New RBS boss Ross McEwan may have to declare a loss when he unveils first set of results

By ALEX HAWKES, FINANCIAL MAIL ON SUNDAY

Updated: 07:03 EST, 20 October 2013

Royal Bank of Scotland’s new boss, Ross McEwan, might have to reveal a loss when he gives his first set of results at the bank next week.

McEwan replaced Stephen Hester at the start of September and the results for the third quarter will be his first public presentation.

Stockbroker Investec said it expects RBS to report a profit of just £6 million for the quarter – a margin so thin it could easily tip into a loss.

Business shake-up: RBS's investment banking division is expected to have shrunk further, causing a second-half loss

It has no doubt that it will show a loss when the figures for the whole second half of 2013 are reported early next year.

Investec analyst Ian Gordon said RBS’s investment banking division is expected to have shrunk further, causing the second-half loss.

RBS, which is 81 per cent owned by the taxpayer, is expected to increase provisions in the fourth quarter of the year for the mis-selling of interest rate swaps, causing the loss.