The financial sector is finally catching up with the demand for Islamic banking services. This year hopes to see the ground-breaking establishment of the IBB, which will cater to UK Muslims while also hoping to attract business from further afield.

Paranoia is in vogue in UK financial circles. The EU’s recent move to ban internalisation could hit London exchanges hard and the europhobes are out in force.

Henry Harington looks at the effect of September 11 on foreign banks in London, and finds many questioning their policy of maintaining all their operations under one roof.

Karina Robinson talks to Fred Goodwin, group chief executive, Royal Bank of Scotland.

Karina Robinson talks to the FSA’s Sir Howard Davies.