BCS 6-K
Barclays PLC (BCS)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13A-16 OR 15D-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
October 24, 2024
Barclays PLC
(Name of Registrant)
1 Churchill Place
London E14 5HP
England
(Address of Principal Executive Office)
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
This Report on Form 6-K is filed by Barclays PLC.
This Report comprises:
Information given to The London Stock Exchange and furnished pursuant to
General Instruction B to the General Instructions to Form 6-K.
EXHIBIT INDEX
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BARCLAYS<br>PLC |
|---|
| (Registrant) |
Date: October 24, 2024
| By: /s/<br>Garth Wright<br><br><br>-------------------------------- |
|---|
| Garth<br>Wright |
| Assistant<br>Secretary |
Barclays PLC
Q3 2024 Results Announcement
30 September 2024
Notes
The terms Barclays and Group refer to Barclays PLC together with its subsidiaries. Unless otherwise stated, the income statement analysis compares the nine months ended 30 September 2024 to the corresponding nine months of 2023 and balance sheet analysis as at 30 September 2024 with comparatives relating to 31 December 2023 and 30 September 2023. The abbreviations ‘£m’ and ‘£bn’ represent millions and thousands of millions of Pounds Sterling respectively; the abbreviations ‘$m’ and ‘$bn’ represent millions and thousands of millions of US Dollars respectively; and the abbreviations ‘€m’ and ‘€bn’ represent millions and thousands of millions of Euros respectively.
There are a number of key judgement areas, for example impairment calculations, which are based on models and which are subject to ongoing adjustment and modifications. Reported numbers reflect best estimates and judgements at the given point in time.
Relevant terms that are used in this document but are not defined under applicable regulatory guidance or International Financial Reporting Standards (IFRS) are explained in the results glossary, which can be accessed at home.barclays/investor-relations.
The information in this announcement, which was approved by the Board of Directors on 23 October 2024, does not comprise statutory accounts within the meaning of Section 434 of the Companies Act 2006. Statutory accounts for the year ended 31 December 2023, which contain an unmodified audit report under Section 495 of the Companies Act 2006 (which does not make any statements under Section 498 of the Companies Act 2006) have been delivered to the Registrar of Companies in accordance with Section 441 of the Companies Act 2006.
These results will be furnished on Form 6-K to the US Securities and Exchange Commission (SEC) as soon as practicable following publication of this document. Once furnished to the SEC, a copy of the Form 6-K will be available from the SEC’s website at www.sec.gov.
Barclays is a frequent issuer in the debt capital markets and regularly meets with investors via formal roadshows and other ad hoc meetings. Consistent with its usual practice, Barclays expects that from time to time over the coming quarter it will meet with investors globally to discuss these results and other matters relating to the Group.
Non-IFRS performance measures
Barclays’ management believes that the non-IFRS performance measures included in this document provide valuable information to the readers of the financial statements as they enable the reader to identify a more consistent basis for comparing the businesses’ performance between financial periods and provide more detail concerning the elements of performance which the managers of these businesses are most directly able to influence or are relevant for an assessment of the Group. They also reflect an important aspect of the way in which operating targets are defined and performance is monitored by Barclays’ management. However, any non-IFRS performance measures in this document are not a substitute for IFRS measures and readers should consider the IFRS measures as well. Refer to the appendix on pages 42 to 47 for definitions and calculations of non-IFRS performance measures included throughout this document, and reconciliations to the most directly comparable IFRS measures.
Forward-looking statements
This document contains certain forward-looking statements within the meaning of Section 21E of the US Securities Exchange Act of 1934, as amended, and Section 27A of the US Securities Act of 1933, as amended, with respect to the Group. Barclays cautions readers that no forward-looking statement is a guarantee of future performance and that actual results or other financial condition or performance measures could differ materially from those contained in the forward-looking statements. Forward-looking statements can be identified by the fact that they do not relate only to historical or current facts. Forward-looking statements sometimes use words such as ‘may’, ‘will’, ‘seek’, ‘continue’, ‘aim’, ‘anticipate’, ‘target’, ‘projected’, ‘expect’, ‘estimate’, ‘intend’, ‘plan’, ‘goal’, ‘believe’, ‘achieve’ or other words of similar meaning. Forward-looking statements can be made in writing but also may be made verbally by directors, officers and employees of the Group (including during management presentations) in connection with this document. Examples of forward-looking statements include, among others, statements or guidance regarding or relating to the Group’s future financial position, business strategy, income levels, costs, assets and liabilities, impairment charges, provisions, capital leverage and other regulatory ratios, capital distributions (including policy on dividends and share buybacks), return on tangible equity, projected levels of growth in banking and financial markets, industry trends, any commitments and targets (including environmental, social and governance (ESG) commitments and targets), plans and objectives for future operations, International Financial Reporting Standards (“IFRS”) and other statements that are not historical or current facts. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Forward-looking statements speak only as at the date on which they are made. Forward-looking statements may be affected by a number of factors, including, without limitation: changes in legislation, regulations, governmental and regulatory policies, expectations and actions, voluntary codes of practices and the interpretation thereof, changes in IFRS and other accounting standards, including practices with regard to the interpretation and application thereof and emerging and developing ESG reporting standards; the outcome of current and future legal proceedings and regulatory investigations; the Group’s ability along with governments and other stakeholders to measure, manage and mitigate the impacts of climate change effectively; environmental, social and geopolitical risks and incidents and similar events beyond the Group’s control; the impact of competition in the banking and financial services industry; capital, liquidity, leverage and other regulatory rules and requirements applicable to past, current and future periods; UK, US, Eurozone and global macroeconomic and business conditions, including inflation; volatility in credit and capital markets; market related risks such as changes in interest rates and foreign exchange rates reforms to benchmark interest rates and indices; higher or lower asset valuations; changes in credit ratings of any entity within the Group or any securities issued by it; changes in counterparty risk; changes in consumer behaviour; the direct and indirect consequences of the conflicts in Ukraine and the Middle East on European and global macroeconomic conditions, political stability and financial markets; political elections, including the impact of the UK, European and US elections in 2024; developments in the UK’s relationship with the European Union (“EU”); the risk of cyberattacks, information or security breaches, technology failures or operational disruptions and any subsequent impact on the Group’s reputation, business or operations; the Group’s ability to access funding; and the success of acquisitions, disposals and other strategic transactions. A number of these factors are beyond the Group’s control. As a result, the Group’s actual financial position, results, financial and non-financial metrics or performance measures or its ability to meet commitments and targets may differ materially from the statements or guidance set forth in the Group’s forward-looking statements. In setting its targets and outlook for the period 2024-2026, Barclays has made certain assumptions about the macroeconomic environment, including, without limitation, inflation, interest and unemployment rates, the different markets and competitive conditions in which Barclays operates, and its ability to grow certain businesses and achieve costs savings and other structural actions. Additional risks and factors which may impact the Group’s future financial condition and performance are identified in Barclays PLC’s filings with the US Securities and Exchange Commission (“SEC”) (including, without limitation, Barclays PLC’s Annual Report on Form 20-F for the financial year ended 31 December 2023), which are available on the SEC’s website at www.sec.gov.
Subject to Barclays PLC's obligations under the applicable laws and regulations of any relevant jurisdiction (including, without limitation, the UK and the US) in relation to disclosure and ongoing information, we undertake no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Performance Highlights
Barclays delivered a return on tangible equity (RoTE) of 12.3% in Q324 and 11.5% for Q324 YTD, on track to deliver against 2024 and 2026 targets
| C. S. Venkatakrishnan, Group Chief Executive,<br>commented<br><br><br><br><br><br>“We continue to be focused on disciplined execution of our<br>three year plan and are encouraged with progress to date. Whilst<br>there is more work to do, the Group is on track to achieve its<br>target of greater than 12% RoTE in 2026. In Q324 Barclays delivered<br>a RoTE of 12.3%, supporting our target of greater than 10% in 2024.<br>Tangible net asset value (TNAV) per share increased to 351p, up 11p<br>versus prior quarter and up 35p year-on-year. The acquisition of<br>Tesco Bank, to complete on 1 November 2024, forms part of our<br>commitment to invest in the UK. We continue to exercise cost<br>discipline and remain well capitalised with a Common Equity Tier 1<br>(CET1) ratio at the end of the quarter of<br>13.8%.” |
|---|
●
Group statutory RoTE of 12.3% in Q324 and 11.5% in Q324 YTD, 2024 Group RoTE targets remain unchanged
●
Guidance for 2024 Group Net Interest Income (NII) excluding Investment Bank (IB) and Head Office increased from c.£11.0bn to greater than £11.0bn. Within this Barclays UK NII guidance increased from c.£6.3bn to c.£6.5bn1
●
Group cost: income ratio of 61% in Q324 and Q324 YTD, 2024 Group cost: income ratio target of c.63% remains unchanged
-
Delivered a further £0.3bn of gross cost efficiency savings in Q324 resulting in Q324 YTD savings of £0.7bn, on track to deliver c.£1bn of gross cost efficiency savings in 2024
●
Prudent risk management with Q324 loan loss rate (LLR) of 37bps and Q324 YTD LLR of 42bps, below the through the cycle target range of 50-60bps, with FY24 expected to be at the bottom of this range, inclusive of the Day 1 impact of the Tesco Bank acquisition
●
Strong balance sheet with CET1 ratio of 13.8%, within the target range of 13-14%
●
c.8.0p total distributions per share equivalent announced at H124: dividend of 2.9p now paid, and share buyback of £750m well progressed
●
TNAV per share of 351p (December 2023: 331p)
Key financial metrics:
| Statutory | Excluding<br><br><br>inorganic<br><br><br>activity2 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Income | Profit<br><br><br>before<br><br><br>tax | Attributable<br><br><br>profit | Cost:<br><br><br>income<br><br><br>ratio | LLR | RoTE | EPS | TNAV<br><br><br>per<br><br><br>share | CET1<br><br><br>ratio | RoTE | |
| Q324 | £6.5bn | £2.2bn | £1.6bn | 61% | 37bps | 12.3% | 10.7p | 351p | 13.8% | 12.3% |
| Q324 YTD | £19.8bn | £6.4bn | £4.4bn | 61% | 42bps | 11.5% | 29.3p | 12.1% |
Q324 Performance highlights:
●
Group statutory RoTE was 12.3% (Q323: 11.0%) with profit before tax of £2.2bn (Q323: £1.9bn)
-
There were no inorganic transactions in Q3242
●
Group income of £6.5bn was up 5% year-on-year, with Group NII excluding IB and Head Office of £2.8bn, of which Barclays UK NII was £1.7bn
-
Barclays UK income increased 4%, as higher structural hedge income was partially offset by mortgage margin pressure and adverse product dynamics in deposits, which have stabilised throughout 2024
-
Barclays UK Corporate Bank (UKCB) income increased 1%, driven by higher average deposit balances
-
Barclays Private Bank and Wealth Management (PBWM) income decreased 3%, as growth in client balances was more than offset by the non-repeat of a timing related one-off in Q323
-
Barclays Investment Bank (IB) income increased 6%. Global Markets income increased 3%, with FICC and Equities both up 3% respectively. Investment Banking income increased 13%, as higher fee income in Advisory and Debt and Equity Capital Markets was partially offset by lower income in the International Corporate Bank
-
Barclays US Consumer Bank (USCB) income decreased 2% driven by the strengthening of GBP against USD, partially offset by higher balances
●
