Financial services group SNS Reaal, nationalised by the government earlier this year, posted a loss of €972m in 2012, according to financial results published on Thursday.

The group’s troubled Property Finance division and a number of other one-offs were behind the loss. SNS wrote off €941m on its property loans because of the continued deterioration in the property market.

The bank’s core retail banking and insurance activities posted net profit of €443m, corrected for incidentals.

Brussels

New chief executive Gerard van Olphen said in an interview with Thursday’s Volkskrant he expects the European Commission to come down hard on the bank.

‘The state support we have had is considerable and it is the second time we have had state support,’ Van Olphen told the paper.

He expects SNS Reaal to be forced to divest a number of its subsidiaries. Financial services group ING was forced to break up by Brussels after being bailed out by the Dutch government.