LONDON - British finance minister Jeremy Hunt and Bank of England Governor Andrew Bailey are in regular contact this weekend over the fate of Credit Suisse Group AG, according to a source with knowledge of the matter.
UBS Group AG is mulling a takeover of its embattled Swiss rival Credit Suisse, other sources told on Saturday, amid a crisis of confidence in the bank that risks destabilizing the global financial system.
Spokespeople at the Treasury and the UK finance ministry did not immediately respond to a request for comment. A spokesperson for the Bank of England's Prudential Regulation Authority, which oversees lenders, declined to comment.
The UK has been a key market for the Swiss lender. Credit Suisse's UK entity, Credit Suisse International, has $60 billion of risk weighted assets, according to the company's latest filings.
The bank also has $44.6 billion of risk weighted assets in its US unit.
(Reporting by Sinead Cruise, additional reporting by Stefania Spezzati; Writing by Elisa Martinuzzi; Editing by Deepa Babington)