UK Financial Investments Limited (UKFI) has confirmed that it has sold around 5.4% of The Royal Bank of Scotland Group plc.

The disposal raised £2.08bn.

The shares were sold at 300p; however the RBS share priced closed at 337p yesterday, while the bank was bailed at by the taxpayer at 502p per share. This equities to a ‘loss’ of around £1bn.

The shareholding of HM Treasury will be reduced from 3,964,483,519 ordinary shares, representing approximately 61.3% of the ordinary share capital of the Company, to 3,334,483,519 ordinary shares, representing approximately 51.5% of the ordinary share capital.

Accordingly, the overall size of HM Treasury’s economic interest in the capital of the Company (which includes its holding of ordinary shares and B shares in the Company) will be reduced from approximately 78.3% to approximately 72.9%.