Barclays, Co-op, Nationwide, RBS and Lloyds responsible for higher-than-expected capital shortfall of £27.1bn None of the banks will have to sell new shares to raise the additional capital much of which will be raised through selling off assets. In addition to looking at the banks capital levels, regulators also investigated their risk weighted assets. Following this, the eight banks taking part in the exercise have been required to increase their risk weighted assets by £169.4bn. This increase reflects more conservative assumptions about the level of risky assets held by the banks. RBS has been required to make the biggest absolute adjustment, increasing its risk weighted assets by £56.3bn, according to the PRA, while HSBC has been required to increase its figure by £45bn. Kevin Burrowes, head of UK financial services at PwC, said the figures highlighted the "growing sense of concern among both regulators and analysts over banks" overall capital levels," but questioned the need for the exercise. "While more transparency is welcome, it is debatable whether this disclosure is supportive of pushing economic growth or facilitates more bank lending," said Mr Burrowes. The funding gaps today are roughly in line with those calculated by PIRC and revealed by The Daily Telegraph in March. Experts at the shareholder body have claimed that the International Financial Reporting Standards (IFRS) have hidden poor loans which have led to a drastic reduction in the capital levels held by the banks. PIRC applied old-style UK GAAP rules to the figures released in the 2012 banks" accounts to calculate a £30bn capital shortfall in the banks. The new regulators have spent months poring over the banks" books. On Wednesday night Sir Mervyn King said part of the regulatory reforms was to apply to bank capital tests a "more prudent estimates of expected losses and risk weights."