Deutsche funding hit

DEuTSCHE Bank is facing £180m in extra costs as it struggles to raise funds.

Bosses at the troubled German lender are concerned at how much investors are demanding in payments on bonds before they are willing to lend it money.

The bank has come under pressure as traders fret about its financial health, meaning they are insisting on hefty returns to make lending to Deutsche worth the risk. And analysts have warned it will cost £180m to service the bank’s debt unless it can bring costs down.

Standard & Poor’s downgraded the bank’s credit rating recently while its shares have dropped 40pc so far this year, all of which makes fundraising more expensive for the bank.