Spanish banking giant Santander are considering the acquisition of Clydesdale and Yorkshire banks for £2 billion.

The acquisitions would allow Santander to increase its share of banking in the SME markets where both banks specialise.

Both Clydesdale and Yorkshire banks are owned by the National Bank of Australia, which is looking to sell on the banks as loss making organisations.

In the interview with the Independent, Santander UK's chief executive Ana Botin said: "We are currently working on plans to grow our retail business, our SME business, we are building a team for large corporates in the UK which we didn't have before."