Days of "frenzied speculation" about an impending rights' issue by Royal Bank of Scotland (Guardian, 22 April) were confirmed in the wake of the Bank of England's announcement of the issuing of £50bn worth of Treasury bonds to shore up banks' lending positions. Despite repeated denials by RBS Chief Executive, Fred Goodwin less than two months ago that "there was no need for a rights issue" according to the Glasgow Herald "U-turns rarely come with more billions attached" (22 April). Immediately speculation turned to which other lenders would be forced to appeal to their shareholders for funds with HBOS and Barclays named as front-runners.

Goodwin and RBS chairman Tom McKillop, whose "main qualification for the job seemed to be only that he was Scottish" (Independent, 22 April) were said to be able to hang onto their jobs as "RBS has no ready-made successor" (The Sun, 22 April). But it was predicted that RBS will be forced into selling both Direct Line and Churchill Insurance. The Bank of England governor Mervyn King welcomed the news that the bank's own investors were likely to support the call, saying "I am pleased that banks have recognised the need to raise capital and I expect we will see more of it in the coming weeks" (Guardian, 22 April).