Group total operating expenses were stable at £4.0bn, with £0.3bn of cost efficiency savings more than offsetting inflation, enabling investment spend and business growth
●
Credit impairment charges were £0.4bn (Q323: £0.4bn) with an LLR of 37bps (Q323: 42bps)
| 1 | This excludes the 2024 impact of the acquisition of Tesco Bank's<br>retail banking business, which is expected to complete on 1<br>November 2024, with an initial annualised NII of c.£400m. See<br>Other Matters on page 7 for further details of the<br>acquisition. |
|---|---|
| 2 | Inorganic activity refers to certain inorganic transactions<br>announced as part of the FY23 Investor Update designed to improve<br>Group RoTE beyond 2024. In Q324 YTD this included the £220m<br>loss on sale of the performing Italian retail mortgage portfolio<br>and the £20m loss on disposal from the German consumer finance<br>business, both incurred in H124. There were no inorganic<br>transactions in Q324. |
Q324 YTD Performance highlights:
●
Group statutory RoTE was 11.5% (Q323 YTD: 12.5%) with profit before tax of £6.4bn (Q323 YTD: £6.4bn)
-
Excluding the impact of inorganic activity1, Group RoTE was 12.1%
●
Group income of £19.8bn was stable year-on-year, with Group NII excluding IB and Head Office of £8.2bn of which Barclays UK NII was £4.8bn
●
Group total operating expenses were £12.1bn, up 1% year-on-year, including the £93m impact of the Bank of England (BoE) levy scheme2
-
Group operating costs were stable at £12.0bn, with £0.7bn of cost efficiency savings more than offsetting inflation, enabling investment spend and business growth
●
Credit impairment charges were £1.3bn (Q323 YTD: £1.3bn) with an LLR of 42bps (Q323 YTD: 43bps)
●
CET1 ratio of 13.8% (December 2023: 13.8%), with risk weighted assets (RWAs) of £340.4bn (December 2023: £342.7bn) and TNAV per share of 351p (December 2023: 331p)
Group Financial Targets and Outlook:
2024
●
Returns: targeting RoTE of greater than 10% and c.10.5% excluding inorganic activity1
-
The cumulative impact of all inorganic activity on FY24 Group RoTE is currently expected to be broadly neutral, as an estimated net gain upon the completion of the Tesco Bank acquisition in Q424 should broadly offset the losses on disposals from our Italian retail mortgage portfolios as well as from the disposal of the German consumer finance business
●
Income: targeting Barclays Group NII excluding IB and Head Office of greater than £11.0bn (previous target of c.£11.0bn), of which Barclays UK NII is now c.£6.5bn (up from previous target of c.£6.3bn)3
●
Costs: targeting Group cost: income ratio of c.63%, which includes c.£1bn of gross efficiency savings in 2024
●
Impairment: expect an LLR of 50-60bps through the cycle
●
Capital: expect to operate within the CET1 ratio target range of 13-14%
2026
●
Returns: targeting a greater than 12% RoTE
●
Capital returns: plan to return at least £10bn of capital to shareholders between 2024 and 2026, through dividends and share buybacks, with a continued preference for buybacks
-
Plan to keep total dividend stable at 2023 level in absolute terms, with progressive dividend per share growth driven through share count reduction as a result of increased share buybacks
-
Dividends will continue to be paid semi-annually. This multi-year plan is subject to supervisory and Board approval, anticipated financial performance and our published CET1 ratio target range of 13-14%
●
Income: targeting Group total income of c.£30bn
●
Costs: targeting total Group operating expenses of c.£17bn and a Group cost: income ratio of high 50s in percentage terms. This includes total gross efficiency savings of c.£2bn by 2026
●
Impairment: expect an LLR of 50-60bps through the cycle
●
Capital: expect to operate within the CET1 ratio target range of 13-14%
-
Targeting IB RWAs of c.50% of Group RWAs in 2026
-
Impact of regulatory change on RWAs in line with our prior guidance expected to be at lower end of 5-10% of Group RWAs4
-
The previously estimated c.£16bn RWAs impact from USCB moving to an Internal Ratings Based (IRB) model remains in line with prior guidance, with a change to timing and subject to model build and portfolio changes. c.£5bn of this to be reflected when Basel 3.1 is implemented in 2026 and the remainder to follow thereafter
-
A modest increase in Pillar 2A is likely, applicable at some point in 2025 until model implementation
| 1 | Inorganic activity refers to certain inorganic transactions<br>announced as part of the FY23 Investor Update designed to improve<br>Group RoTE beyond 2024. In Q324 YTD this included the £220m<br>loss on sale of the performing Italian retail mortgage portfolio<br>and the £20m loss on disposal from the German consumer finance<br>business, both incurred in H124. There were no inorganic<br>transactions in Q324. For FY24 this is expected to also include the<br>loss on sale of the non-performing Italian mortgage portfolio and<br>the impact of the Tesco Bank acquisition. | |||||
|---|---|---|---|---|---|---|
| 2 | In August 2024, Barclays' final charge for the BoE levy scheme in<br>the 2024/2025 financial year was confirmed at £93m, lower than<br>the estimated charge of £120m recognised in Q124. As a result,<br>a £27m release has been recognised in Q324. See Other Matters<br>on page 7. | |||||
| 3 | This excludes the 2024 impact of the acquisition of Tesco Bank's<br>retail banking business, which is expected to complete on 1<br>November 2024, with an initial annualised NII of c.£400m<br>expected. See Other Matters on page 7 for further details of the<br>acquisition. | |||||
| 4 | Based on Dec-23 RWAs of £342.7bn. | |||||
| Barclays Group results | Nine months ended | Three months ended | ||||
| --- | --- | --- | --- | --- | --- | --- |
| 30.09.24 | 30.09.23 | 30.09.24 | 30.09.23 | |||
| £m | £m | %<br>Change | £m | £m | %<br>Change | |
| Barclays<br>UK | 5,659 | 5,795 | (2) | 1,946 | 1,873 | 4 |
| Barclays<br>UK Corporate Bank | 1,322 | 1,375 | (4) | 445 | 440 | 1 |
| Barclays<br>Private Bank and Wealth Management | 958 | 895 | 7 | 326 | 337 | (3) |
| Barclays<br>Investment Bank | 9,198 | 8,998 | 2 | 2,851 | 2,686 | 6 |
| Barclays<br>US Consumer Bank | 2,469 | 2,402 | 3 | 791 | 809 | (2) |
| Head<br>Office | 218 | 315 | (31) | 188 | 113 | 66 |
| Total income | 19,824 | 19,780 | — | 6,547 | 6,258 | 5 |
| Operating<br>costs | (11,951) | (11,979) | — | (3,954) | (3,949) | — |
| UK<br>regulatory levies1 | (93) | — | DIV/0! | 27 | — | DIV/0! |
| Litigation<br>and conduct | (99) | (32) | (35) | — | DIV/0! | |
| Total operating expenses | (12,143) | (12,011) | (1) | (3,962) | (3,949) | — |
| Other<br>net income | 37 | 7 | 21 | 9 | ||
| Profit before impairment | 7,718 | 7,776 | (1) | 2,606 | 2,318 | 12 |
| Credit<br>impairment charges | (1,271) | (1,329) | 4 | (374) | (433) | 14 |
| Profit before tax | 6,447 | 6,447 | — | 2,232 | 1,885 | 18 |
| Tax<br>charge | (1,304) | (1,257) | (4) | (412) | (343) | (20) |
| Profit after tax | 5,143 | 5,190 | (1) | 1,820 | 1,542 | 18 |
| Non-controlling<br>interests | (29) | (39) | 26 | (3) | (9) | 67 |
| Other<br>equity instrument holders | (763) | (766) | — | (253) | (259) | 2 |
| Attributable profit | 4,351 | 4,385 | (1) | 1,564 | 1,274 | 23 |
| Performance measures | ||||||
| Return<br>on average tangible shareholders' equity | 11.5% | 12.5% | 12.3% | 11.0% | ||
| Average<br>tangible shareholders' equity (£bn) | 50.4 | 47.0 | 51.0 | 46.5 | ||
| Cost:<br>income ratio | 61% | 61% | 61% | 63% | ||
| Loan<br>loss rate (bps) | 42 | 43 | 37 | 42 | ||
| Basic<br>earnings per ordinary share | 29.3p | 28.2p | 10.7p | 8.3p | ||
| Basic<br>weighted average number of shares (m) | 14,863 | 15,564 | (5) | 14,648 | 15,405 | (5) |
| Period end number of shares (m) | 14,571 | 15,239 | (4) | |||
| Period end tangible shareholders' equity (£bn) | 51.1 | 48.2 | ||||
| As at<br><br><br>30.09.24 | As at<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | ||||
| --- | --- | --- | --- | |||
| Balance<br>sheet and capital management2 | £bn | £bn | £bn | |||
| Loans<br>and advances at amortised cost | 399.2 | 399.5 | 405.4 | |||
| Loans<br>and advances at amortised cost impairment coverage<br>ratio | 1.3% | 1.4% | 1.4% | |||
| Total<br>assets | 1,531.1 | 1,477.5 | 1,591.7 | |||
| Deposits<br>at amortised cost | 542.8 | 538.8 | 561.3 | |||
| Tangible<br>net asset value per share | 351p | 331p | 316p | |||
| Common<br>equity tier 1 ratio | 13.8% | 13.8% | 14.0% | |||
| Common<br>equity tier 1 capital | 47.0 | 47.3 | 48.0 | |||
| Risk<br>weighted assets | 340.4 | 342.7 | 341.9 | |||
| UK<br>leverage ratio | 4.9% | 5.2% | 5.0% | |||
| UK<br>leverage exposure | 1,197.4 | 1,168.3 | 1,202.4 | |||
| Funding and liquidity | ||||||
| Group<br>liquidity pool (£bn) | 311.7 | 298.1 | 335.0 | |||
| Liquidity<br>coverage ratio | 170.1% | 161.4% | 158.7% | |||
| Net<br>stable funding ratio3 | 135.6% | 138.0% | 138.2% | |||
| Loan:<br>deposit ratio | 74% | 74% | 72% | |||
| 1 | Comprises the impact of the BoE levy scheme and the UK bank<br>levy. | |||||
| --- | --- | |||||
| 2 | Refer to pages 34 to 38 for further information on how capital,<br>RWAs and leverage are calculated. | |||||
| 3 | Represents average of the last four spot quarter end<br>positions. |
Reconciliation of financial results excluding inorganic activity1
| Nine months ended | 30.09.24 | 30.09.23 | |||
|---|---|---|---|---|---|
| Statutory | Inorganic<br><br><br>activity | Excluding<br><br><br>inorganic<br><br><br>activity | Statutory | ||
| £m | £m | £m | £m | %<br>Change | |
| Barclays<br>UK | 5,659 | — | 5,659 | 5,795 | (2) |
| Barclays<br>UK Corporate Bank | 1,322 | — | 1,322 | 1,375 | (4) |
| Barclays<br>Private Bank and Wealth Management | 958 | — | 958 | 895 | 7 |
| Barclays<br>Investment Bank | 9,198 | — | 9,198 | 8,998 | 2 |
| Barclays<br>US Consumer Bank | 2,469 | — | 2,469 | 2,402 | 3 |
| Head<br>Office | 218 | (240) | 458 | 315 | 45 |
| Total income | 19,824 | (240) | 20,064 | 19,780 | 1 |
| Operating<br>costs | (11,951) | — | (11,951) | (11,979) | — |
| UK<br>regulatory levies | (93) | — | (93) | — | DIV/0! |
| Litigation<br>and conduct | (99) | — | (99) | (32) | |
| Total operating expenses | (12,143) | — | (12,143) | (12,011) | (1) |
| Other<br>net income | 37 | — | 37 | 7 | |
| Profit before impairment | 7,718 | (240) | 7,958 | 7,776 | 2 |
| Credit<br>impairment charges | (1,271) | — | (1,271) | (1,329) | 4 |
| Profit before tax | 6,447 | (240) | 6,687 | 6,447 | 4 |
| Attributable profit | 4,351 | (233) | 4,584 | 4,385 | 5 |
| Average<br>tangible shareholders' equity (£bn) | 50.4 | 50.4 | 47.0 | ||
| Return on average tangible shareholders' equity | 11.5% | 12.1% | 12.5% | ||
| Cost: income ratio | 61% | 61% | 61% | ||
| Three months ended | 30.09.24 | 30.09.23 | |||
| --- | --- | --- | --- | --- | --- |
| Statutory | Inorganic<br><br><br>activity | Excluding<br><br><br>inorganic<br><br><br>activity | Statutory | ||
| £m | £m | £m | £m | %<br>Change | |
| Barclays<br>UK | 1,946 | — | 1,946 | 1,873 | 4 |
| Barclays<br>UK Corporate Bank | 445 | — | 445 | 440 | 1 |
| Barclays<br>Private Bank and Wealth Management | 326 | — | 326 | 337 | (3) |
| Barclays<br>Investment Bank | 2,851 | — | 2,851 | 2,686 | 6 |
| Barclays<br>US Consumer Bank | 791 | — | 791 | 809 | (2) |
| Head<br>Office | 188 | — | 188 | 113 | 66 |
| Total income | 6,547 | — | 6,547 | 6,258 | 5 |
| Operating<br>costs | (3,954) | — | (3,954) | (3,949) | — |
| UK<br>regulatory levies | 27 | — | 27 | — | DIV/0! |
| Litigation<br>and conduct | (35) | — | (35) | — | DIV/0! |
| Total operating expenses | (3,962) | — | (3,962) | (3,949) | — |
| Other<br>net income | 21 | — | 21 | 9 | |
| Profit before impairment | 2,606 | — | 2,606 | 2,318 | 12 |
| Credit<br>impairment charges | (374) | — | (374) | (433) | 14 |
| Profit before tax | 2,232 | — | 2,232 | 1,885 | 18 |
| Attributable profit | 1,564 | — | 1,564 | 1,274 | 23 |
| Average<br>tangible shareholders' equity (£bn) | 51.0 | 51.0 | 46.5 | ||
| Return on average tangible shareholders' equity | 12.3% | 12.3% | 11.0% | ||
| Cost: income ratio | 61% | 61% | 63% | ||
| 1 | Inorganic activity refers to certain inorganic transactions<br>announced as part of the FY23 Investor Update designed to improve<br>Group RoTE beyond 2024. In Q324 YTD this included the £220m<br>loss on sale of the performing Italian retail mortgage portfolio<br>and the £20m loss on disposal from the German consumer finance<br>business, both incurred in H124. There were no inorganic<br>transactions in Q324. For FY24 this is expected to also include the<br>loss on sale of the non-performing Italian mortgage portfolio and<br>the impact of the Tesco Bank acquisition. | ||||
| --- | --- |
Group Finance Director's Review
Q324 YTD Group performance
●
Barclays delivered a profit before tax of £6,447m (Q323 YTD: £6,447m), RoTE of 11.5% (Q323 YTD: 12.5%) and earnings per share (EPS) of 29.3p (Q323 YTD: 28.2p)
●
The Group has a diverse income profile across businesses and geographies including a significant presence in the US. The appreciation of GBP against USD negatively impacted income and profits and positively impacted credit impairment charges, total operating expenses and RWAs
●
Group statutory income was stable at £19,824m, including the impact of inorganic activity1
-
Excluding the impact of inorganic activity, Group income increased 1%, as higher structural hedge income, higher Investment Banking fees, increased income in Equities and balance growth in USCB were partially offset by lower FICC income as well as adverse product dynamics in Barclays UK deposits and mortgages
