Bosses' failings caused RBS demise

Poor management decisions and the last Labour government's light-touch regulatory regime were key factors in the near-collapse of Royal Bank of Scotland, a long-awaited report by the City watchdog has said.

The Financial Services Authority (FSA) highlighted deficiencies in the management, governance and culture at RBS and said that the deal which effectively broke the bank - the £50 billion takeover of Dutch bank ABN Amro - was carried out with inadequate due diligence.