Competitive pressures have intensified but we still expect French banks’ profits to grow this year, supported by retail and corporate and investment banking. But profitability still lags EU peers, as large operating structures weigh on cost efficiency.

Wednesday, July 23rd 2025 - 3:00 PM (CEST)

Tuesday, July 15th 2025 - 3:00 PM (CEST)

Santander’s acquisition of TSB from Banco de Sabadell reflects a broader trend among EU banks of strengthening core markets via acquisitions, while for Sabadell, it represents a renewed focus on its domestic market.

The credit outlook for Spanish non-financial corporates is markedly favourable compared with the rest of Europe but the shallowness of domestic debt capital markets remains an obstacle for investment and growth at smaller companies, says Scope Ratings.

Financial backers of European battery projects face a paradox. Political and industrial impetus to build a resilient regional electric-vehicle (EV) supply chain is strong, but technological, operational and commercial risks are high, says Scope Ratings.

The methodology is now final following a call-for-comments period and will apply to all issuer and debt ratings of chemicals companies. The methodology might have a positive impact of one notch for one rated entity.

Achieving NATO’s higher defence spending target of 3.5% of GDP will increase budget deficits and public debt across the EU, weakening sovereign credit profiles unless governments consider a mix of spending cuts, tax hikes, and joint defence funding

The Israel-Iran truce fails to permanently reduce geo-political uncertainties weighing on an already subdued economic outlook for Europe, exposed to continued volatility in energy prices, but the crisis’s impact on Europe’s economy is limited for now.

The methodology is now final and applies to all issuer and debt ratings of European retail and wholesale companies. The update refines Scope’s analytical approach and may have some negative impact on the current ratings of two issuers.