●
Group total operating expenses increased to £12,143m (Q323 YTD: £12,011m), including the £93m impact of the BoE levy scheme2
-
Group operating costs were stable at £11,951m, with £0.7bn of cost efficiency savings more than offsetting inflation, enabling investment spend and business growth
●
Credit impairment charges were £1,271m (Q323 YTD: £1,329m), informed by the anticipated higher delinquencies in US cards partially offset by the impact of credit risk management actions and methodology enhancements, as well as the improved macroeconomic outlook across portfolios. Total coverage ratio was 1.3% (December 2023: 1.4%)
●
The effective tax rate (ETR) was 20.2% (Q323 YTD: 19.5%)
●
Attributable profit was £4,351m (Q323 YTD: £4,385m)
●
Total assets increased to £1,531.1bn (December 2023: £1,477.5bn), driven by an increase in trading securities and seasonal increases in the IB relative to FY23, partially offset by the strengthening of GBP against USD
●
TNAV per share increased to 351p (December 2023: 331p) including EPS of 29.3p, a 9p benefit from the cash flow hedging reserve and a c.6p benefit from the reduction in share count as a result of the completion of the share buyback announced at FY23 Results as well as the ongoing share buyback announced at H124 Results. These were partially offset by an 8p reduction from dividends paid during Q324 YTD and net negative other reserve movements
Group capital and leverage
●
The CET1 ratio remained stable at 13.8% (December 2023: 13.8%) as RWAs decreased by £2.3bn to £340.4bn offset by a decrease in CET1 capital of £0.3bn to £47.0bn:
-
c.130bps increase from attributable profit
-
c.80bps decrease driven by shareholder distributions including the £1.8bn share buybacks announced with FY23 and H124 results and an accrual towards the FY24 dividend
-
c.20bps decrease from other capital movements
-
c.20bps decrease as a result of a £5.2bn increase in RWAs, excluding the impact of foreign exchange movements, which includes regulatory model changes in Barclays UK
-
A £1.3bn decrease in CET1 capital due to a decrease in the currency translation reserve was primarily offset by a £7.5bn decrease in RWAs as a result of foreign exchange movements
●
The UK leverage ratio decreased to 4.9% (December 2023: 5.2%) due to a reduction in Tier 1 Capital of £1.7bn and increase in exposure of £29.2bn to £1,197.4bn (December 2023: £1,168.3bn). The decrease in capital was driven by the redemption of an AT1 instrument during the period. The increase in exposure was largely driven by an increase in trading securities and secured lending in IB, partially offset by the strengthening of GBP against USD
Group funding and liquidity
●
The liquidity metrics remain well above regulatory requirements, underpinned by well-diversified sources of funding, a stable global deposit franchise and a highly liquid balance sheet
●
The liquidity pool was £311.7bn (December 2023: £298.1bn). The increase in the liquidity pool was primarily driven by deposit growth in International Corporate Bank within the IB and in term wholesale funding
●
The average3 Liquidity Coverage Ratio (LCR) increased to 170.1% (December 2023: 161.4%), equivalent to a surplus of £126.0bn (December 2023: £117.7bn)
●
Total deposits increased by £4.0bn to £542.8bn (December 2023: £538.8bn)
●
The average4 Net Stable Funding Ratio (NSFR) was 135.6% (December 2023: 138.0%), which represents a £164.0bn (December 2023: £167.1bn) surplus above the 100% regulatory requirement
●
Wholesale funding outstanding, excluding repurchase agreements, was £178.9bn (December 2023: £176.8bn)
| 1 | Inorganic activity refers to certain inorganic transactions<br>announced as part of the FY23 Investor Update designed to improve<br>Group RoTE beyond 2024. In Q324 YTD this included the £220m<br>loss on sale of the performing Italian retail mortgage portfolio<br>and the £20m loss on disposal from the German consumer finance<br>business, both incurred in H124. There were no inorganic<br>transactions in Q324. For FY24 this is expected to also include the<br>loss on sale of the non-performing Italian mortgage portfolio and<br>the impact of the Tesco Bank acquisition. |
|---|---|
| 2 | In August 2024, Barclays' final charge for the BoE levy scheme in<br>the 2024/2025 financial year was confirmed at £93m, lower than<br>the estimated charge of £120m recognised in Q124. As a result,<br>a £27m release has been recognised in Q324. See Other Matters<br>on page 7. |
| 3 | Represents average of the last 12 spot month end<br>ratios. |
| 4 | Represents average of the last four spot quarter end<br>ratios. |
Group funding and liquidity (continued)
●
The Group issued £12.8bn equivalent of minimum requirement for own funds and eligible liabilities (MREL) instruments from Barclays PLC (the Parent company) in H124. The Group has a strong MREL position with a ratio of 34.9%, which is in excess of the regulatory requirement of 30.1% plus a confidential, institution specific, Prudential Regulation Authority (PRA) buffer
Other matters
●
The cumulative impact of all inorganic activity in 2024 is currently expected to reduce the Group’s CET1 ratio by c.10bps, and have a broadly neutral impact on FY24 Group RoTE as the estimated net gain upon the completion of the Tesco Bank acquisition in Q424 should broadly offset the losses on disposals from the Italian retail mortgage portfolios as well as from the disposal of the German consumer finance business:
●
Acquisition of Tesco Bank's retail banking business: on 9 February 2024, Barclays entered into an agreement with Tesco Personal Finance plc to acquire certain assets and liabilities of its retail banking business (including credit cards, unsecured loans and deposits) conducted under the "Tesco Bank" brand. The High Court approved the transfer on 17 October 2024, and it is expected to become effective on 1 November 2024
-
The acquisition is expected to generate an income gain of c.£0.5bn as a result of consideration payable for the net assets being lower than fair value, partially offset by an expected post-acquisition impairment charge from IFRS 9 recognition of c.£0.2bn, generating a day 1 net profit before tax impact of c.£0.3bn, and c.50bps increase to the FY24 Group RoTE. Including the day 1 profit before tax impact, Barclays Group’s CET1 ratio is now estimated to reduce by c.20bps (previously c.30bps) on completion primarily as a result of the addition of c.£7bn RWAs. These impacts will be confirmed as part of Barclays' FY24 Results
●
Disposal of Italian retail mortgages: on 24 April 2024, Barclays announced a transaction under which Barclays Bank Ireland PLC intended to dispose of its performing Italian retail mortgage portfolio, held in Head Office. The sale completed in Q224, generating a loss on disposal of £220m and reduced RWAs by £0.8bn. The transaction was broadly neutral to Barclays’ CET1 ratio and will reduce FY24 Group RoTE by c.40bps
-
On 22 October 2024 Barclays agreed the sale of its non-performing Italian retail mortgage portfolio. The sale of the majority of loans within this portfolio has now completed, with the sale of the remainder expected to complete later in Q424. The transaction is expected to generate a small pre-tax loss of approximately €30m, and reduce RWAs by c.€125m. As a result, the transaction is expected to be broadly neutral to Barclays’ CET1 ratio
-
Barclays remains in discussion with respect to the disposal of the remaining Swiss-Franc linked Italian retail mortgage portfolio. Should the sale occur, it is expected to generate a further small loss on sale, but be broadly neutral to Barclays’ CET1 ratio
●
Disposal of German consumer finance business: on 4 July 2024, Barclays Bank Ireland PLC agreed the sale of its German consumer finance business (comprising credit cards, unsecured personal loans and deposits) to BAWAG P.S.K., a wholly-owned subsidiary of BAWAG Group AG, for a small premium to net assets. When including disposal costs and accounting adjustments as required by IFRS 5 (Non-current Assets Held for Sale and Discontinued Operations), Barclays has recorded a £20m loss for the disposal group within Head Office in Q224, with an expected c.5bps reduction to FY24 Group RoTE. Completion of the sale, which is subject to certain conditions, including regulatory approvals and the sanction of the relevant courts, is expected to occur in Q424 or Q125. Once complete, the sale is expected to release c.£3.4bn of RWAs, increasing Barclays' CET1 ratio by c.10bps
●
FCA motor finance review: in January 2024, the UK Financial Conduct Authority (FCA) announced that it was appointing a skilled person to undertake a review of the historical use of discretionary commission arrangements and sales in the motor finance market across several firms. This follows two final decisions by the UK Financial Ombudsman Service (FOS), including one upholding a complaint against Clydesdale Financial Services Limited (CFS) (a subsidiary of Barclays PLC) in relation to commission arrangements and disclosure in the sale of motor finance products and a number of complaints and court claims, including some against CFS. We have commenced a judicial review challenge against the FOS in the High Court in relation to this decision. Barclays will co-operate fully with the FCA’s skilled person review, the outcome of which is unknown, including any potential financial impact. The FCA currently plans to set out next steps on this matter in May 2025. Barclays ceased operating in the motor finance market in late 2019 whilst CFS was a subsidiary of the Barclays Bank group
●
BoE levy scheme: following parliamentary approval, the new levy process commenced in Q124 replacing the Cash Ratio Deposit scheme as a means of funding the BoE's monetary policy and financial stability operations moving the charge from negative income to an operating expense. In August 2024, Barclays' final charge in the 2024/2025 financial year was confirmed at £93m, lower than the estimated charge of £120m recognised in Q124. As a result, a £27m release has been recognised in Q324. The £93m charge will be partially offset by increased income of c.£75m through lower funding costs during 2024
Anna Cross, Group Finance Director
Results by Business
| Barclays UK | Nine months ended | ||||
|---|---|---|---|---|---|
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Income statement information | £m | £m | %<br>Change | £m | %<br>Change |
| Net<br>interest income | 4,812 | 4,856 | (1) | 1,578 | 6 |
| Net<br>fee, commission and other income | 847 | 939 | (10) | 295 | (5) |
| Total income | 5,659 | 5,795 | (2) | 1,873 | 4 |
| Operating<br>costs | (3,065) | (3,240) | 5 | (1,058) | 4 |
| UK<br>regulatory levies | (42) | — | DIV/0! | — | DIV/0! |
| Litigation<br>and conduct | (7) | 12 | 9 | ||
| Total operating expenses | (3,114) | (3,228) | 4 | (1,049) | 4 |
| Other<br>net income | — | — | — | DIV/0! | |
| Profit before impairment | 2,545 | 2,567 | (1) | 824 | 14 |
| Credit<br>impairment charges | (82) | (267) | 69 | (59) | 73 |
| Profit before tax | 2,463 | 2,300 | 7 | 765 | 21 |
| Attributable<br>profit | 1,684 | 1,580 | 7 | 531 | 17 |
| Performance measures | |||||
| Return<br>on average allocated tangible equity | 21.4% | 20.6% | 21.0% | ||
| Average<br>allocated tangible equity (£bn) | 10.5 | 10.2 | 10.1 | ||
| Cost:<br>income ratio | 55% | 56% | 56% | ||
| Loan<br>loss rate (bps) | 5 | 16 | 10 | ||
| Net<br>interest margin | 3.21% | 3.15% | 3.04% | ||
| As at<br><br><br>30.09.24 | As at<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | |||
| Balance sheet information | £bn | £bn | bn | ||
| Loans<br>and advances to customers at amortised cost | 199.3 | 202.8 | 204.9 | ||
| Total<br>assets | 292.2 | 293.1 | 299.9 | ||
| Customer<br>deposits at amortised cost | 236.3 | 241.1 | 243.2 | ||
| Loan:<br>deposit ratio | 92% | 92% | 92% | ||
| Risk<br>weighted assets | 77.5 | 73.5 | 73.2 | ||
| Period<br>end allocated tangible equity | 10.7 | 10.2 | 10.1 |
All values are in British Pounds.
| Analysis of Barclays UK | Nine months ended | ||||
|---|---|---|---|---|---|
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Analysis of total income | £m | £m | %<br>Change | £m | %<br>Change |
| Personal<br>Banking | 3,486 | 3,662 | (5) | 1,165 | 2 |
| Barclaycard<br>Consumer UK | 706 | 722 | (2) | 238 | 5 |
| Business<br>Banking | 1,467 | 1,411 | 4 | 470 | 9 |
| Total income | 5,659 | 5,795 | (2) | 1,873 | 4 |
| Analysis of credit impairment (charges)/releases | |||||
| Personal<br>Banking | (37) | (205) | 82 | (85) | |
| Barclaycard<br>Consumer UK | (78) | (89) | 12 | 29 | |
| Business<br>Banking | 33 | 27 | 22 | (3) | (33) |
| Total credit impairment charges | (82) | (267) | 69 | (59) | 73 |
| As at<br><br><br>30.09.24 | As at<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | |||
| Analysis of loans and advances to customers at amortised<br>cost | £bn | £bn | bn | ||
| Personal<br>Banking | 168.1 | 170.1 | 172.3 | ||
| Barclaycard<br>Consumer UK | 10.6 | 9.7 | 9.6 | ||
| Business<br>Banking | 20.6 | 23.0 | 23.0 | ||
| Total loans and advances to customers at amortised<br>cost | 199.3 | 202.8 | 204.9 | ||
| Analysis of customer deposits at amortised cost | |||||
| Personal<br>Banking | 182.9 | 185.4 | 186.1 | ||
| Barclaycard<br>Consumer UK | — | — | — | ||
| Business<br>Banking | 53.4 | 55.7 | 57.1 | ||
| Total customer deposits at amortised cost | 236.3 | 241.1 | 243.2 |
All values are in British Pounds.
