Co-op boss: Banking has become 'too difficult' in UK

The head of the Co-operative Group Peter Marks has said that "banking has become very difficult" in the UK and that economic growth is too poor to expect a profit.

He told ITV News' Economics Editor Richard Edgar that the Co-op remains committed to its banking operation but that he sees no point in expanding with interest rates likely to stay so low.

Read: Planned sale of 632 Lloyds branches to Co-op collapses

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Lloyds branches sale called off

The sale of 632 Lloyds Banking Group branches to the Co-operative Group has collapsed. The financial institution, which is 43% owned by the taxpayer, was forced to sell them by European regulators.