FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington D.C. 20549
 
 
Report of Foreign Private Issuer
 
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
 
For December 21, 2017
Commission File Number: 001-10306
 
The Royal Bank of Scotland Group plc
 
RBS, Gogarburn, PO Box 1000
Edinburgh EH12 1HQ
 
(Address of principal executive offices)
 
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
 
   Form 20-F X Form 40-F ___
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):_________
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):_________
 
 
 
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
 
Yes ___ No X
 
 
If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- ________
 
 
 
 
The following information was issued as Company announcements in London, England and is furnished pursuant to General Instruction B to the General Instructions to Form 6-K: 
 
 
 
 
Segmental Reporting Restatement
Document
 
December 2017
 
 
 
The Royal Bank of Scotland Group plc (RBS)
 
Contents
 
Page
 
 
Forward-looking statements
1
Overview of business re-segmentation
1
Business transfers
2
Customer segments
3
 
 
Appendix - Re-segmentation reconciliations
 
 
 
 
Forward-looking statements
Certain sections in this document contain forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, including (but not limited to) those with respect to RBS and its subsidiaries' regulatory capital position, financial position, risk-weighted assets, profitability and financial performance and the implementation of RBS's transformation programme under certain specified scenarios. In addition, forward-looking statements may include, without limitation, statements containing words such as "intends", "believes", "expects", "anticipates", "targets", "plans", "will" and similar expressions or variations on these expressions. These statements concern or may affect future matters, such as RBS's future economic results, business and capital plans and ability to achieve current strategies. Forward-looking statements are subject to a number of risks and uncertainties that might cause actual results and performance to differ materially from any expected future results or performance expressed in, or implied by, the forward-looking statements. Factors that could cause or contribute to differences in current expectations include, but are not limited to, legislative, political, fiscal and regulatory developments, accounting standards, competitive conditions, technological developments, interest and exchange rate fluctuations and general economic conditions. These and other factors, risks and uncertainties that may impact any forward-looking statement or RBS's actual results are discussed in RBS's 2016 Annual Report and Accounts and its interim results for the six-months ended 30 June 2017 and materials filed with, or furnished to, the United States Securities and Exchange Commission, including, but not limited to, RBS's most recent Annual Report on Form 20-F and Reports on Form 6-K. The forward-looking statements contained in this document speak only as of the date they are made or revised and RBS does not assume or undertake any obligation or responsibility to update any of the forward-looking statements contained in this document, whether as a result of new information, future events or otherwise, except to the extent legally required.
 
Overview of business re-segmentation
This announcement sets out changes to RBS's operating segments and changes in results presentation. The announcement contains re-presented financial results for the year ended 31 December 2016 and, to aid comparison of RBS's fourth quarter 2017 results with prior periods, re-presented financial information for the quarters ended 30 September 2017 and 31 December 2016.
 
Segmental reorganisation
RBS continues to deliver on its plan to build a strong, simple and fair bank for both customers and shareholders. To support this and reflect the progress made, the previously reported operating segments are now realigned. Unless otherwise stated, the following segments have been re-presented for the above periods.
 
Williams & Glyn (W&G) is integrated into UK Personal and Business Banking (UK PBB). UK PBB serves individuals and mass affluent customers in the UK together with small and medium businesses, including Ulster Bank customers in Northern Ireland.
Capital Resolution, with the exception of the Retail Mortgaged Backed Securities (RMBS) litigation costs, is integrated into NatWest Markets (NWM). NWM provides financing and risk management to corporate and global financial institutional customers and trades with financial institutions, investors and counterparties for distribution and market making.
Capital Resolution RMBS litigation related costs are now included, at a reportable operating segment level, within Central items & other. There has been no impact on the legal entity level reporting. Central items include corporate functions, such as treasury, finance, risk management, compliance, legal, communications and human resources. Central functions manage RBS capital resources and RBS wide regulatory projects and provide services to the reportable segments.
NatWest Markets (NWM) sees a reallocation of expenses between direct and indirect as a result of reorganisation in preparation for the implementation of the UK ring fencing regime. This representation takes effect from 1 January 2017 and does not affect previous periods.
RBS International (RBSI) is moved out-with the Commercial and Private Banking (CPB) franchise, in preparation for the implementation of the UK ring fencing regime.
 
 
The Royal Bank of Scotland Group plc (RBS)
 
Business transfers
Changes to RBS's businesses, which impact its financial reporting, but where comparatives are not re-presented, are detailed below. Unless otherwise stated, the effective date of implementation is 1 October 2017.
 
Shipping and other activities, which were formerly in Capital Resolution, are transferred from NWM to Commercial Banking. Commercial Banking serves commercial and corporate customers in the UK.
UK PBB Collective Investment Funds (CIFL) business is transferred to Private Banking in order to better serve customers. Private Banking serves high net worth individuals in the UK.
The RBS International (RBSI) reportable operating segment is aligned to the legal entity The Royal Bank of Scotland International (Holdings) Limited. This predominantly involved transfers from Private Banking and Services and Functions within Central items & other in preparation for the implementation of the UK ring-fencing regime.
Commercial Banking whole business securitisations and relevant financial institutions (RFI) are transferred to NWM during December 2017. RFIs are prohibited from being within the ring-fence due to their nature and exposure to global financial markets, the move is in preparation for the implementation of the UK ring-fencing regime.
 
 
Impact of business transfers
 
30 September 2017
 
 
Shipping and other activities
£bn
 
Collective Investment Funds
£bn
 
RBSI entity alignment
£bn
 
Commercial Bank RFI transfers
£bn
 
 
 
 
 
Total assets
3.3
-
0.2
1.0
Risk-weighted assets
2.1
-
0.1
0.6
Assets under management
-
3.3
1.2
-
 
Annual results 2017
RBS's results for the year ended 31 December 2017 will be announced on Friday 23 February 2018. These results will be reported on the new structure and reporting basis as described above.
 
In conjunction with this Segmental Reporting Restatement Document, a financial supplement showing re-presented financial information for the last nine quarters is available at www.rbs.com/results   
 
Document roadmap
Pages 3 to 8 of this document show the income statement, balance sheet line items and key metrics for the new reportable segments.
 
