The government could begin the process of selling shares in the Royal Bank of Scotland (RBS) as early as today (Monday), according to a report by the BBC.

At a closing price of 341 pence on Friday for RBS shares, the government stake is worth approximately £31 billion, which indicates a potential loss of over £14 billion for the entire stake.

The Treasury paid 500p per share in 2008, but shares now stand at around 342p.

The Government aims to sell around three-quarters of its stake in RBS by the end of the current five-year parliament.

Under this, investors indicate what they are prepared to pay for a certain number of shares with the banks calculating how they can sell the stake at the highest price.

Should there be too little interest, a sale could be attempted again from September, the BBC understands.

When contacted by This is Money, UKFI declined to comment on the reports regarding the possible RBS stake move.

Since its government bailout, RBS has cut back several of its global operations shedding over £1 trillion of assets. The bank had to set aside £1.3bn for bank scandal charges and Chief executive Ross McEwan cautioned of more pain to come.

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It comes after the bank reported a 38pc rise in profits in the second quarter, despite an additional £1.4bn of PPI compensation costs.

The United Kingdom government lowered its stake in Lloyds Banking Group Plc to less than 14 percent as it pushed on with a plan to recoup 20.5 billion pounds ($32 billion) taxpayers spent to bail out the company.

Lloyds said Monday the government now owns 9.98 billion shares, or 13.99% of the bank’s voting rights.

‘This reflects the hard work undertaken over the last four years to transform the Group in to a simple, low-risk and customer-focused bank that is committed to helping Britain prosper.’.