The struggling Co-operative Bank has discovered a new £400m capital shortfall - in addition to its previous £1.5bn funding gap.
The bank said that in 2013 it was hit with an estimated £400m in payment protection insurance (PPI), interest rate swaps and other mis-selling claims.
It now expects to report a full-year pre-tax loss, when its results are released on April 8, of around £1.2bn to £1.3bn.
The bank added that job cuts hit the 1,000 level last year, or 14% of the workforce.
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