Re-segmentation reconciliation Appendix - summarises how the previously reported segments are allocated to the new reportable segments. These tables include the income statement, key metrics (e.g. return on equity (ROE), net interest margin, cost:income ratio and balance sheet line items).
 
For further information contact:
 
Matt Waymark
Investor Relations
+ 44 (0)20 7672 2802
 
Group Media Centre
+44 (0)131 523 4205
 
Customer segments
 
 
 
 
 
 
 
 
 
 
 
 
 
Quarter ended 30 September 2017
 
PBB
 
CPB
 
 
 
 
 
 
 
Ulster Bank
 
Commercial
Private
RBS
NatWest
 
Central items
Total
 
UK PBB
RoI
 
Banking
Banking
International
Markets
 
& other (1)
RBS
Income statement
£m
£m
 
£m
£m
£m
£m
 
£m
£m
 
 
 
 
 
 
 
 
 
 
 
Net interest income
1,294
104
 
570
116
83
99
 
38
2,304
Non-interest income
463
46
 
358
50
14
(74)
 
1
858
Own credit adjustments
-
-
 
-
-
-
(5)
 
-
(5)
 
 
 
 
 
 
 
 
 
 
 
Total income
1,757
150
 
928
166
97
20
 
39
3,157
 
 
 
 
 
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
 
 
 
 
 
  - staff
(191)
(50)
 
(113)
(36)
(13)
(163)
 
(388)
(954)
  - other
(55)
(17)
 
(55)
(6)
(3)
(72)
 
(612)
(820)
Indirect expenses
(525)
(52)
 
(252)
(58)
(33)
(132)
 
1,052
-
Restructuring costs
 
 
 
 
 
 
 
 
 
 
  - direct
(1)
(1)
 
(2)
(1)
(2)
(29)
 
(208)
(244)
  - indirect
(47)
(8)
 
(19)
(2)
(28)
 
104
-
Litigation and conduct costs
(1)
 
(2)
(8)
(102)
 
(12)
(125)
 
 
 
 
 
 
 
 
 
 
 
Operating expenses
(819)
(129)
 
(443)
(103)
(59)
(526)
 
(64)
(2,143)
 
 
 
 
 
 
 
 
 
 
 
Operating profit/(loss) before impairment (losses)/releases
938
21
 
485
63
38
(506)
 
(25)
1,014
Impairment (losses)/releases
(78)
10
 
(151)
3
2
71
 
-
(143)
 
 
 
 
 
 
 
 
 
 
 
Operating profit/(loss)
860
31
 
334
66
40
(435)
 
(25)
871
 
 
 
 
 
 
 
 
 
 
 
Memo:
 
 
 
 
 
 
 
 
 
 
Total income - adjusted (2)
1,757
150
 
928
166
97
25
 
39
3,162
Operating expenses - adjusted (3)
(771)
(119)
 
(420)
(100)
(49)
(367)
 
52
(1,774)
Operating profit/(loss) - adjusted (2,3)
908
41
 
357
69
50
(271)
 
91
1,245
 
 
 
 
 
 
 
 
 
 
 
For the notes to this table refer to page 8.
 
 
 
 
 
 
 
Customer segments
 
 
Quarter ended 30 September 2017
 
PBB
 
CPB
 
 
 
 
 
 
 
Ulster Bank
 
 Commercial
Private
RBS
NatWest
 
Central items
 Total
Key metrics
UK PBB
RoI
 
Banking
Banking
International
Markets
 
& other (1)
RBS
 
 
 
 
 
 
 
 
 
 
 
Return on equity (4)
34.2%
4.6%
 
8.6%
13.2%
10.4%
(15.4%)
 
nm
4.5%
Return on equity - adjusted (2,3,4)
36.2%
6.1%
 
9.3%
13.8%
13.6%
(10.3%)
 
nm
8.2%
Net interest margin
2.83%
1.58%
 
1.74%
2.39%
1.39%
1.24%
 
nm
2.12%
Cost:income ratio
46.6%
86.0%
 
45.7%
62.0%
60.8%
nm
 
nm
67.5%
Cost:income ratio - adjusted (2,3)
43.9%
79.3%
 
43.1%
60.2%
50.5%
nm
 
nm
55.6%
Loan impairment charge as a % of gross loans and advances
0.2%
(0.2%)
 
0.6%
nm
nm
nm
 
nm
nm
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As at 30 September 2017
Capital and balance sheet
£bn
£bn
 
£bn
£bn
£bn
£bn
 
£bn
£bn
 
 
 
 
 
 
 
 
 
 
 
Loan impairment provisions
(1.3)
(1.1)
 
(0.8)
-
-
(0.5)
 
(0.2)
(3.9)
Net loans and advances to customers
160.8
19.5
 
96.6
13.3
9.3
25.1
 
0.1
324.7
Funded assets
190.1
25.1
 
147.3
19.9
24.3
134.9
 
38.4
580.0
Risk elements in lending
2.0
3.4
 
1.7
0.1
0.1
1.6
 
0.1
9.0
Customer deposits (excluding repos)
178.6
17.3
 
98.2
27.0
24.9
13.7
 
0.2
359.9
Loan:deposit ratio (excluding repos)
90%
113%
 
98%
49%
37%
184%
 
nm
90%
Provision coverage (5)
65%
33%
 
48%
37%
31%
nm
 
nm
43%
Risk-weighted assets
43.3
17.9
 
74.6
9.2
9.6
54.9
 
1.1
210.6
RWA equivalent
47.0
18.9
 
77.4
9.2
9.6
59.1
 
1.3
222.5
 
 
 
 
 
 
 
 
 
 
 
For notes to this table refer to page 8.
 
