(Bloomberg) -- U.K. banks' exposure to the country's commercial real estate sector is more than 65 billion pounds ($84 billion), almost a third of the combined market value of the biggest lenders. While they may be forced to take losses after property funds froze withdrawals, it's manageable, according to Goldman Sachs Group Inc. Bank of England stress tests showed a 30 percent drop in real-estate asset values would reduce banks' tangible equity no more than 3 percent, Goldman Sachs said.
To contact the reporters on this story: Blaise Robinson in Paris at brobinson58@bloomberg.net, Chris Malpass in Berlin at cmalpass@bloomberg.net. To contact the editors responsible for this story: Gaurav Panchal at gpanchal2@bloomberg.net, Andrew Rummer, Sheldon Reback
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
