LONDON -- Nicholas Goodison, chairman of TSB Group PLC, said mergers in Britain's financial-services sector would not end with the current bidding battle for Midland Bank PLC.

"The next five to 10 years will see more rationalization among banks and building societies," he said in an interview. "There is excess cost in the sector, and banking per se is more a stable than a growth industry."

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.