Co-op Bank to raise extra £400m after hole discovered

The troubled Co-op Bank says it needs to raise another £400m after the discovery of additional costs related to past misconduct.

The biggest part of the additional costs relates to PPI mis-selling and lapses in the provision of mortgages.

The bank said the discovery meant it would make a loss of £1.2bn to £1.3bn for 2013.

Simon Gompertz reports.