Barclays UK delivered a RoTE of 21.4% (Q323 YTD: 20.6%) supported by robust income, strong asset quality and disciplined cost management, with continued investment in our transformation into a simpler, better and more balanced retail bank.
Income statement - Q324 YTD compared to Q323 YTD
●
Profit before tax increased 7% to £2,463m with a RoTE of 21.4% (Q323 YTD: 20.6%)
●
Total income decreased 2% to £5,659m. NII decreased 1% to £4,812m, as continued structural hedge momentum was more than offset by mortgage margin pressure and adverse product dynamics in deposits, which have stabilised throughout 2024. Net fee, commission and other income decreased 10% to £847m primarily from the impact of the transfer of Wealth Management & Investments (WM&I) to PBWM1
●
Total operating expenses decreased 4% to £3,114m, driven by the transfer of WM&I to PBWM1 partially offset by the impact of inflation. Ongoing efficiency savings continue to be reinvested, which includes investment in our transformation programme to drive sustainable improvement to the cost: income ratio
●
Credit impairment charges were £82m (Q323 YTD: £267m), driven by low delinquencies in UK cards, high quality mortgage lending portfolio and the improved macroeconomic outlook. UK cards 30 and 90 day arrears remained low at 0.7% (Q323: 0.9%) and 0.2% (Q323: 0.2%) respectively. The UK cards total coverage ratio reduced to 5.6% (December 2023: 6.8%) driven by release of the affordability linked adjustments, supported by a resilient credit performance
Balance sheet - 30 September 2024 compared to 31 December 2023
●
Loans and advances to customers at amortised cost decreased by £3.5bn to £199.3bn, driven by subdued mortgage lending reflecting wider market factors and continued repayment of government scheme lending in Business Banking
●
Customer deposits at amortised cost decreased £4.8bn to £236.3bn, driven by reduced Business Banking and retail current account balances, reflecting broader market trends. The loan: deposit ratio remained stable at 92% (December 2023: 92%)
●
RWAs increased to £77.5bn (December 2023: £73.5bn), primarily driven by regulatory model changes
| 1 | WM&I was transferred in May 2023. | ||||
|---|---|---|---|---|---|
| Barclays UK Corporate Bank | Nine months ended | ||||
| --- | --- | --- | --- | --- | --- |
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Income statement information | £m | £m | %<br>Change | £m | %<br>Change |
| Net<br>interest income | 882 | 913 | (3) | 304 | 2 |
| Net<br>fee, commission, trading and other income | 440 | 462 | (5) | 136 | — |
| Total income | 1,322 | 1,375 | (4) | 440 | 1 |
| Operating<br>costs | (685) | (647) | (6) | (224) | (2) |
| UK<br>regulatory levies | (23) | — | DIV/0! | — | DIV/0! |
| Litigation<br>and conduct | — | 2 | 2 | ||
| Total operating expenses | (708) | (645) | (10) | (222) | — |
| Other<br>net income | — | 2 | — | DIV/0! | |
| Profit before impairment | 614 | 732 | (16) | 218 | 2 |
| Credit<br>impairment (charges)/releases | (36) | 45 | (15) | 13 | |
| Profit before tax | 578 | 777 | (26) | 203 | 3 |
| Attributable<br>profit | 392 | 525 | (25) | 129 | 12 |
| Performance measures | |||||
| Return<br>on average allocated tangible equity | 17.3% | 24.4% | 18.3% | ||
| Average<br>allocated tangible equity (£bn) | 3.0 | 2.9 | 2.8 | ||
| Cost:<br>income ratio | 54% | 47% | 50% | ||
| Loan<br>loss rate (bps) | 19 | (22) | 21 | ||
| As at<br><br><br>30.09.24 | As At<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | |||
| Balance sheet information | £bn | £bn | bn | ||
| Loans<br>and advances to customers at amortised cost | 24.8 | 26.4 | 26.9 | ||
| Deposits<br>at amortised cost | 82.3 | 84.9 | 82.7 | ||
| Risk<br>weighted assets | 22.1 | 20.9 | 19.5 | ||
| Period<br>end allocated tangible equity | 3.0 | 3.0 | 2.8 | ||
| Nine months ended | |||||
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Analysis of total income | £m | £m | %<br>Change | £m | %<br>Change |
| Corporate<br>lending | 196 | 198 | (1) | 69 | (3) |
| Transaction<br>banking | 1,126 | 1,177 | (4) | 371 | 2 |
| Total income | 1,322 | 1,375 | (4) | 440 | 1 |
All values are in British Pounds.
UKCB delivered a RoTE of 17.3% (Q323 YTD: 24.4%), as income from increased average deposits is offset by lower liquidity pool income, the year-to-date impact of continuing investment to support future growth ambitions and the BoE levy scheme.
Income statement - Q324 YTD compared to Q323 YTD
●
Profit before tax decreased 26% to £578m (Q323 YTD: £777m)
●
Total income decreased 4% to £1,322m as increased deposit income from higher average balances in the higher interest rate environment was more than offset by lower liquidity pool income
●
Total operating expenses increased 10% to £708m, reflecting higher ongoing spend to support growth ambitions and the year-to-date impact of the BoE levy scheme
●
Credit impairment charges were £36m (Q323 YTD: £45m release), driven by resilient underlying credit performance and limited single name charges. The release in the prior period was driven by the improved macroeconomic outlook
Balance sheet - 30 September 2024 compared to 31 December 2023
●
Loans and advances to customers at amortised cost decreased by £1.6bn to £24.8bn (December 2023: £26.4bn) with underlying growth more than offset by a c.£2bn reduction from refinements to the perimeter with the International Corporate Bank within IB
●
Customer deposits at amortised cost decreased by £2.6bn at £82.3bn (December 2023: £84.9bn) primarily driven by a c.£2bn reduction from refinements to the perimeter with the International Corporate Bank within IB
●
RWAs increased to £22.1bn (December 2023: £20.9bn) reflecting higher client lending limits, supporting future lending growth
| Barclays Private Bank and Wealth Management | Nine months ended | Three months ended | |||
|---|---|---|---|---|---|
| 30.09.24 | 30.09.23 | 30.09.24 | 30.09.23 | ||
| Income statement information | £m | m | £m | £m | %<br>Change |
| Net<br>interest income | 551 | 586 | 189 | 219 | (14) |
| Net<br>fee, commission and other income | 407 | 309 | 137 | 118 | 16 |
| Total income | 958 | 895 | 326 | 337 | (3) |
| Operating<br>costs | (656) | (540) | (222) | (214) | (4) |
| UK<br>regulatory levies | (2) | — | 1 | — | DIV/0! |
| Litigation<br>and conduct | 1 | — | — | — | |
| Total operating expenses | (657) | (540) | (221) | (214) | (3) |
| Other<br>net income | — | — | — | — | DIV/0! |
| Profit before impairment | 301 | 355 | 105 | 123 | (15) |
| Credit<br>impairment (charges)/releases | (4) | (8) | (7) | 2 | |
| Profit before tax | 297 | 347 | 98 | 125 | (22) |
| Attributable<br>profit | 225 | 283 | 74 | 102 | (27) |
| Performance measures | |||||
| Return<br>on average allocated tangible equity | 29.5% | 37.1% | 29.0% | 41.2% | |
| Average<br>allocated tangible equity (£bn) | 1.0 | 1.0 | 1.0 | 1.0 | |
| Cost:<br>income ratio | 69% | 60% | 68% | 63% | |
| Loan<br>loss rate (bps) | 4 | 7 | 19 | (7) | |
| Key facts | £bn | bn | |||
| Invested<br>assets1 | 122.4 | 105.4 | |||
| Clients<br>assets and liabilities2 | 201.5 | 178.7 | |||
| As at<br><br><br>30.09.24 | As At<br><br><br>31.12.23 | ||||
| Balance sheet information | £bn | bn | |||
| Loans<br>and advances to customers at amortised cost | 14.0 | 13.6 | |||
| Deposits<br>at amortised cost | 64.8 | 60.3 | |||
| Risk<br>weighted assets | 7.3 | 7.2 | |||
| Period<br>end allocated tangible equity | 1.0 | 1.0 |
All values are in British Pounds.
PBWM delivered a RoTE of 29.5% (Q323 YTD: 37.1%), supported by 13% growth year-on-year in client balances to £201.5bn, which is predominantly driven by invested assets1 as a result of market movements and underlying growth.
Income statement - Q324 YTD compared to Q323 YTD
●
Profit before tax decreased 14% to £297m with a RoTE of 29.5% (Q323 YTD: 37.1%)
●
Total income increased 7% to £958m reflecting the transfer of WM&I from Barclays UK3 and higher client assets and liabilities balances, partially offset by lower liquidity pool income
●
Total operating expenses increased 22% to £657m, reflecting the transfer of WM&I from Barclays UK and higher ongoing spend, including hiring, to support business growth
Balance sheet - 30 September 2024 compared to 31 December 2023
●
Client assets and liabilities increased £18.6bn to £201.5bn, driven by £13.6bn increase in invested assets as a result of market movements and underlying growth, as well as £4.5bn increase in deposits and £0.5bn increase in gross loans to clients
●
Deposits at amortised cost increased £4.5bn to £64.8bn, driven by underlying growth from client inflows
●
RWAs were stable at £7.3bn (December 2023: £7.2bn)
| 1 | Invested assets represent assets under management and<br>supervision. | ||||
|---|---|---|---|---|---|
| 2 | Client assets and liabilities refers to customer deposits, lending<br>and invested assets. | ||||
| 3 | WM&I was transferred in May 2023. | ||||
| Barclays Investment Bank | Nine months ended | ||||
| --- | --- | --- | --- | --- | --- |
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Income statement information | £m | £m | %<br>Change | £m | %<br>Change |
| Net<br>interest income | 747 | 1,111 | (33) | 397 | (29) |
| Net<br>trading income | 4,979 | 5,283 | (6) | 1,497 | 1 |
| Net<br>fee, commission and other income | 3,472 | 2,604 | 33 | 792 | 33 |
| Total income | 9,198 | 8,998 | 2 | 2,686 | 6 |
| Operating<br>costs | (5,763) | (5,685) | (1) | (1,840) | (4) |
| UK<br>regulatory levies | (26) | — | DIV/0! | — | DIV/0! |
| Litigation<br>and conduct | (29) | 7 | 6 | ||
| Total operating expenses | (5,818) | (5,678) | (2) | (1,834) | (4) |
| Other<br>net income | — | 1 | 2 | ||
| Profit before impairment | 3,380 | 3,321 | 2 | 854 | 9 |
| Credit<br>impairment (charges)/releases | (77) | (79) | 3 | 23 | |
| Profit before tax | 3,303 | 3,242 | 2 | 877 | 2 |
| Attributable<br>profit | 2,266 | 2,190 | 3 | 580 | 12 |
| Performance measures | |||||
| Return<br>on average allocated tangible equity | 10.1% | 10.1% | 8.0% | ||
| Average<br>allocated tangible equity (£bn) | 29.8 | 29.0 | 28.8 | ||
| Cost:<br>income ratio | 63% | 63% | 68% | ||
| Loan<br>loss rate (bps) | 9 | 10 | (8) | ||
| As at<br><br><br>30.09.24 | As at<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | |||
| Balance sheet information | £bn | £bn | bn | ||
| Loans<br>and advances to customers at amortised cost | 64.5 | 62.7 | 62.3 | ||
| Loans<br>and advances to banks at amortised cost | 6.7 | 7.3 | 9.5 | ||
| Debt<br>securities at amortised cost | 44.8 | 38.9 | 36.3 | ||
| Loans and advances at amortised cost | 116.0 | 108.9 | 108.1 | ||
| Trading<br>portfolio assets | 185.8 | 174.5 | 155.3 | ||
| Derivative<br>financial instrument assets | 256.7 | 255.1 | 280.4 | ||
| Financial<br>assets at fair value through the income statement | 210.8 | 202.5 | 237.2 | ||
| Cash<br>collateral and settlement balances | 134.7 | 102.3 | 134.6 | ||
| Deposits<br>at amortised cost | 139.8 | 132.7 | 154.2 | ||
| Derivative<br>financial instrument liabilities | 249.4 | 249.7 | 268.3 | ||
| Risk<br>weighted assets | 194.2 | 197.3 | 201.1 | ||
| Period<br>end allocated tangible equity | 28.4 | 29.0 | 29.0 |
All values are in British Pounds.