 
 
 
 
 
 
 
 
 
 
Customer segments
 
 
 
 
 
 
 
 
 
 
 
 
 
Quarter ended 31 December 2016
 
PBB
 
CPB
 
 
 
 
 
 
 
Ulster Bank
 
Commercial
Private
RBS
NatWest
 
Central items
Total
 
UK PBB
RoI
 
Banking
Banking
International
Markets
 
& other (1)
RBS
Income statement
£m
£m
 
£m
£m
£m
£m
 
£m
£m
 
 
 
 
 
 
 
 
 
 
 
Net interest income
1,263
105
 
542
111
77
73
 
37
2,208
Non-interest income
293
32
 
325
50
19
(44)
 
446
1,121
Own credit adjustments
-
-
 
-
-
-
(37)
 
(77)
(114)
Gain on redemption of own debt
-
-
 
-
-
-
 
1
1
 
 
 
 
 
 
 
 
 
 
 
Total income
1,556
137
 
867
161
96
(8)
 
407
3,216
 
 
 
 
 
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
 
 
 
 
 
  - staff
(196)
(57)
 
(130)
(39)
(12)
(87)
 
(504)
(1,025)
  - other
(76)
(23)
 
(69)
(12)
(4)
(10)
 
(1,000)
(1,194)
Indirect expenses
(602)
(65)
 
(357)
(95)
(45)
(417)
 
1,581
Restructuring costs
 
 
 
 
 
 
 
 
 
 
  - direct
(1)
(6)
 
(12)
(6)
(1)
(24)
 
(957)
(1,007)
  - indirect
(50)
2
 
(34)
(8)
(1)
(30)
 
121
Litigation and conduct costs
(214)
(77)
 
(407)
1
(1)
(581)
 
(2,849)
(4,128)
 
 
 
 
 
 
 
 
 
 
 
Operating expenses
(1,139)
(226)
 
(1,009)
(159)
(64)
(1,149)
 
(3,608)
(7,354)
 
 
 
 
 
 
 
 
 
 
 
Operating profit/(loss) before impairment (losses)/releases
417
(89)
 
(142)
2
32
(1,157)
 
(3,201)
(4,138)
Impairment (losses)/releases
(27)
47
 
(83)
8
1
130
 
(1)
75
 
 
 
 
 
 
 
 
 
 
 
Operating profit/(loss)
390
(42)
 
(225)
10
33
(1,027)
 
(3,202)
(4,063)
 
 
 
 
 
 
 
 
 
 
 
Memo:
 
 
 
 
 
 
 
 
 
 
Total income - adjusted (2)
1,556
137
 
867
161
96
29
 
483
3,329
Operating expenses - adjusted (3)
(874)
(145)
 
(556)
(146)
(61)
(514)
 
77
(2,219)
Operating profit/(loss) - adjusted (2,3)
655
39
 
228
23
36
(355)
 
559
1,185
 
 
 
 
 
 
 
 
 
 
 
For the notes to this table refer to page 8.
 
 
 
 
 
 
 
Customer segments
  
 
Quarter ended 31 December 2016
 
PBB
 
CPB
 
 
 
 
 
 
 
Ulster Bank
 
 Commercial
Private
RBS
NatWest
 
Central items
 Total
Key metrics
UK PBB
RoI
 
Banking
Banking
International
Markets
 
& other (1)
RBS
 
 
 
 
 
 
 
 
 
 
 
Return on equity (4)
15.1%
(5.8%)
 
(9.1%)
1.6%
8.8%
(27.0%)
 
nm
(48.2%)
Return on equity - adjusted (2,3,4)
26.2%
5.4%
 
5.3%
4.5%
9.8%
(10.3%)
 
nm
8.6%
Net interest margin
2.91%
1.59%
 
1.68%
2.50%
1.34%
0.86%
 
nm
2.19%
Cost:income ratio
73.2%
165.0%
 
117.1%
98.8%
66.7%
nm
 
nm
230.2%
Cost:income ratio - adjusted (2,3)
56.2%
105.8%
 
62.6%
90.7%
63.5%
nm
 
nm
66.3%
Loan impairment charge as a % of gross loans and advances
0.1%
(0.9%)
 
0.3%
nm
nm
nm
 
nm
nm
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As at 31 December 2016
Capital and balance sheet
£bn
£bn
 
£bn
£bn
£bn
£bn
 
£bn
£bn
 
 
 
 
 
 
 
 
 
 
 
Loan impairment provisions
(1.5)
(1.2)
 
(0.8)
(0.8)
 
(0.2)
(4.5)
Net loans and advances to customers
152.7
18.9
 
100.1
12.2
8.8
30.2
 
0.1
323
Funded assets
181.4
24
 
150.5
18.5
23.4
128.5
 
25.4
551.7
Customer deposits (excluding repos)
170.0
16.1
 
97.9
26.6
25.2
17.9
 
0.2
353.9
Loan:deposit ratio (excluding repos)
90%
117%
 
102%
46%
35%
169%
 
nm
91%
Provision coverage (5)
65%
34%
 
43%
30%
35%
nm
 
nm
43%
Risk-weighted assets
42.3
18.1
 
78.5
8.6
9.5
69.7
 
1.5
228.2
RWA equivalent
45.8
19.5
 
82.6
8.6
9.5
74.7
 
1.7
242.4
 
For the notes to this table refer to page 8.
 
Customer segments
 
 
 
 
 
 
 
 
 
 
 
 
 
Year ended 31 December 2016
 
PBB
 
CPB
 
 
 
 
 
 
 
Ulster Bank
 
Commercial
Private
RBS
NatWest
 
Central items
Total
 
UK PBB
RoI
 
Banking
Banking
International
Markets
 
& other (1)
RBS
Income statement
£m
£m
 
£m
£m
£m
£m
 
£m
£m
 
 
 
 
 
 
 
 
 
 
 
Net interest income
4,945
409
 
2,143
449
303
343
 
116
8,708
Non-interest income
1,182
164
 
1,272
208
71
763
 
4
3,664
Own credit adjustments
-
3
 
-
-
-
187
 
(10)
180
Loss on redemption of own debt
-
-
 
-
-
-
-
 
(126)
(126)
Strategic disposals
-
-
 
-
-
-
(81)
 
245
164
 
 
 
 
 
 
 
 
 
 
 
Total income
6,127
576
 
3,415
657
374
1,212
 
229
12,590
 
 
 
 
 
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
 
 
 
 
 
  - staff
(832)
(207)
 
(522)
(154)
(45)
(358)
 
(2,364)
(4,482)
  - other
(320)
(55)
 
(235)
(44)
(17)
(119)
 
(2,948)
(3,738)
Indirect expenses
(2,246)
(195)
 
(1,179)
(313)
(107)
(1,607)
 
5,647
Restructuring costs
 
 
 
 
 
 
 
 
 
 
  - direct
(46)
(38)
 
(25)
(7)
(2)
(75)
 
(1,913)
(2,106)
  - indirect
(198)
(2)
 
