BRUSSELS (Reuters) – European Union regulators approved a British plan allowing bailed-out Royal Bank of Scotland to support smaller alternative banks with funds totaling around 835 million pounds ($1.1 billion) to encourage competition.

The British government struck a deal with the European Commission in July for the plan, after RBS was unable to sell business banking unit Williams & Glyn and failed to meet one of the conditions of its 45 billion pound bailout.

The deal is significant for RBS as it ends the bank’s state aid commitments which is considered a major milestone on its path to recovery as well as its ability to pay dividends again.

see more at: http://www.businessinsider.com/r-eu-gives-nod-to-rbs-competition-plan-lifting-state-aid-curbs-2017-9?IR=T