| Nine months ended | Three months ended | |||||
|---|---|---|---|---|---|---|
| 30.09.24 | 30.09.23 | 30.09.24 | 30.09.23 | |||
| Analysis of total income | £m | £m | % Change | £m | £m | % Change |
| FICC | 3,733 | 4,121 | (9) | 1,180 | 1,147 | 3 |
| Equities | 2,271 | 1,942 | 17 | 692 | 675 | 3 |
| Global Markets | 6,004 | 6,063 | (1) | 1,872 | 1,822 | 3 |
| Advisory | 472 | 422 | 12 | 186 | 80 | |
| Equity<br>capital markets | 253 | 181 | 40 | 64 | 62 | 3 |
| Debt<br>capital markets | 1,165 | 847 | 38 | 344 | 233 | 48 |
| Banking<br>fees and underwriting | 1,890 | 1,450 | 30 | 594 | 375 | 58 |
| Corporate<br>lending | 108 | 236 | (54) | (21) | 103 | |
| Transaction<br>banking | 1,196 | 1,249 | (4) | 406 | 386 | 5 |
| International<br>Corporate Bank | 1,304 | 1,485 | (12) | 385 | 489 | (21) |
| Investment Banking | 3,194 | 2,935 | 9 | 979 | 864 | 13 |
| Total income | 9,198 | 8,998 | 2 | 2,851 | 2,686 | 6 |
IB delivered a RoTE of 10.1% (Q323 YTD: 10.1%) reflecting the benefit of diversified income streams across businesses and geographies. An increase in Banking fees and underwriting and Equities income was partially offset by a decrease in FICC and International Corporate Bank income. Costs were marginally up while impairment remained below prior year.
Income statement - Q324 YTD compared to Q323 YTD
●
IB has a diverse income profile across businesses and geographies including a significant presence in the US. The appreciation of GBP against USD adversely impacted income and profits, and positively impacted credit impairment charges, total operating expenses and RWAs
●
Profit before tax increased to £3,303m (Q323 YTD: £3,242m)
●
Total income increased 2% to £9,198m
-
Global Markets income decreased 1% to £6,004m as increased income in Equities was more than offset by lower income in FICC
-
Equities income increased 17% to £2,271m, reflecting increased client activity in Derivatives and Cash products, additionally supported by a £125m fair value gain on Visa B shares in Q124
-
FICC income decreased 9% to £3,733m, reflecting lower client activity in Macro and the non-repeat of the inflation benefit from prior year, partially offset by strong performance in securitised products
-
Investment Banking income increased 9% to £3,194m
-
Banking fees and underwriting income increased 30% to £1,890m. Equity capital markets fees increased 40% driven by increased deal activity including fees booked on a large UK rights issue completed in Q224. Debt capital markets fees increased 38% driven by increased activity in leverage finance and investment grade issuance. Advisory fee income increased 12% to £472m
-
International Corporate Bank income decreased 12% to £1,304m, including the £85m impact of fair value losses on leverage finance lending in Q324, which decreased Corporate lending income. Transaction banking income decreased 4% to £1,196m driven by margin compression as customers continue to migrate to higher interest returning products and lower liquidity pool income
●
Total operating expenses increased 2% to £5,818m reflecting the impact of inflation, Q224 structural cost actions and the estimated impact of the BoE levy scheme, partially offset by efficiency savings
●
Credit impairment charges were £77m (Q323 YTD: £79m), driven by single name charges, partially offset by the benefit of credit protection and the improved macroeconomic outlook
Balance sheet - 30 September 2024 compared to 31 December 2023
●
Loans and advances at amortised costs increased £7.1bn to £116.0bn driven by increased investment in debt securities and c.£2bn from refinements to the perimeter with UKCB
●
Trading portfolio assets increased £11.3bn to £185.8bn driven by increased trading in debt securities to facilitate client demand in Global Markets
●
Derivative assets increased £1.6bn to £256.7bn and liabilities remained broadly stable at £249.4bn, reflecting increased client activity in Equities, offset by a decrease in Macro due to lower market volatility
●
Financial assets at fair value through the income statement increased £8.3bn to £210.8bn driven by increased secured lending balances
●
Deposits at amortised cost increased £7.1bn to £139.8bn driven by growth in deposits, primarily in International Corporate Bank and c.£2bn from refinements to the perimeter with UKCB
●
RWAs decreased to £194.2bn (December 2023: £197.3bn) driven by the strengthening of GBP against USD
| Barclays US Consumer Bank | Nine months ended | ||||
|---|---|---|---|---|---|
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Income statement information | £m | £m | %<br>Change | £m | %<br>Change |
| Net<br>interest income | 1,981 | 1,918 | 3 | 662 | (2) |
| Net<br>fee, commission and other income | 488 | 484 | 1 | 147 | (2) |
| Total income | 2,469 | 2,402 | 3 | 809 | (2) |
| Operating<br>costs | (1,179) | (1,232) | 4 | (404) | 5 |
| UK<br>regulatory levies | — | — | DIV/0! | — | DIV/0! |
| Litigation<br>and conduct | (14) | (4) | — | DIV/0! | |
| Total operating expenses | (1,193) | (1,236) | 3 | (404) | 3 |
| Other<br>net income | — | — | DIV/0! | — | DIV/0! |
| Profit before impairment | 1,276 | 1,166 | 9 | 405 | (2) |
| Credit<br>impairment charges | (995) | (989) | (1) | (404) | 32 |
| Profit before tax | 281 | 177 | 59 | 1 | |
| Attributable<br>profit | 208 | 134 | 55 | 3 | |
| Performance measures | |||||
| Return<br>on average allocated tangible equity | 8.4% | 5.7% | 0.4% | ||
| Average<br>allocated tangible equity (£bn) | 3.3 | 3.2 | 3.1 | ||
| Cost:<br>income ratio | 48% | 51% | 50% | ||
| Loan<br>loss rate (bps) | 497 | 480 | 582 | ||
| Net<br>interest margin | 10.64% | 10.84% | 10.88% | ||
| As at<br><br><br>30.09.24 | As at<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | |||
| Balance sheet information | £bn | £bn | bn | ||
| Loans<br>and advances to customers at amortised cost | 23.2 | 24.2 | 24.3 | ||
| Deposits<br>at amortised cost | 19.4 | 19.7 | 19.3 | ||
| Risk<br>weighted assets | 23.2 | 24.8 | 24.1 | ||
| Period<br>end allocated tangible equity | 3.2 | 3.4 | 3.3 |
All values are in British Pounds.
USCB delivered a RoTE of 8.4% (Q323 YTD: 5.7%) with underlying growth in cards balances driving higher income, partially offset by the strengthening of GBP against USD. c.£0.9bn ($1.1bn) of the outstanding credit card receivables were sold to Blackstone in Q124, providing a benefit from reduced RWAs.
Income statement - Q324 YTD compared to Q323 YTD
●
The appreciation of GBP against USD adversely impacted income and profits, and positively impacted credit impairment charges, total operating expenses and RWAs
●
Profit before tax was £281m (Q323 YTD: £177m)
●
Total income increased 3% to £2,469m. NII increased 3% to £1,981m reflecting underlying growth in cards balances, partially offset by the strengthening of GBP against USD. Net fee, commission and other income increased 1% to £488m driven by higher purchases and account growth1
●
Total operating expenses decreased 3% to £1,193m, driven by efficiency savings and the strengthening of GBP against USD
●
Credit impairment charges were £995m (Q323 YTD: £989m), driven by anticipated higher delinquencies in US cards, which led to higher coverage ratios, partially offset by the impact of credit risk management actions and methodology enhancements. 30 and 90 day arrears for US cards were 3.0% (Q323: 2.7%) and 1.6% (Q323: 1.3%) respectively. The USCB total coverage ratio was 10.3% (December 2023: 10.1%) as ongoing reserve build was partially offset by the impact of a debt sale in Q324
Balance sheet - 30 September 2024 compared to 31 December 2023
●
Loans and advances to customers at amortised cost remained broadly stable at £23.2bn (December 2023: £24.2bn) with underlying growth in cards balances more than offset by the strengthening of GBP against USD
●
Customer deposits at amortised cost were broadly stable at £19.4bn (December 2023: £19.7bn), with underlying deposit growth, in line with USCB's ambition to grow core deposits, more than offset by the strengthening of GBP against USD
●
RWAs decreased to £23.2bn (December 2023: £24.8bn), reflecting the sale of receivables to Blackstone in Q124 and strengthening of GBP against USD
| 1 | Includes Barclays accounts and those serviced for third<br>parties. | ||||
|---|---|---|---|---|---|
| Head Office | Nine months ended | ||||
| --- | --- | --- | --- | --- | --- |
| 30.09.24 | 30.09.23 | 30.09.23 | |||
| Income statement information | £m | £m | %<br>Change | £m | %<br>Change |
| Net<br>interest income | 463 | 185 | 87 | ||
| Net<br>fee, commission and other income | (245) | 130 | 26 | ||
| Total income | 218 | 315 | (31) | 113 | 66 |
| Operating<br>costs | (603) | (635) | 5 | (210) | 6 |
| UK<br>regulatory levies | — | — | DIV/0! | — | DIV/0! |
| Litigation<br>and conduct | (50) | (49) | (2) | (16) | 56 |
| Total operating expenses | (653) | (684) | 5 | (226) | 10 |
| Other<br>net income | 37 | 4 | 7 | ||
| (Loss)/profit before impairment | (398) | (365) | (9) | (106) | |
| Credit<br>impairment (charges)/releases | (77) | (31) | 20 | ||
| Loss before tax | (475) | (396) | (20) | (86) | 84 |
| Attributable<br>loss | (424) | (327) | (30) | (71) | 77 |
| Performance measures | |||||
| Average<br>allocated tangible equity (£bn) | 2.8 | 0.7 | 0.7 | ||
| As at<br><br><br>30.09.24 | As at<br><br><br>31.12.23 | As at<br><br><br>30.09.23 | |||
| Balance sheet information | £bn | £bn | bn | ||
| Risk<br>weighted assets | 16.1 | 19.0 | 16.8 | ||
| Period<br>end allocated tangible equity | 4.9 | 3.6 | 2.0 |
All values are in British Pounds.