(83)
(30)
(3)
(115)
 
431
Litigation and conduct costs
(634)
(172)
 
(423)
(1)
(550)
 
(4,088)
(5,868)
 
 
 
 
 
 
 
 
 
 
 
Operating expenses
(4,276)
(669)
 
(2,467)
(549)
(174)
(2,824)
 
(5,235)
(16,194)
 
 
 
 
 
 
 
 
 
 
 
Operating profit/(loss) before impairment (losses)/releases
1,851
(93)
 
948
108
200
(1,612)
 
(5,006)
(3,604)
Impairment (losses)/releases
(125)
113
 
(206)
3
(10)
(253)
 
(478)
 
 
 
 
 
 
 
 
 
 
 
Operating profit/(loss)
1,726
20
 
742
111
190
(1,865)
 
(5,006)
(4,082)
 
 
 
 
 
 
 
 
 
 
 
Memo:
 
 
 
 
 
 
 
 
 
 
Total income - adjusted (2)
6,127
573
 
3,415
657
374
1,106
 
120
12,372
Operating expenses - adjusted (3)
(3,398)
(457)
 
(1,936)
(511)
(169)
(2,084)
 
335
(8,220)
Operating profit/(loss) - adjusted (2,3)
2,604
229
 
1,273
149
195
(1,231)
 
455
3,674
 
 
 
 
 
 
 
 
 
 
 
For the notes to this table refer to page 8.
 
 
 
 
 
 
 
Customer segments
  
 
Year ended 31 December 2016
 
PBB
 
CPB
 
 
 
 
 
 
 
Ulster Bank
 
 Commercial
Private
RBS
NatWest
 
Central items
 Total
Key metrics
UK PBB
RoI
 
Banking
Banking
International
Markets
 
& other (1)
RBS
 
 
 
 
 
 
 
 
 
 
 
Return on equity (4)
16.2%
0.7%
 
4.1%
5.6%
13.8%
(12.5%)
 
nm
(17.9%)
Return on equity - adjusted (2,3,4)
25.1%
8.4%
 
8.4%
7.8%
14.2%
(8.7%)
 
nm
1.6%
Net interest margin
2.97%
1.62%
 
1.76%
2.66%
1.36%
0.91%
 
nm
2.18%
Cost:income ratio
69.8%
116.1%
 
71.0%
83.6%
46.5%
nm
 
nm
129.0%
Cost:income ratio - adjusted (2,3)
55.5%
79.8%
 
54.8%
77.8%
45.2%
188.4%
 
nm
66.0%
Loan impairment charge as a % of gross loans and advances
0.1%
(0.6%)
 
0.2%
nm
nm
nm
 
nm
nm
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
As at 31 December 2016
Capital and balance sheet
£bn
£bn
 
£bn
£bn
£bn
£bn
 
£bn
£bn
 
 
 
 
 
 
 
 
 
 
 
Loan impairment provisions
(1.5)
(1.2)
 
(0.8)
(0.8)
 
(0.2)
(4.5)
Net loans and advances to customers
152.7
18.9
 
100.1
12.2
8.8
30.2
 
0.1
323
Funded assets
181.4
24.0
 
150.5
18.5
23.4
128.5
 
25.4
551.7
Customer deposits (excluding repos)
170.0 
16.1
 
97.9 
26.6
25.2
17.9
 
0.2
353.9
Loan:deposit ratio (excluding repos)
90%
117%
 
102%
46%
35%
169%
 
nm
91%
Provision coverage (5)
65%
34%
 
43%
30%
35%
nm
 
nm
43%
Risk-weighted assets
42.3
18.1
 
78.5
8.6
9.5
69.7
 
1.5
228.2
RWA equivalent
45.8
19.5
 
82.6
8.6
9.5
74.7
 
1.7
242.4
 
 
 
 
 
 
 
 
 
 
 
 
nm = not meaningful
 
Notes:
(1)
Central items includes unallocated costs and assets which principally comprise volatile items under IFRS.
(2)
Excluding own credit adjustments, gain/(loss) on redemption of own debt and strategic disposals.
(3)
Excluding restructuring costs and litigation and conduct costs.
(4)
RBS's CET 1 target is 13% but for the purposes of computing segmental return on equity (ROE), to better reflect the differential drivers of capital usage, segmental operating profit after tax and adjusted for preference dividends is divided by average notional equity allocated at different rates of 14% (Ulster Bank RoI - 11% prior to Q1 2017), 11% (Commercial Banking), 14% (Private Banking - 15% prior to Q1 2017), 12% (RBS International) and 15% for all other segments, of the monthly average of segmental risk-weighted assets incorporating the effect of capital deductions (RWAes). RBS's Return on equity is calculated using profit for the period attributable to ordinary shareholders.
(5)
Provision coverage represents loan impairment provisions as a percentage of risk elements in lending.
 
 
 
 
Appendix
 
Re-segmentation reconciliation
 
 
UK PBB 
 
 
 
Quarter ended
 
Quarter ended
 
Year ended
 
 30 September 2017
 
 31 December 2016
 
 31 December 2016
 
Previously
From
Total
 
Previously
From
Total
 
Previously
From
Total
 
reported
W&G
UK PBB
 
reported
W&G
UK PBB
 
reported
W&G
UK PBB
Income statement
£m
£m
£m
 
£m
£m
£m
 
£m
£m
£m
 
 
 
 
 
 
 
 
 
 
 
 
Net interest income
1,128 
166 
1,294 
 
1,093 
170 
1,263 
 
4,287 
658 
4,945 
Non-interest income
420 
43
463 
 
246 
47
293 
 
1,003 
179 
1,182 
 
 
 
 
 
 
 
 
 
 
 
 
Total income
1,548 
209
1,757 
 
1,339 
217
1,556 
 
5,290
837 
6,127 
 
 
 
 
 
 
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
 
 
 
 
 
 
  - staff
(163)
(28)
(191)
 
(161)
(35)
(196)
 
(690)
(142)
(832)
  - other
(51)
(4)
(55)
 
(72)
(4)
(76)
 
(293)
(27)
(320)
Indirect expenses
(485)
(40)
(525)
 
(544)
(58)
(602)
 
(2,022)
(224)
(2,246)
Restructuring costs
 
 
 
 
 
 
 
 
 
 
 
  - direct
(1)
--
(1)
 
