HSBC to increase money set aside for PPI mis-selling claims Last week, the chief executive of Lloyds Banking Group, Antonio Horta-Osorio, set aside a further £375m to cover compensation costs and did not rule out more increases despite analysts believing the sum would be revised down this year. Lloyds blamed the increase on a surge in complaints from customers in February and March this year, encouraged by ambulance-chasing claims-management companies. These companies submit compensation requests on behalf of customers in return for cuts of up to a third of any proceeds. Meanwhile, analysts have forecast that HSBC is likely to unveil pre-tax profits between $5.2bn and $6.4bn at today's interim management statement. Jason Napier, an analyst at Deutsche Bank, said: "We forecast an improvement in profitability [compared with the last quarter], primarily driven by Global Banking and Markets" (HSBC's investment banking division). Elsewhere, Royal Bank of Scotland said on Monday that it has appointed Ross McEwan to replace Brian Hartzer as chief executive of its UK Retail Banking division. Mr Hartzer is returning to Australia. Mr McEwan is joining RBS from the Commonwealth Bank of Australia, whose retail bank he has run since 2007.