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RBS reports 27% quarterly profit rise

Royal Bank of Scotland reports a 27% increase in second-quarter profit after booking more mortgage business.

The Royal Bank of Scotland's chairman faced sharp criticism from shareholders at its annual meeting.

RBS says that the payment problems experienced by some customers earlier in the week have now been resolved and accounts have been updated.

Banks have "creaking" computer systems but the payments failure at RBS was "unacceptable", says the head of the UK banking body.

About 600,000 payments expected by customers of the RBS group of banks have failed to enter accounts overnight, the bank admits.

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