(1)
--
(1)
 
(51)
(46)
  - indirect
(47)
--
(47)
 
(50)
--
(50)
 
(136)
(62)
(198)
Litigation and conduct costs
--
--
--
 
(214)
--
(214)
 
(634)
--
(634)
 
 
 
 
 
 
 
 
 
 
 
 
Operating expenses
(747)
(72)
(819)
 
(1,042)
(97)
(1,139)
 
(3,826)
(450)
(4,276)
 
 
 
 
 
 
 
 
 
 
 
 
Operating profit before impairment
 
 
 
 
 
 
 
 
 
 
 
  losses
801 
137 
938 
 
297 
120 
417 
 
1,464
387 
1,851 
Impairment losses
(67)
(11)
(78)
 
(16)
(11)
(27)
 
(83)
(42)
(125)
 
 
 
 
 
 
 
 
 
 
 
 
Operating profit
734 
126 
860 
 
281 
109 
390 
 
1,381 
345 
1,726 
 
 
 
 
 
 
 
 
 
 
 
 
Memo:
 
 
 
 
 
 
 
 
 
 
 
Operating expenses - adjusted (1)
(699)
(72)
(771)
 
(777)
(97)
(874)
 
(3,005)
(393)
(3,398)
Operating profit - adjusted (1)
782 
126 
908 
 
546 
109 
655 
 
2,202 
402 
2,604 
 
 
 
 
 
 
 
 
 
 
 
 
Key metrics
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Return on equity (2)
36.8%
24.6%
34.2%
 
13.5%
20.6%
15.1%
 
16.2%
16.2%
16.2%
Return on equity - adjusted (1,2)
39.3%
24.6%
36.2%
 
27.8%
20.6%
26.2%
 
26.7%
18.9%
25.1%
Net interest margin
2.87%
2.60%
2.83%
 
2.94%
2.69%
2.91%
 
3.01%
2.71%
2.97%
Cost:income ratio
48.3%
34.4%
46.6%
 
77.8%
44.7%
73.2%
 
72.3%
53.8%
69.8%
Cost:income ratio - adjusted (1)
45.2%
34.4%
43.9%
 
58.0%
44.7%
56.2%
 
56.8%
47.0%
55.5%
Loan impairment charge as % of gross
 
 
 
 
 
 
 
 
 
 
 
   customer loans and advances
0.2%
0.2%
0.2%
 
--
0.2%
0.1%
 
0.1%
0.2%
0.1%
 
 
30 September 2017
 
31 December 2016
 
Previously
From
Total
 
Previously
From
Total
 
reported
W&G
UK PBB
 
reported
W&G
UK PBB
Capital and balance sheet
£bn
£bn
£bn
 
£bn
£bn
£bn
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gross loans and advances to customers
141.5 
20.6 
162.1 
 
133.4 
20.8 
154.2 
Loan impairment provisions
(1.1)
(0.2)
(1.3)
 
(1.3)
(0.2)
(1.5)
 
 
 
 
 
 
 
 
Net loans and advances to customers
140.4 
20.4
160.8 
 
132.1 
20.6 
152.7 
Funded assets
164.5 
25.6
190.1 
 
155.6 
25.8 
181.4 
Risk elements in lending
1.7 
0.3
2.0 
 
2.0 
0.4 
2.4 
Customer deposits (excluding repos)
154.0 
24.6
178.6 
 
145.8 
24.2 
170.0 
Loan:deposit ratio (excluding repos)
91%
83%
90%
 
91%
85%
90%
Provision coverage (3)
65%
65%
65%
 
65%
65%
65%
Risk-weighted assets
34.0
9.3
43.3 
 
32.7 
9.6 
42.3 
 
Notes:
 
(1)
Excluding restructuring costs and litigation and conduct costs.
(2)
RBS's CET 1 target is 13% but for the purposes of computing segmental return on equity (ROE), to better reflect the differential drivers of capital usage, segmental operating profit after tax and adjusted for preference dividends is divided by average notional equity allocated at a rate of 15%  of the monthly average of segmental risk-weighted assets incorporating the effect of capital deductions (RWAes). RBS's Return on equity is calculated using profit for the period attributable to ordinary shareholders.
(3)
Provision coverage represents loan impairment provisions as a percentage of risk elements in lending.
 
 
 
 
 
 
NatWest Markets
 
 
Quarter ended
 
 30 September 2017
 
 
 
From
 
 
Previously
From Capital
Central items
Total
 
reported
Resolution
& other
NWM
Income statement
£m
£m
£m
£m
 
 
 
 
 
Net interest income
23 
76 
--
99 
Net fees and commissions
27
--
33
Income from trading activities
350
(462)
--
(112)
Own credit adjustments
(7)
--
(5)
Other operating income
1
--
5
Non-interest income
371
(450)
--
(79)
 
 
 
 
 
Total income
394
(374)
--
20 
 
 
 
 
 
Direct expenses
 
 
 
 
  - staff
(143)
(7)
(13)
(163)
  - other
(50)
(19)
(3)
(72)
Indirect expenses
(113)
(35)
16 
(132)
Restructuring costs
 
 
 
 
  - direct
(18)
(65)
54 
(29)
  - indirect
(13)
39  
(54)
(28)
Litigation and conduct costs
(13)
(89)
--
(102)
 
 
 
 
 
Operating expenses
(350)
(176)
--
(526)
 
 
 
 
 
Operating profit/(loss) before impairment
 
 
 
 
  releases
44 
(550)
--
(506)
Impairment releases
--
71 
--
71 
 
 
 
 
 
Operating profit/(loss)
44
(479)
--
(435)
 
 
 
 
 
Memo:
 
 
 
 
Total income - adjusted (1)
401
(376)
--
25 
Operating expenses - adjusted (1,2)
(306)
(61)
--
(367)
Operating profit/(loss) - adjusted (1,2)
95
(366)
--
(271)
 
 
 
 
 
Key metrics
 
 
 
 
 
 
 
 
 
Return on equity (3)
0.6%
nm
nm
(15.4%)
Return on equity - adjusted (1,2,3)
3.6%
nm
nm
(10.3%)
Net interest margin
0.48%
nm
nm
1.24%
Cost:income ratio
88.8%
nm
nm
nm
Cost:income ratio - adjusted (1,2)
76.3%
nm
nm
nm
 
