Co-op accounts under investigation

The Financial Reporting Council (FRC) has launched an inquiry into the accounts of the beleaguered Co-operative Bank alongside a review by Sir Christopher Kelly into the bank's accounting practices and the role of auditors KPMG.

The announcement followed weeks of dramatic events at the bank, which came after KPMG warned of 'significant doubt on the bank's ability to continue as a going concern' last August, along with revelations of a £1.5bn hole in its accounts.