Remaining RBS lawsuit shareholders should get £1bn, report claims

The leaked independent report suggests that the shareholders, who were nearly wiped out as a result of the share sale, are due compensation of up to 94.5p in the pound, or more than £1 billion.

Earlier this month, RBS reached an £800 million deal to compensate around 77 per cent of shareholders represented by five groups.

However, the remainder are holding out and still plan to sue the bank and its former management.

They allege that investors were misled in 2008 when the bank undertook a £12 billion fundraising, but subsequently required a UK government bailout amounting to £45.5 billion, destroying most of the share value.

The shareholders are going to court this week to finalise the arrangements for the hearing that is expected to take place next March.

However, it has also been reported that to accommodate new lawyers and have former RBS chief executive Fred Goodwin appear as a witness, the shareholders want it moved to April.

Despite the deal struck with many shareholders, the Edinburgh-based bank has not accepted any liability and it said that it would contest any unsettled claims.

Back in October, RBS chief executive Ross McEwan said that although the bank was pursuing settlement talks it was ready to fight if the case went to court.

The bank has already made a $5.6 billion (£4.5 billion) provision to settle this and other historic misconduct charges.

The action group is represented by Signature Litigation.