The European Commission has approved a restructuring and impaired asset relief scheme for the Royal Bank of Scotland, saying the measures fell within state aid rules. 

The Commission said the restructuring proposals should create a sustainable future for the bank, one of the largest financial services groups. 

Among the measures the bank is taking is a commitment to divest from all non - core and riskier business lines, including its insurance, transaction management and commodity trading operations, moves that will free resources for core banking.