Income statement - Q324 YTD compared to Q323 YTD
●
Loss before tax was £475m (Q323 YTD: £396m)
●
Total income decreased to £218m (Q323 YTD: £315m) mainly driven by the loss on sale of the performing Italian retail mortgage portfolio and the impact of the disposal of the German consumer finance business. These were partially offset by a gain on disposal of a legacy investment and hedge accounting
●
Total operating expenses decreased to £653m (Q323 YTD: £684m)
●
Credit impairment charges were £77m (Q323 YTD: £31m), reflecting stable credit performance. The lower charge in the prior period was influenced by easing inflationary pressure in the modelled German consumer finance business
Balance sheet - 30 September 2024 compared to 31 December 2023
●
RWAs decreased to £16.1bn (December 2023: £19.0bn) mainly from the sale of the performing Italian retail mortgage portfolio and a decrease in relation to merchant acquiring cash in transit settlement balances
Quarterly Results Summary
| Barclays Group | ||||||||
|---|---|---|---|---|---|---|---|---|
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 3,308 | 3,056 | 3,072 | 3,139 | 3,247 | 3,270 | 3,053 | 2,741 |
| Net<br>fee, commission and other income | 3,239 | 3,268 | 3,881 | 2,459 | 3,011 | 3,015 | 4,184 | 3,060 |
| Total income | 6,547 | 6,324 | 6,953 | 5,598 | 6,258 | 6,285 | 7,237 | 5,801 |
| Operating<br>costs | (3,954) | (3,999) | (3,998) | (4,735) | (3,949) | (3,919) | (4,111) | (3,748) |
| UK<br>regulatory levies1 | 27 | — | (120) | (180) | — | — | — | (176) |
| Litigation<br>and conduct | (35) | (7) | (57) | (5) | — | (33) | 1 | (79) |
| Total operating expenses | (3,962) | (4,006) | (4,175) | (4,920) | (3,949) | (3,952) | (4,110) | (4,003) |
| Other<br>net income/(expenses) | 21 | 4 | 12 | (16) | 9 | 3 | (5) | 10 |
| Profit before impairment | 2,606 | 2,322 | 2,790 | 662 | 2,318 | 2,336 | 3,122 | 1,808 |
| Credit<br>impairment charges | (374) | (384) | (513) | (552) | (433) | (372) | (524) | (498) |
| Profit before tax | 2,232 | 1,938 | 2,277 | 110 | 1,885 | 1,964 | 2,598 | 1,310 |
| Tax<br>(charges)/credit | (412) | (427) | (465) | 23 | (343) | (353) | (561) | 33 |
| Profit after tax | 1,820 | 1,511 | 1,812 | 133 | 1,542 | 1,611 | 2,037 | 1,343 |
| Non-controlling<br>interests | (3) | (23) | (3) | (25) | (9) | (22) | (8) | (22) |
| Other<br>equity instrument holders | (253) | (251) | (259) | (219) | (259) | (261) | (246) | (285) |
| Attributable profit/(loss) | 1,564 | 1,237 | 1,550 | (111) | 1,274 | 1,328 | 1,783 | 1,036 |
| Performance measures | ||||||||
| Return<br>on average tangible shareholders' equity | 12.3% | 9.9% | 12.3% | (0.9)% | 11.0% | 11.4% | 15.0% | 8.9% |
| Average<br>tangible shareholders' equity (£bn) | 51.0 | 49.8 | 50.5 | 48.9 | 46.5 | 46.7 | 47.6 | 46.7 |
| Cost:<br>income ratio | 61% | 63% | 60% | 88% | 63% | 63% | 57% | 69% |
| Loan<br>loss rate (bps) | 37 | 38 | 51 | 54 | 42 | 37 | 52 | 49 |
| Basic<br>earnings per ordinary share | 10.7p | 8.3p | 10.3p | (0.7)p | 8.3p | 8.6p | 11.3p | 6.5p |
| Basic<br>weighted average number of shares (m) | 14,648 | 14,915 | 14,983 | 15,092 | 15,405 | 15,523 | 15,770 | 15,828 |
| Period<br>end number of shares (m) | 14,571 | 14,826 | 15,091 | 15,155 | 15,239 | 15,556 | 15,701 | 15,871 |
| Period<br>end tangible shareholders' equity (£bn) | 51.1 | 50.4 | 50.6 | 50.2 | 48.2 | 45.3 | 47.3 | 46.8 |
| Balance sheet and capital management2 | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Loans<br>and advances to customers at amortised cost | 326.5 | 329.8 | 332.1 | 333.3 | 339.6 | 337.4 | 343.6 | 343.3 |
| Loans<br>and advances to banks at amortised cost | 8.1 | 8.0 | 8.5 | 9.5 | 11.5 | 10.9 | 11.0 | 10.0 |
| Debt<br>securities at amortised cost | 64.6 | 61.7 | 57.4 | 56.7 | 54.3 | 53.1 | 48.9 | 45.5 |
| Loans and advances at amortised cost | 399.2 | 399.5 | 397.9 | 399.5 | 405.4 | 401.4 | 403.5 | 398.8 |
| Loans<br>and advances at amortised cost impairment coverage<br>ratio | 1.3% | 1.4% | 1.4% | 1.4% | 1.4% | 1.4% | 1.4% | 1.4% |
| Total<br>assets | 1,531.1 | 1,576.6 | 1,577.1 | 1,477.5 | 1,591.7 | 1,549.7 | 1,539.1 | 1,513.7 |
| Deposits<br>at amortised cost | 542.8 | 557.5 | 552.3 | 538.8 | 561.3 | 554.7 | 555.7 | 545.8 |
| Tangible<br>net asset value per share | 351p | 340p | 335p | 331p | 316p | 291p | 301p | 295p |
| Common<br>equity tier 1 ratio | 13.8% | 13.6% | 13.5% | 13.8% | 14.0% | 13.8% | 13.6% | 13.9% |
| Common<br>equity tier 1 capital | 47.0 | 47.7 | 47.1 | 47.3 | 48.0 | 46.6 | 46.0 | 46.9 |
| Risk<br>weighted assets | 340.4 | 351.4 | 349.6 | 342.7 | 341.9 | 336.9 | 338.4 | 336.5 |
| UK<br>leverage ratio | 4.9% | 5.0% | 4.9% | 5.2% | 5.0% | 5.1% | 5.1% | 5.3% |
| UK<br>leverage exposure | 1,197.4 | 1,222.7 | 1,226.5 | 1,168.3 | 1,202.4 | 1,183.7 | 1,168.9 | 1,130.0 |
| Funding and liquidity | ||||||||
| Group<br>liquidity pool (£bn) | 311.7 | 328.7 | 323.5 | 298.1 | 335.0 | 330.7 | 333.0 | 318.0 |
| Liquidity<br>coverage ratio | 170.1% | 167.0% | 163.2% | 161.4% | 158.7% | 157.2% | 156.6% | 155.5% |
| Net<br>stable funding ratio | 135.6% | 136.4% | 135.7% | 138.0% | 138.2% | 138.8% | 139.2% | 137.0% |
| Loan:<br>deposit ratio | 74% | 72% | 72% | 74% | 72% | 72% | 73% | 73% |
| 1 | Comprises the impact of the BoE levy scheme and the UK bank<br>levy. | |||||||
| --- | --- | |||||||
| 2 | Refer to pages 34 to 38 for further information on how capital,<br>RWAs and leverage are calculated. | |||||||
| Barclays UK | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 1,666 | 1,597 | 1,549 | 1,575 | 1,578 | 1,660 | 1,618 | 1,600 |
| Net<br>fee, commission and other income | 280 | 290 | 277 | 217 | 295 | 301 | 343 | 370 |
| Total income | 1,946 | 1,887 | 1,826 | 1,792 | 1,873 | 1,961 | 1,961 | 1,970 |
| Operating<br>costs | (1,017) | (1,041) | (1,007) | (1,153) | (1,058) | (1,090) | (1,092) | (1,108) |
| UK<br>regulatory levies | 12 | — | (54) | (30) | — | — | — | (26) |
| Litigation<br>and conduct | (1) | (4) | (2) | (4) | 9 | 5 | (2) | (13) |
| Total operating expenses | (1,006) | (1,045) | (1,063) | (1,187) | (1,049) | (1,085) | (1,094) | (1,147) |
| Other<br>net income | — | — | — | — | — | — | — | 1 |
| Profit before impairment | 940 | 842 | 763 | 605 | 824 | 876 | 867 | 824 |
| Credit<br>impairment charges | (16) | (8) | (58) | (37) | (59) | (95) | (113) | (157) |
| Profit before tax | 924 | 834 | 705 | 568 | 765 | 781 | 754 | 667 |
| Attributable<br>profit | 621 | 584 | 479 | 382 | 531 | 534 | 515 | 474 |
| Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Loans<br>and advances to customers at amortised cost | 199.3 | 198.7 | 200.8 | 202.8 | 204.9 | 206.8 | 208.2 | 205.1 |
| Customer<br>deposits at amortised cost | 236.3 | 236.8 | 237.2 | 241.1 | 243.2 | 249.8 | 254.3 | 258.0 |
| Loan:<br>deposit ratio | 92% | 91% | 92% | 92% | 92% | 90% | 90% | 87% |
| Risk<br>weighted assets | 77.5 | 76.5 | 76.5 | 73.5 | 73.2 | 73.0 | 74.6 | 73.1 |
| Period<br>end allocated tangible equity | 10.7 | 10.6 | 10.7 | 10.2 | 10.1 | 10.1 | 10.3 | 10.1 |
| Performance measures | ||||||||
| Return<br>on average allocated tangible equity | 23.4% | 22.3% | 18.5% | 14.9% | 21.0% | 20.9% | 20.0% | 18.7% |
| Average<br>allocated tangible equity (£bn) | 10.6 | 10.5 | 10.4 | 10.2 | 10.1 | 10.2 | 10.3 | 10.2 |
| Cost:<br>income ratio | 52% | 55% | 58% | 66% | 56% | 55% | 56% | 58% |
| Loan<br>loss rate (bps) | 3 | 1 | 11 | 7 | 10 | 17 | 20 | 27 |
| Net<br>interest margin | 3.34% | 3.22% | 3.09% | 3.07% | 3.04% | 3.22% | 3.18% | 3.10% |
| Analysis of Barclays UK | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Analysis of total income | £m | £m | £m | £m | £m | £m | £m | £m |
| Personal<br>Banking | 1,184 | 1,174 | 1,128 | 1,067 | 1,165 | 1,244 | 1,253 | 1,229 |
| Barclaycard<br>Consumer UK | 249 | 228 | 229 | 242 | 238 | 237 | 247 | 269 |
| Business<br>Banking | 513 | 485 | 469 | 483 | 470 | 480 | 461 | 472 |
| Total income | 1,946 | 1,887 | 1,826 | 1,792 | 1,873 | 1,961 | 1,961 | 1,970 |
| Analysis of credit impairment (charges)/releases | ||||||||
| Personal<br>Banking | 3 | (26) | (14) | 35 | (85) | (92) | (28) | (120) |
| Barclaycard<br>Consumer UK | (15) | (25) | (38) | (73) | 29 | (35) | (83) | (12) |
| Business<br>Banking | (4) | 43 | (6) | 1 | (3) | 32 | (2) | (25) |
| Total credit impairment charges | (16) | (8) | (58) | (37) | (59) | (95) | (113) | (157) |
| Analysis of loans and advances to customers at amortised<br>cost | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Personal<br>Banking | 168.1 | 167.3 | 169.0 | 170.1 | 172.3 | 173.3 | 173.6 | 169.7 |
| Barclaycard<br>Consumer UK | 10.6 | 10.2 | 9.8 | 9.7 | 9.6 | 9.3 | 9.0 | 9.2 |
| Business<br>Banking | 20.6 | 21.2 | 22.0 | 23.0 | 23.0 | 24.2 | 25.6 | 26.2 |
| Total loans and advances to customers at amortised<br>cost | 199.3 | 198.7 | 200.8 | 202.8 | 204.9 | 206.8 | 208.2 | 205.1 |
| Analysis of customer deposits at amortised cost | ||||||||
| Personal<br>Banking | 182.9 | 183.3 | 183.4 | 185.4 | 186.1 | 191.1 | 194.3 | 195.6 |
| Barclaycard<br>Consumer UK | — | — | — | — | — | — | — | — |
| Business<br>Banking | 53.4 | 53.5 | 53.8 | 55.7 | 57.1 | 58.7 | 60.0 | 62.4 |
| Total customer deposits at amortised cost | 236.3 | 236.8 | 237.2 | 241.1 | 243.2 | 249.8 | 254.3 | 258.0 |
| Barclays UK Corporate Bank | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 309 | 296 | 277 | 247 | 304 | 299 | 310 | 324 |
| Net<br>fee, commission, trading and other income | 136 | 147 | 157 | 148 | 136 | 173 | 153 | 153 |
| Total income | 445 | 443 | 434 | 395 | 440 | 472 | 463 | 477 |
| Operating<br>costs | (229) | (235) | (221) | (258) | (224) | (213) | (210) | (213) |
| UK<br>regulatory levies | 7 | — | (30) | (8) | — | — | — | (7) |
| Litigation<br>and conduct | — | — | — | (1) | 2 | — | — | — |
| Total operating expenses | (222) | (235) | (251) | (267) | (222) | (213) | (210) | (220) |
| Other<br>net (expenses)/income | — | — | — | (5) | — | 1 | 1 | 1 |
| Profit before impairment | 223 | 208 | 183 | 123 | 218 | 260 | 254 | 258 |
| Credit<br>impairment (charges)/releases | (13) | (8) | (15) | (18) | (15) | 84 | (24) | (52) |
| Profit before tax | 210 | 200 | 168 | 105 | 203 | 344 | 230 | 206 |
| Attributable<br>profit | 144 | 135 | 113 | 59 | 129 | 239 | 157 | 131 |
| Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Loans<br>and advances to customers at amortised cost | 24.8 | 25.7 | 25.7 | 26.4 | 26.9 | 26.9 | 27.2 | 26.9 |
| Deposits<br>at amortised cost | 82.3 | 84.9 | 81.7 | 84.9 | 82.7 | 82.6 | 83.6 | 84.4 |
| Risk<br>weighted assets | 22.1 | 21.9 | 21.4 | 20.9 | 19.5 | 20.6 | 20.2 | 21.1 |
| Period<br>end allocated tangible equity | 3.0 | 3.0 | 3.0 | 3.0 | 2.8 | 2.9 | 2.9 | 3.0 |
| Performance measures | ||||||||
| Return<br>on average allocated tangible equity | 18.8% | 18.0% | 15.2% | 8.4% | 18.3% | 32.9% | 21.7% | 17.8% |
| Average<br>allocated tangible equity (£bn) | 3.1 | 3.0 | 3.0 | 2.8 | 2.8 | 2.9 | 2.9 | 2.9 |
| Cost:<br>income ratio | 50% | 53% | 58% | 68% | 50% | 45% | 45% | 46% |
