So, RBS have been fined £56M due to their IT systems meltdown in 2012 - but where does this money go ?

As a customer of natwest who was effected, am I going to see a cheque come through the door in the next few days - I suspect not !

So who gets the cash ?

I suspect the money is just going to end up in a black hole somewhere and not actually go to their customers. It will get pushed under the carpet and overshadowed by the next meltdown by a competitor bank in the months to come anyway.

Quite the opposite of course. Not only did we get bad service during that time, RBS/NatWest etc will pass the fine onto us as customers. Can't see the bosses taking a pay cut of the shareholders agreeing to hold off on the profit margins.

The whole thing is ridiculous. Just the government "taxing" companies (and therein people) on the sly.

According to the BBC 5live correspondent this morning, the fine does go to the treasury. Previous such fines have then been ring-fenced for good causes, charities, etc.

But maybe we'll be treated to another Paul Mason rant
https://www.youtube.com/watch?v=Wf7a53y9RRM

None of the reports on this seem to pick up on the fact that this was caused by bad management of an outsourced function. They just talk about historic underinvestment in IT by the bank, which while inevitably true, in this case was NOT the cause. An absolutely bang up to date IT function could still have caused that cock-up when upgrading it's scheduling software if proper procedures had not been laid down and followed because of slack management. Outsourcing may (OK does) reduce costs, but needs more, not less management - which costs.

Boring I know, but the truth sometimes is.

Don't get me wrong, I think heads should roll and fines (ultimately on the shareholders/us) have a questionable effect.

You can bet your bottom dollar that the poor sod who "pressed the button" so to speak in this case will have suffered big time, but the people in the management chain above him or her, well - maybe.

I normally don't watch the news but for a change watched it while eating my tea and after this story remembered just how dull it was