 
 
 
 
 
 
 
30 September 2017
 
Previously
From Capital
Total
 
reported
Resolution
NWM
Capital and balance sheet
£bn
£bn
£bn
 
 
 
 
Gross loans and advances to customers
16.7
8.9
25.6
Loan impairment provisions
--
(0.5)
(0.5)
 
 
 
 
Net loans and advances to customers
16.7
8.4
25.1
Loans and advances to bank
2.8
4.5
7.3
Reverse repos
34.4
--
34.4
Securities
31.2
1.3
32.5
Cash and eligible bills
18.3
6.0
24.3
Other
9.3
2.0
11.3
Funded assets
112.7
22.2
134.9
Total assets
215.7
89.3
305.0
Customer deposits (excluding repos)
7.1
6.6
13.7
Bank deposits (excluding repos)
6.9
7.3
14.2
Risk elements in lending
--
1.6
1.6
Repos
30.1
--
30.1
Debt securities in issue
5.6
0.4
6.0
Loan:deposit ratio (excluding repos)
236%
128%
184%
Risk-weighted assets
31.8
23.1
54.9
 
 
NatWest Markets
 
 
Quarter ended
 
 31 December 2016
 
Previously
From Capital
Total
 
reported
Resolution
NWM
Income statement
£m
£m
£m
 
 
 
 
Net interest income
29  
44  
73  
Net fees and commissions
12  
22  
34  
Income from trading activities
273  
(173)
100  
Own credit adjustments
(29)
(8)
(37)
Other operating income
--
(178)
(178)
Non-interest income
256  
(337)
(81)
 
 
 
 
Total income
285  
(293)
(8)
 
 
 
 
Direct expenses
 
 
 
  - staff
(64)
(23)
(87)
  - other
(7)
(3)
(10)
Indirect expenses
(267)
(150)
(417)
Restructuring costs
 
 
 
  - direct
(3)
(21)
(24)
  - indirect
(43)
13  
(30)
Litigation and conduct costs
(466)
(115)
(581)
 
 
 
 
Operating expenses
(850)
(299)
(1,149)
 
 
 
 
Operating loss before impairment
 
 
 
  releases
(565)
(592)
(1,157)
Impairment releases
--
130  
130  
 
 
 
 
Operating loss
(565)
(462)
(1,027)
 
 
 
 
Memo:
 
 
 
Total income - adjusted (1)
314  
(285)
29  
Operating expenses - adjusted (1,2)
(338)
(176)
(514)
Operating loss - adjusted (1,2)
(24)
(331)
(355)
 
 
 
 
Key metrics
 
 
 
 
 
 
 
Return on equity (3)
(30.2%)
nm
(27.0%)
Return on equity - adjusted (1,2,3)
(2.7%)
nm
(10.3%)
Net interest margin
0.82%
nm
0.86%
Cost:income ratio
nm
nm
nm
Cost:income ratio - adjusted (1,2)
107.6%
nm
nm
 
 
 
 
 
 
 
31 December 2016
 
Previously
From Capital
 
 
reported
Resolution
Total NWM
Capital and balance sheet
£bn
£bn
£bn
 
 
 
 
Gross loans and advances to customers
17.4 
13.6 
31.0 
Loan impairment provisions
--
(0.8)
(0.8)
 
 
 
 
Net loans and advances to customers
17.4  
12.8  
30.2  
Loans and advances to bank
3.3  
4.6  
7.9  
Reverse repos
38.6  
0.2  
38.8  
Securities
22.0  
3.3  
25.3  
Cash and eligible bills
13.4  
4.7  
18.1  
Other
6.2  
2.0  
8.2  
Funded assets
100.9  
27.6  
128.5  
Total assets
240.0  
132.5  
372.5  
Customer deposits (excluding repos)
8.4  
9.5  
17.9  
Bank deposits (excluding repos)
9.8  
11.5  
21.3  
Risk elements in lending
--
2.3  
2.3  
Repos
27.3  
--
27.3  
Debt securities in issue
5.4  
1.3  
6.7  
Loan:deposit ratio (excluding repos)
208%
134%
169%
Risk-weighted assets
35.2  
34.5  
69.7  
 
 
 
 
 
 
 
 
NatWest Markets
 
 
Year ended
 
 31 December 2016
 
Previously
From Capital
Total
 
reported
Resolution
NWM
Income statement
£m
£m
£m
 
 
 
 
Net interest income
104  
239  
343  
Net fees and commissions
43  
98  
141  
Income from trading activities
1,372  
(543)
829  
Own credit adjustments
53  
134  
187  
Strategic disposals
--
(81)
(81)
Other operating income
2  
(209)
(207)
Non-interest income
1,470  
(601)
869  
 
 
 
 
Total income
1,574  
(362)
1,212  
 
 
 
 
Direct expenses
 
 
 
  - staff
(256)
(102)
(358)
  - other
(35)
(84)
(119)
Indirect expenses
(1,029)
(578)
(1,607)
Restructuring costs
 
 
 
  - direct
(19)
(56)
(75)
  - indirect
(93)
(22)
(115)
Litigation and conduct costs
(528)
(22)
(550)
 
 
 
 
Operating expenses
(1,960)
(864)
(2,824)
 
 
 
 
Operating loss before impairment
 
 
 
  losses
(386)
(1,226)
(1,612)
Impairment losses
--
(253)
(253)
 
 
 
 
Operating loss
(386)
(1,479)
(1,865)
 
 
 
 
Memo:
 
 
 
Total income - adjusted (1)
1,521  
(415)
1,106  
Operating expenses - adjusted (1,2)
(1,320)
(764)
(2,084)
Operating loss - adjusted (1,2)
201  
(1,432)
(1,231)
 
 
 
 
Key metrics
 
 
 
 
 
 
 
Return on equity (3)
(6.6%)
nm
(12.5%)
Return on equity - adjusted (1,2,3)
1.1%
nm
(8.7%)
Net interest margin
0.84%
nm
0.91%
Cost:income ratio
124.5%
nm
nm
Cost:income ratio - adjusted (1,2)
86.8%
nm
188.4%
 
 
 
 
 
 
 
31 December 2016
 
Previously
From Capital
 
 
reported
Resolution
Total NWM
Capital and balance sheet
£bn
£bn
£bn
 
 
 