| Loan<br>loss rate (bps) | 21 | 12 | 23 | 27 | 21 | (123) | 36 | 74 |
| Analysis of total income | £m | £m | £m | £m | £m | £m | £m | £m |
| Corporate<br>lending | 67 | 57 | 72 | 64 | 69 | 68 | 61 | 66 |
| Transaction<br>banking | 378 | 386 | 362 | 331 | 371 | 404 | 402 | 411 |
| Total income | 445 | 443 | 434 | 395 | 440 | 472 | 463 | 477 |
| Barclays Private Bank and Wealth Management | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 189 | 187 | 175 | 182 | 219 | 186 | 181 | 205 |
| Net<br>fee, commission and other income | 137 | 133 | 137 | 131 | 118 | 113 | 78 | 81 |
| Total income | 326 | 320 | 312 | 313 | 337 | 299 | 259 | 286 |
| Operating<br>costs | (222) | (220) | (214) | (255) | (214) | (182) | (144) | (153) |
| UK<br>regulatory levies | 1 | — | (3) | (4) | — | — | — | (4) |
| Litigation<br>and conduct | — | 1 | — | 2 | — | — | — | — |
| Total operating expenses | (221) | (219) | (217) | (257) | (214) | (182) | (144) | (157) |
| Other<br>net income | — | — | — | — | — | — | — | — |
| Profit before impairment | 105 | 101 | 95 | 56 | 123 | 117 | 115 | 129 |
| Credit<br>impairment (charges)/releases | (7) | 3 | — | 4 | 2 | (7) | (3) | (10) |
| Profit before tax | 98 | 104 | 95 | 60 | 125 | 110 | 112 | 119 |
| Attributable<br>profit | 74 | 77 | 74 | 47 | 102 | 91 | 90 | 92 |
| Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Loans<br>and advances to customers at amortised cost | 14.0 | 13.9 | 13.7 | 13.6 | 13.4 | 13.8 | 14.3 | 14.4 |
| Deposits<br>at amortised cost | 64.8 | 64.6 | 61.9 | 60.3 | 59.7 | 59.2 | 60.8 | 62.3 |
| Risk<br>weighted assets | 7.3 | 7.0 | 7.2 | 7.2 | 7.2 | 7.2 | 7.5 | 7.8 |
| Period<br>end allocated tangible equity | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.1 |
| Client assets and liabilities1 | 201.5 | 198.5 | 189.1 | 182.9 | 178.7 | 174.1 | 141.5 | 139.4 |
| Performance measures | ||||||||
| Return<br>on average allocated tangible equity | 29.0% | 30.8% | 28.7% | 19.1% | 41.2% | 35.9% | 34.5% | 34.9% |
| Average<br>allocated tangible equity (£bn) | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.1 |
| Cost:<br>income ratio | 68% | 68% | 70% | 82% | 63% | 61% | 56% | 55% |
| Loan<br>loss rate (bps) | 19 | (9) | — | (10) | (7) | 20 | 7 | 26 |
| 1 | Client assets and liabilities refers to customer deposits, lending<br>and invested assets. | |||||||
| --- | --- | |||||||
| Barclays Investment Bank | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 282 | 268 | 197 | 282 | 397 | 555 | 159 | 228 |
| Net<br>trading income | 1,512 | 1,485 | 1,982 | 757 | 1,497 | 1,351 | 2,435 | 1,197 |
| Net<br>fee, commission and other income | 1,057 | 1,266 | 1,149 | 998 | 792 | 837 | 975 | 731 |
| Total income | 2,851 | 3,019 | 3,328 | 2,037 | 2,686 | 2,743 | 3,569 | 2,156 |
| Operating<br>costs | (1,906) | (1,900) | (1,957) | (1,934) | (1,840) | (1,813) | (2,032) | (1,619) |
| UK<br>regulatory levies | 7 | — | (33) | (123) | — | — | — | (119) |
| Litigation<br>and conduct | (17) | (3) | (9) | (2) | 6 | (1) | 2 | (55) |
| Total operating expenses | (1,916) | (1,903) | (1,999) | (2,059) | (1,834) | (1,814) | (2,030) | (1,793) |
| Other<br>net (expenses)/income | — | — | — | (1) | 2 | — | (1) | 1 |
| Profit/(loss) before impairment | 935 | 1,116 | 1,329 | (23) | 854 | 929 | 1,538 | 364 |
| Credit<br>impairment (charges)/releases | (43) | (44) | 10 | (23) | 23 | (77) | (25) | (22) |
| Profit/(loss) before tax | 892 | 1,072 | 1,339 | (46) | 877 | 852 | 1,513 | 342 |
| Attributable<br>profit/(loss) | 652 | 715 | 899 | (149) | 580 | 562 | 1,048 | 313 |
| Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Loans<br>and advances to customers at amortised cost | 64.5 | 66.6 | 64.6 | 62.7 | 62.3 | 59.1 | 63.1 | 64.6 |
| Loans<br>and advances to banks at amortised cost | 6.7 | 6.6 | 7.6 | 7.3 | 9.5 | 9.0 | 9.1 | 8.1 |
| Debt<br>securities at amortised cost | 44.8 | 41.7 | 40.4 | 38.9 | 36.3 | 35.1 | 30.7 | 27.2 |
| Loans and advances at amortised cost | 116.0 | 114.9 | 112.6 | 108.9 | 108.1 | 103.2 | 102.9 | 99.9 |
| Trading<br>portfolio assets | 185.8 | 197.2 | 195.3 | 174.5 | 155.3 | 165.0 | 137.6 | 133.7 |
| Derivative<br>financial instrument assets | 256.7 | 251.4 | 248.9 | 255.1 | 280.4 | 264.8 | 256.5 | 301.6 |
| Financial<br>assets at fair value through the income statement | 210.8 | 211.7 | 225.1 | 202.5 | 237.2 | 231.1 | 243.8 | 209.4 |
| Cash<br>collateral and settlement balances | 134.7 | 139.8 | 129.8 | 102.3 | 134.6 | 122.1 | 124.3 | 106.2 |
| Deposits<br>at amortised cost | 139.8 | 151.3 | 151.1 | 132.7 | 154.2 | 142.9 | 137.3 | 121.5 |
| Derivative<br>financial instrument liabilities | 249.4 | 241.8 | 241.5 | 249.7 | 268.3 | 254.5 | 246.7 | 288.9 |
| Risk<br>weighted assets | 194.2 | 203.3 | 200.4 | 197.3 | 201.1 | 197.2 | 198.0 | 195.9 |
| Period<br>end allocated tangible equity | 28.4 | 29.7 | 29.6 | 29.0 | 29.0 | 28.7 | 28.9 | 28.6 |
| Performance measures | ||||||||
| Return<br>on average allocated tangible equity | 8.8% | 9.6% | 12.0% | (2.1)% | 8.0% | 7.7% | 14.4% | 4.0% |
| Average<br>allocated tangible equity (£bn) | 29.5 | 29.9 | 30.0 | 28.9 | 28.8 | 29.0 | 29.1 | 30.9 |
| Cost:<br>income ratio | 67% | 63% | 60% | 101% | 68% | 66% | 57% | 83% |
| Loan<br>loss rate (bps) | 15 | 15 | (4) | 8 | (8) | 30 | 10 | 9 |
| Analysis of total income | £m | £m | £m | £m | £m | £m | £m | £m |
| FICC | 1,180 | 1,149 | 1,404 | 724 | 1,147 | 1,186 | 1,788 | 976 |
| Equities | 692 | 696 | 883 | 431 | 675 | 563 | 704 | 440 |
| Global Markets | 1,872 | 1,845 | 2,287 | 1,155 | 1,822 | 1,749 | 2,492 | 1,416 |
| Advisory | 186 | 138 | 148 | 171 | 80 | 130 | 212 | 197 |
| Equity<br>capital markets | 64 | 121 | 68 | 38 | 62 | 69 | 50 | 40 |
| Debt<br>capital markets | 344 | 420 | 401 | 301 | 233 | 273 | 341 | 243 |
| Banking<br>Fees and Underwriting | 594 | 679 | 617 | 510 | 375 | 472 | 603 | 480 |
| Corporate<br>lending | (21) | 87 | 42 | (23) | 103 | 100 | 33 | (194) |
| Transaction<br>banking | 406 | 408 | 382 | 395 | 386 | 422 | 441 | 454 |
| International<br>Corporate Banking | 385 | 495 | 424 | 372 | 489 | 522 | 474 | 260 |
| Investment Banking | 979 | 1,174 | 1,041 | 882 | 864 | 994 | 1,077 | 740 |
| Total income | 2,851 | 3,019 | 3,328 | 2,037 | 2,686 | 2,743 | 3,569 | 2,156 |
| Barclays US Consumer Bank | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 647 | 646 | 688 | 686 | 662 | 622 | 634 | 639 |
| Net<br>fee, commission, trading and other income | 144 | 173 | 171 | 180 | 147 | 145 | 192 | 149 |
| Total income | 791 | 819 | 859 | 866 | 809 | 767 | 826 | 788 |
| Operating<br>costs | (384) | (408) | (387) | (418) | (404) | (401) | (427) | (425) |
| UK<br>regulatory levies | — | — | — | — | — | — | — | — |
| Litigation<br>and conduct | (9) | (2) | (3) | (2) | — | (4) | — | (3) |
| Total operating expenses | (393) | (410) | (390) | (420) | (404) | (405) | (427) | (428) |
| Other<br>net income | — | — | — | — | — | — | — | — |
| Profit before impairment | 398 | 409 | 469 | 446 | 405 | 362 | 399 | 360 |
| Credit<br>impairment charges | (276) | (309) | (410) | (449) | (404) | (264) | (321) | (224) |
| Profit/(loss) before tax | 122 | 100 | 59 | (3) | 1 | 98 | 78 | 136 |
| Attributable<br>profit/(loss) | 89 | 75 | 44 | (3) | 3 | 72 | 59 | 101 |
| Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Loans<br>and advances to customers at amortised cost | 23.2 | 24.3 | 23.6 | 24.2 | 24.3 | 22.9 | 22.5 | 23.6 |
| Deposits<br>at amortised cost | 19.4 | 20.0 | 20.3 | 19.7 | 19.3 | 17.9 | 18.1 | 18.3 |
| Risk<br>weighted assets | 23.2 | 24.4 | 23.9 | 24.8 | 24.1 | 22.5 | 22.5 | 23.9 |
| Period<br>end allocated tangible equity | 3.2 | 3.3 | 3.3 | 3.4 | 3.3 | 3.1 | 3.1 | 3.3 |
| Performance measures | ||||||||
| Return<br>on average allocated tangible equity | 10.9% | 9.2% | 5.3% | (0.3)% | 0.4% | 9.3% | 7.5% | 12.6% |
| Average<br>allocated tangible equity (£bn) | 3.3 | 3.3 | 3.3 | 3.3 | 3.1 | 3.1 | 3.1 | 3.2 |
| Cost:<br>income ratio | 50% | 50% | 46% | 48% | 50% | 53% | 52% | 54% |
| Loan<br>loss rate (bps) | 411 | 438 | 610 | 636 | 582 | 411 | 515 | 337 |
| Net<br>interest margin | 10.38% | 10.43% | 11.12% | 10.88% | 10.88% | 10.66% | 10.97% | 10.64% |
| Head Office | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 | |
| Income statement information | £m | £m | £m | £m | £m | £m | £m | £m |
| Net<br>interest income | 215 | 62 | 186 | 167 | 87 | (52) | 151 | (255) |
| Net<br>fee, commission and other income | (27) | (226) | 8 | 28 | 26 | 95 | 8 | 379 |
| Total income | 188 | (164) | 194 | 195 | 113 | 43 | 159 | 124 |
| Operating<br>costs | (197) | (195) | (211) | (717) | (210) | (221) | (204) | (229) |
| UK<br>regulatory levies | — | — | — | (14) | — | — | — | (20) |
| Litigation<br>and conduct | (7) | 1 | (44) | 1 | (16) | (32) | (1) | (9) |
| Total operating expenses | (204) | (194) | (255) | (730) | (226) | (253) | (205) | (258) |
| Other<br>net income/(expenses) | 21 | 4 | 12 | (10) | 7 | 2 | (5) | 7 |
| Profit/(loss) before impairment | 5 | (354) | (49) | (545) | (106) | (208) | (51) | (127) |
| Credit<br>impairment (charges)/releases | (19) | (18) | (40) | (29) | 20 | (13) | (38) | (33) |
| Loss before tax | (14) | (372) | (89) | (574) | (86) | (221) | (89) | (160) |
| Attributable<br>loss | (16) | (349) | (59) | (447) | (71) | (170) | (86) | (75) |
| Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn |
| Risk<br>weighted assets | 16.1 | 18.3 | 20.2 | 19.0 | 16.8 | 16.4 | 15.6 | 14.7 |
| Period<br>end allocated tangible equity | 4.9 | 2.7 | 3.0 | 3.6 | 2.0 | (0.5) | 1.1 | 0.7 |
| Performance measures | ||||||||
| Average<br>allocated tangible equity (£bn) | 3.5 | 2.1 | 2.8 | 2.7 | 0.7 | 0.5 | 1.2 | (1.6) |
Performance Management
| Margins and balances | ||||||
|---|---|---|---|---|---|---|
| Nine months ended 30.09.24 | Nine months ended 30.09.23 | |||||
| Net interest<br><br><br>income | Average<br><br><br>customer<br><br><br>assets | Net interest<br><br><br>margin | Net interest<br><br><br>income | Average<br><br><br>customer<br><br><br>assets | Net interest<br><br><br>margin | |
| £m | £m | % | £m | £m | % | |
| Barclays<br>UK | 4,812 | 199,938 | 3.21 | 4,856 | 206,338 | 3.15 |
| Barclays<br>UK Corporate Bank | 882 | 22,552 | 5.22 | 913 | 23,157 | 5.27 |
| Barclays<br>Private Bank and Wealth Management | 551 | 13,862 | 5.31 | 586 | 14,071 | 5.57 |
| Barclays<br>US Consumer Bank | 1,981 | 24,864 | 10.64 | 1,918 | 23,661 | 10.84 |
| Group excluding IB and Head Office | 8,226 | 261,216 | 4.21 | 8,273 | 267,227 | 4.14 |
| Barclays<br>Investment Bank | 747 | 1,111 | ||||
| Head<br>Office | 463 | 185 | ||||
| Total Barclays Group net interest income | 9,436 | 9,570 |
The Group excluding IB and Head Office net interest margin (NIM) increased by 7bps from 4.14% in Q323 to 4.21% in Q324, due to continued structural hedge momentum and higher cards balances in USCB, partially offset by mortgage margin pressure in Barclays UK and adverse product dynamics in deposits.
