development Movement (WDM) is leading a consortium which will serve legal papers on the UK government.

'According to the Treasury's guidance, when determining if and how public money is spent, an assessment of the likely impact the proposed spending will have on human rights and the environment has to be completed before the money can be provided,' a statement from WDM said.

The alliance of campaigners has already initiated one High Court challenge against the Treasury, in June last year, alleging that the government had failed to abide by its own rules and even to ensure that public money is only spent in ways that do not hamper human rights or contribute to climate change.

The governments responded by revealing that such a restriction would adversely affected financial stability of the bank, and that it would be inappropriate for ministers to impose wider policy objectives on RBS.

"RBS takes climate change very seriously and are one of the leading arrangers of finance to the renewable energy sector," A spokeswoman for the bank quoted.

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