Coutts & Co, part of Royal Bank of Scotland, is being probed by the Financial Services Authority over its selling of enhanced money market products prior to the credit crunch, hard on the heels of a separate investigation launched earlier this week.

RBS said today: "In July 2010, the FSA notified RBS Group that it was commencing an investigation into the sale by Coutts & Co of Alico (American Life Insurance Company) Premier Access Bond Enhanced Variable Rate Fund to customers between 2001 and 2008 as well as its subsequent review of those sales."