Britain's Co-operative Bank said it would not need to raise capital after failing a Bank of England stress test.

Co-op Bank, which nearly collapsed last year and fell under the control of bondholders, said its core capital fell to -2.6 percent in the test, compared to a 4.5 percent pass mark.

The bank said it had been required to submit a new capital plan which had been accepted by the UK financial regulator.

The new plan will see it accelerate the reduction of its risk weighted assets by about 5.5 billion pounds by the end of 2018. The bank warned it would not be profitable until 2017 at the earliest.