 
Gross loans and advances to customers
17.4 
13.6 
31.0 
Loan impairment provisions
--
(0.8)
(0.8)
 
 
 
 
Net loans and advances to customers
17.4  
12.8  
30.2  
Loans and advances to bank
3.3  
4.6  
7.9  
Reverse repos
38.6  
0.2  
38.8  
Securities
22.0  
3.3  
25.3  
Cash and eligible bills
13.4  
4.7  
18.1  
Other
6.2  
2.0  
8.2  
Funded assets
100.9  
27.6  
128.5  
Total assets
240.0  
132.5  
372.5  
Customer deposits (excluding repos)
8.4  
9.5  
17.9  
Bank deposits (excluding repos)
9.8  
11.5  
21.3  
Risk elements in lending
--
2.3  
2.3  
Repos
27.3  
--
27.3  
Debt securities in issue
5.4  
1.3  
6.7  
Loan:deposit ratio (excluding repos)
208%
134%
169%
Risk-weighted assets
35.2  
34.5  
69.7  
 
Notes:
(1)
Excluding own credit adjustments and strategic disposals.
(2)
Excluding restructuring costs and litigation and conduct costs.
(3)
RBS's CET 1 target is 13% but for the purposes of computing segmental return on equity (ROE), to better reflect the differential drivers of capital usage, segmental operating profit after tax and adjusted for preference dividends is divided by average notional equity allocated a rate of 15% of the monthly average of segmental risk-weighted assets incorporating the effect of capital deductions (RWAes). RBS's Return on equity is calculated using profit for the period attributable to ordinary shareholders.
 
Capital Resolution
 
 
 
 
 
 
 
 
 
Quarter ended 30 September 2017
 
 
 
 
 
Total
 
 
Previously
To NatWest
To Central
Capital
 
 
reported
Markets
items
Resolution
Income statement
 
£m
£m
£m
£m
 
 
 
 
 
 
Net interest income from banking activities
 
76  
(76)
--
--
Net fees and commissions
 
6  
(6)
--
--
Income from trading activities
 
(462)
462  
--
--
Own credit adjustments
 
2  
(2)
--
--
Other operating income
 
4  
(4)
--
--
Non-interest income
 
(450)
450  
--
--
 
 
 
 
 
 
Total income
 
(374)
374  
--
--
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
  - staff
 
(7)
7  
--
--
  - other
 
(19)
19  
--
--
Indirect expenses
 
(35)
35  
--
--
Restructuring costs
 
 
 
 
 
  - direct
 
(65)
65  
--
--
  - indirect
 
39  
(39)
--
--
Litigation and conduct costs
 
(89)
89  
--
--
 
 
 
 
 
 
Operating expenses
 
(176)
176  
--
--
 
 
 
 
 
 
Operating loss before impairment releases
 
(550)
550  
--
--
Impairment releases
 
71  
(71)
--
--
 
 
 
 
 
 
Operating loss
 
(479)
479  
--
--
 
 
 
 
 
 
Memo:
 
 
 
 
 
Total income - adjusted (1)
 
(376)
376  
--
--
Operating expenses - adjusted (1,2)
 
(61)
61  
--
--
Operating loss - adjusted (1,2)
 
(366)
366  
--
--
 
 
 
 
 
 
 
 
 
 
 
 
 
 
30 September 2017
 
 
 
 
 
Total
 
 
Previously
To NatWest
To Central
Capital
 
 
reported
Markets
items & other
Resolution
Capital and balance sheet
 
£bn
£bn
£bn
£bn
 
 
 
 
 
 
Gross loans and advances to customers
 
8.9 
(8.9)
--
--
Loan impairment provisions
 
(0.5)
0.5  
--
--
 
 
 
 
 
 
Net loans and advances to customers
 
8.4  
(8.4)
--
--
Loans and advances to bank
 
4.5  
(4.5)
--
--
Total assets
 
89.3  
(89.3)
--
--
Funded assets
 
22.2  
(22.2)
--
--
Risk elements in lending
 
1.6  
(1.6)
--
--
Provision coverage (3)
 
30%
nm
--
--
Risk-weighted assets
 
23.1  
(23.1)
--
--
 
 
 
 
 
 
 
 
 
 
Capital Resolution
 
 
 
 
 
 
 
 
 
 
Quarter ended 31 December 2016
 
 
 
 
 
Total
 
 
Previously
To NatWest
To Central
Capital
 
 
reported
Markets
items & other
Resolution
Income statement
 
£m
£m
£m
£m
 
 
 
 
 
 
Net interest income from banking activities
 
44  
(44)
--
--
Net fees and commissions
 
22  
(22)
--
--
Income from trading activities
 
(173)
173  
--
--
Own credit adjustments
 
(8)
8  
--
--
Other operating income
 
(178)
178  
--
--
Non-interest income
 
(337)
337  
--
--
 
 
 
 
 
 
Total income
 
(293)
293  
--
--
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
  - staff
 
(23)
23  
--
--
  - other
 
(3)
3  
--
--
Indirect expenses
 
(150)
150  
--
--
Restructuring costs
 
 
 
 
 
  - direct
 
(21)
21  
--
--
  - indirect
 
13  
(13)
--
--
Litigation and conduct costs
 
(3,156)
115  
3,041  
--
 
 
 
 
 
 
Operating expenses
 
(3,340)
299  
3,041  
--
 
 
 
 
 
 
Operating loss before impairment releases
 
(3,633)
592  
3,041  
--
Impairment releases
 
130  
(130)
--
--
 
 
 
 
 
 
Operating loss
 
(3,503)
462  
3,041  
--
 
 
 
 
 
 
Memo:
 
 
 
 
 
Total income - adjusted (1)
 
(285)
285  
--
--
Operating expenses - adjusted (1,2)
 
(176)
176  
--
--
Operating loss - adjusted (1,2)
 
(331)
331  
--
--
 
 
 
 
 
 
 
 
 
31 December 2016
 
 
 
 
 
Total
 
 
Previously
To NatWest
To Central
Capital
 
 
reported
Markets
items & other
Resolution
Capital and balance sheet
 
£bn
£bn
£bn
£bn
 
 
 
 
 
