The squeeze on European banks’ profit margins, resulting from European Central Bank policies, has exacerbated the pain arising from sluggish demand, intense competition and higher regulatory costs, with banks now earning less from lending as interest rates move lower.

Add to this the fact that banks are also paying for the privilege of parking money with the central bank (resulting from a deposit rate well below zero) and we may be about to see a radical shake-up of regional banking models - particularly since life is likely to get more uncomfortable following the UK's vote to leave the European Union.