RBS and Barclays share price up on FTSE 100 as future of euro, EU in doubt

Shares in British banks were mixed on the FTSE 100 following earlier falls as the eurozone faces off against a debt crisis.

Today European Union finance ministers are meeting for a second day in a bid to solve the crisis, which is currently looking to engulf Ireland, Portugal and even the wider EU.

Senior figures such as German Chancellor Angela Merkel and the President of the European Council Herman Van Rompuy have suggested that the failure of the euro could threaten the EU's very existence.

The Irish government, despite much speculation to the contrary, has denied that it needs a bailout in order to cover the debts of its crippled banking industry.

Meanwhile in Spain and Portugal ten year gilts rose to 4.6 per cent and 6.8 per cent respectively as fears mounted that the debt crisis would prove contagious.

Yesterday shares in British banks fell, as did stocks across the world, thanks to the ongoing crisis. Today however some shares recovered a little, indicating that investors may be taking advantage of the lower prices.

By 09:50 shares in Lloyds Banking Group were down 0.15 per cent to 66.50 pence per share and HSBC shares declined 0.42 per cent to 662.20 pence per share.

However RBS shares rose 0.83 per cent to 41.20 pence per share and Barclays shares increased 0.09 per cent to 274.05 pence per share.

Overall the FTSE 100 was down 0.08 per cent to 5,677.54.