 
Gross loans and advances to customers
 
13.6 
(13.6)
--
--
Loan impairment provisions
 
(0.8)
0.8 
--
--
 
 
 
 
 
 
Net loans and advances to customers
 
12.8 
(12.8)
--
--
Loans and advances to bank
 
4.6 
(4.6)
--
--
Total assets
 
132.5 
(132.5)
--
--
Funded assets
 
27.6 
(27.6)
--
--
Risk elements in lending
 
2.3 
(2.3)
--
--
Provision coverage (3)
 
35%
nm
--
--
Risk-weighted assets
 
34.5 
(34.5)
--
--
 
 
Capital Resolution
 
 
 
Year ended 31 December 2016
 
 
 
 
 
Total
 
 
Previously
To NatWest
To Central
Capital
 
 
reported
Markets
items & other
Resolution
Income statement
 
£m
£m
£m
£m
 
 
 
 
 
 
Net interest income from banking activities
 
239  
(239)
--
--
Net fees and commissions
 
98  
(98)
--
--
Income from trading activities
 
(543)
543  
--
--
Own credit adjustments
 
134  
(134)
--
--
Strategic disposal
 
(81)
81  
--
--
Other operating income
 
(209)
209  
--
--
Non-interest income
 
(601)
601  
--
--
 
 
 
 
 
 
Total income
 
(362)
362  
--
--
 
 
 
 
 
 
Direct expenses
 
 
 
 
 
  - staff
 
(102)
102  
--
--
  - other
 
(84)
84  
--
--
Indirect expenses
 
(578)
578  
--
--
Restructuring costs
 
 
 
 
 
  - direct
 
(56)
56  
--
--
  - indirect
 
(22)
22  
--
--
Litigation and conduct costs
 
(3,413)
22  
3,391  
--
 
 
 
 
 
 
Operating expenses
 
(4,255)
864  
3,391  
--
 
 
 
 
 
 
Operating loss before impairment losses
 
(4,617)
1,226  
3,391  
--
Impairment losses
 
(253)
253  
--
--
 
 
 
 
 
 
Operating loss
 
(4,870)
1,479  
3,391  
--
 
 
 
 
 
 
Memo:
 
 
 
 
 
Total income - adjusted (1)
 
(415)
415  
--
--
Operating expenses - adjusted (1,2)
 
(764)
764  
--
--
Operating loss - adjusted (1,2)
 
(1,432)
1,432  
--
--
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 December 2016
 
 
 
 
 
Total
 
 
Previously
To NatWest
To Central
Capital
 
 
reported
Markets
items & other
Resolution
Capital and balance sheet
 
£bn
£bn
£bn
£bn
 
 
 
 
 
 
Gross loans and advances to customers
 
13.6 
(13.6)
--
--
Loan impairment provisions
 
(0.8)
0.8 
--
--
 
 
 
 
 
 
Net loans and advances to customers
 
12.8 
(12.8)
--
--
Loans and advances to bank
 
4.6 
(4.6)
--
--
Total assets
 
132.5 
(132.5)
--
--
Funded assets
 
27.6 
(27.6)
--
--
Risk elements in lending
 
2.3 
(2.3)
--
--
Provision coverage (3)
 
35%
nm
--
--
Risk-weighted assets
 
34.5 
(34.5)
--
--
 
Notes:
(1)
Excluding own credit adjustments and strategic disposals.
(2)
Excluding restructuring costs and litigation and conduct costs.
(3)
Provision coverage represents loan impairment provisions as a percentage of risk elements in lending.
 
Williams & Glyn
 
 
Quarter ended
 
 30 September 2017
 
Previously
To
To Central
Total
 
reported
UK PBB
items & other (1)
W&G
Income statement
£m
£m
£m
£m
 
 
 
 
 
Net interest income
166  
(166)
--
--
Non-interest income
43  
(43)
--
--
 
 
 
 
 
Total income
209  
(209)
--
--
 
 
 
 
 
Direct expenses
 
 
 
 
  - staff
(45)
28  
17  
--
  - other
(9)
4  
5  
--
Indirect expenses
(18)
40  
(22)
--
 
 
 
 
 
Operating expenses
(72)
72  
--
--
 
 
 
 
 
Operating profit before impairment losses
137  
(137)
--
--
Impairment losses
(11)
11  
--
--
 
 
 
 
 
Operating profit
126  
(126)
--
--
 
 
 
 
 
Memo:
 
 
 
 
Operating expenses - adjusted (2)
(72)
72  
--
--
Operating profit - adjusted (2)
126  
(126)
--
--
 
 
 
 
 
Key metrics
 
 
 
 
 
 
 
 
 
Return on equity (3)
24.6%
nm
nm
--
Return on equity - adjusted (2,3)
24.6%
nm
nm
--
Net interest margin
2.60%
nm
nm
--
Cost:income ratio
34.4%
nm
nm
--
Cost:income ratio - adjusted (2)
34.4%
nm
nm
--
Loan impairment charge as % of gross customer loans and advances
0.2%
nm
nm
--
 
 
30 September 2017
 
Previously
 
 
 
reported
To UK PBB
Total W&G
Capital and balance sheet
£bn
£bn
£bn
 
 
 
 
Gross loans and advances to customers
20.6  
(20.6)
--
Loan impairment provisions
(0.2)
0.2  
--
 
 
 
 
Net loans and advances to customers
20.4  
(20.4)
--
Funded assets
25.6  
(25.6)
--
Risk elements in lending
0.3  
(0.3)
--
Customer deposits (excluding repos)
24.6  
(24.6)
--
Loan:deposit ratio (excluding repos)
83%
nm
--
Provision coverage (4)
65%
nm
--
Risk-weighted assets
9.3  
(9.3)
--
 
Williams & Glyn
 
 
Quarter ended
 
 31 December 2016
 
Previously
To
To Central
Total
 
reported
UK PBB
items & other (1)
W&G
Income statement
£m
£m
 
£m
 
 
 
 
 
Net interest income
170  
(170)
--
--
Non-interest income
47  
(47)
--
--
 
 
 
 
 
Total income
217  
(217)
--
--
 
 
 
 
 
Direct expenses
 
 
 
 
  - staff
(60)
35  
25  
--
  - other
(13)
4  
9  
--
Indirect expenses
(24)
58  
(34)
--
 
 
 
 
 
Operating expenses
(97)
9