| Quarterly analysis | |||||
|---|---|---|---|---|---|
| Q324 | Q224 | Q124 | Q423 | Q323 | |
| Net interest income | £m | £m | £m | £m | £m |
| Barclays<br>UK | 1,666 | 1,597 | 1,549 | 1,575 | 1,578 |
| Barclays<br>UK Corporate Bank | 309 | 296 | 277 | 247 | 304 |
| Barclays<br>Private Bank and Wealth Management | 189 | 187 | 175 | 182 | 219 |
| Barclays<br>US Consumer Bank | 647 | 646 | 688 | 686 | 662 |
| Group excluding IB and Head Office | 2,811 | 2,726 | 2,689 | 2,690 | 2,763 |
| Average customer assets | £m | £m | £m | £m | £m |
| Barclays<br>UK | 198,616 | 199,529 | 201,669 | 203,646 | 205,693 |
| Barclays<br>UK Corporate Bank | 23,049 | 22,474 | 22,257 | 23,354 | 23,225 |
| Barclays<br>Private Bank and Wealth Management | 14,061 | 13,931 | 13,593 | 13,525 | 13,594 |
| Barclays<br>US Consumer Bank | 24,798 | 24,899 | 24,880 | 25,012 | 24,128 |
| Group excluding IB and Head Office | 260,524 | 260,833 | 262,399 | 265,537 | 266,640 |
| Net interest margin | % | % | % | % | % |
| Barclays<br>UK | 3.34 | 3.22 | 3.09 | 3.07 | 3.04 |
| Barclays<br>UK Corporate Bank | 5.33 | 5.30 | 5.00 | 4.19 | 5.19 |
| Barclays<br>Private Bank and Wealth Management | 5.35 | 5.40 | 5.17 | 5.33 | 6.40 |
| Barclays<br>US Consumer Bank | 10.38 | 10.43 | 11.12 | 10.88 | 10.88 |
| Group excluding IB and Head Office | 4.29 | 4.20 | 4.12 | 4.02 | 4.11 |
Structural hedge
The Group employs a structural hedge programme designed to stabilise NIM on fixed rate non-maturity balance sheet items that are behaviourally stable. As interest rates move, such balances would otherwise drive material income volatility where there is a re-pricing mismatch with floating rate assets.
The structural hedge predominantly covers non-interest-bearing current accounts and the fixed portion of instant access savings accounts as well as equity, which are invested into either floating rate customer assets or balances at central banks, creating an exposure to changes in interest rates. The structural hedge is executed via a portfolio of receive fixed, pay variable interest rate swaps, with an amortising structure so that a small portion matures and is reinvested each month at prevailing market rates. The pay-floating leg of the interest rate swaps nets down a proportion of the receive-floating income from the customer assets, leaving a receive-fixed income stream from the structural hedge.
The purpose of the structural hedge is to smooth the Group NII through time. The floating leg of the swap will re-price immediately, whereas the fixed rate yield on the portfolio reprices gradually, as a portion of the swap portfolio matures and the roll is re-invested onto new market rates.
When interest rates are higher than our structural hedge yield, the pay floating rate will typically be higher than our average receive fixed rate. In this scenario, when viewed in isolation, the structural hedge will be a net drag to Group NII. When floating rates are lower than our structural hedge yield, the hedge in isolation will be a net benefit.
Since the receive-fixed swaps are booked for a specific term, an element of NII is ‘locked in’. The income stabilising feature of the structural hedge provides greater net interest income certainty through the interest rate cycle.
The structural hedge is one component of a larger portfolio of interest rate risk management activities that includes non-structural hedging (e.g. pay fixed and receive variable flows for asset hedging), and other offsetting flows. The net risk of these positions is executed externally through interest rate swaps and managed for accounting risk (i.e. income volatility arising from the accounting mismatch of swaps at fair value through profit and loss and underlying hedged items at amortised cost) within the cash flow hedge reserve. Overall the Group has external derivatives designated as cash flow hedges that hedge interest rate risk with a notional £98bn (December 2023: £128bn) which reflects the structural hedge notional of £234bn (December 2023: £246bn) netted with non-structural hedging positions of £136bn (December 2023: £118bn). The majority of these interest rate swaps are cleared with Central Clearing Counterparties and margined daily with an average duration of between 2.5 years and 3 years.
Gross structural hedge contributions were £3,430m (Q323: £2,609m). Gross structural hedge contributions represent the absolute interest income earned on the fixed legs of the swaps in the structural hedge as the floating leg is offset by the base rate funding of the deposits.
Credit Risk
Loans and advances at amortised cost by geography
Total loans and advances at amortised cost in the credit risk performance section includes loans and advances at amortised cost to banks and loans and advances at amortised cost to customers.
The table below presents a product and geographical breakdown by stages of loans and advances at amortised cost and the impairment allowance. Also included are stage allocation of debt securities and off-balance sheet loan commitments and financial guarantee contracts by gross exposure, impairment allowance and coverage ratio.
Impairment allowance under IFRS 9 considers both the drawn and the undrawn counterparty exposure. For retail portfolios, the total impairment allowance is allocated to gross loans and advances to the extent allowance does not exceed the drawn exposure and any excess is reported on the liabilities side of the balance sheet as a provision. For corporate portfolios, impairment allowance on undrawn exposure is reported on the liability side of the balance sheet as a provision.
| Gross exposure | Impairment allowance | |||||||
|---|---|---|---|---|---|---|---|---|
| Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |
| As at 30.09.24 | £m | £m | £m | £m | £m | £m | £m | £m |
| Retail<br>mortgages | 145,587 | 18,026 | 1,692 | 165,305 | 31 | 60 | 105 | 196 |
| Retail<br>credit cards | 9,080 | 1,993 | 186 | 11,259 | 107 | 429 | 95 | 631 |
| Retail<br>other | 6,605 | 1,202 | 221 | 8,028 | 56 | 104 | 141 | 301 |
| Corporate loans1 | 52,404 | 7,156 | 1,789 | 61,349 | 155 | 168 | 379 | 702 |
| Total UK | 213,676 | 28,377 | 3,888 | 245,941 | 349 | 761 | 720 | 1,830 |
| Retail<br>mortgages | 1,701 | 29 | 494 | 2,224 | 2 | — | 278 | 280 |
| Retail<br>credit cards | 20,427 | 3,448 | 1,652 | 25,527 | 358 | 960 | 1,338 | 2,656 |
| Retail<br>other | 1,624 | 148 | 130 | 1,902 | 2 | 1 | 26 | 29 |
| Corporate<br>loans | 59,315 | 3,895 | 982 | 64,192 | 78 | 141 | 225 | 444 |
| Total Rest of the World | 83,067 | 7,520 | 3,258 | 93,845 | 440 | 1,102 | 1,867 | 3,409 |
| Total loans and advances at amortised cost | 296,743 | 35,897 | 7,146 | 339,786 | 789 | 1,863 | 2,587 | 5,239 |
| Debt<br>securities at amortised cost | 61,342 | 3,316 | — | 64,658 | 10 | 11 | — | 21 |
| Total loans and advances at amortised cost including debt<br>securities | 358,085 | 39,213 | 7,146 | 404,444 | 799 | 1,874 | 2,587 | 5,260 |
| Off-balance sheet loan commitments and financial<br>guarantee contracts2 | 378,879 | 17,441 | 1,046 | 397,366 | 171 | 231 | 28 | 430 |
| Total3,4 | 736,964 | 56,654 | 8,192 | 801,810 | 970 | 2,105 | 2,615 | 5,690 |
| Net exposure | Coverage ratio | |||||||
| Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |
| As at 30.09.24 | £m | £m | £m | £m | % | % | % | % |
| Retail<br>mortgages | 145,556 | 17,966 | 1,587 | 165,109 | — | 0.3 | 6.2 | 0.1 |
| Retail<br>credit cards | 8,973 | 1,564 | 91 | 10,628 | 1.2 | 21.5 | 51.1 | 5.6 |
| Retail<br>other | 6,549 | 1,098 | 80 | 7,727 | 0.8 | 8.7 | 63.8 | 3.7 |
| Corporate loans1 | 52,249 | 6,988 | 1,410 | 60,647 | 0.3 | 2.3 | 21.2 | 1.1 |
| Total UK | 213,327 | 27,616 | 3,168 | 244,111 | 0.2 | 2.7 | 18.5 | 0.7 |
| Retail<br>mortgages | 1,699 | 29 | 216 | 1,944 | 0.1 | — | 56.3 | 12.6 |
| Retail<br>credit cards | 20,069 | 2,488 | 314 | 22,871 | 1.8 | 27.8 | 81.0 | 10.4 |
| Retail<br>other | 1,622 | 147 | 104 | 1,873 | 0.1 | 0.7 | 20.0 | 1.5 |
| Corporate<br>loans | 59,237 | 3,754 | 757 | 63,748 | 0.1 | 3.6 | 22.9 | 0.7 |
| Total Rest of the World | 82,627 | 6,418 | 1,391 | 90,436 | 0.5 | 14.7 | 57.3 | 3.6 |
| Total loans and advances at amortised cost | 295,954 | 34,034 | 4,559 | 334,547 | 0.3 | 5.2 | 36.2 | 1.5 |
| Debt<br>securities at amortised cost | 61,332 | 3,305 | — | 64,637 | — | 0.3 | — | — |
| Total loans and advances at amortised cost including debt<br>securities | 357,286 | 37,339 | 4,559 | 399,184 | 0.2 | 4.8 | 36.2 | 1.3 |
| Off-balance sheet loan commitments and financial<br>guarantee contracts2 | 378,708 | 17,210 | 1,018 | 396,936 | — | 1.3 | 2.7 | 0.1 |
| Total3,4 | 735,994 | 54,549 | 5,577 | 796,120 | 0.1 | 3.7 | 31.9 | 0.7 |
| 1 | Includes Business Banking, which has a gross exposure of<br>£13.6bn and an impairment allowance of £365m. This<br>comprises £80m impairment allowance on £9.5bn Stage 1<br>exposure, £56m on £3.0bn Stage 2 exposure and £229m<br>on £1.1bn Stage 3 exposure. Excluding this, total coverage for<br>corporate loans in UK is 0.7%. | |||||||
| --- | --- | |||||||
| 2 | Excludes loan commitments and financial guarantees of £20.7bn<br>carried at fair value and includes exposures relating to financial<br>assets classified as assets held for sale. | |||||||
| 3 | Other financial assets subject to impairment excluded in the table<br>above include cash collateral and settlement balances, financial<br>assets at fair value through other comprehensive income and other<br>assets. These have a total gross exposure of £224.0bn and an<br>impairment allowance of £139m. This comprises £13m<br>impairment allowance on £222.8bn Stage 1 exposure, £3m on<br>£1.1bn Stage 2 exposure and £123m on £129m Stage 3<br>exposure. | |||||||
| 4 | The annualised loan loss rate is 42bps after applying the total<br>impairment charge of £1,271m. | |||||||
| Gross exposure | Impairment allowance | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |
| As at 31.12.23 | £m | £m | £m | £m | £m | £m | £m | £m |
| Retail<br>mortgages | 146,001 | 19,123 | 1,812 | 166,936 | 43 | 77 | 112 | 232 |
| Retail<br>credit cards | 8,094 | 2,128 | 198 | 10,420 | 111 | 492 | 107 | 710 |
| Retail<br>other | 6,832 | 1,252 | 264 | 8,348 | 56 | 117 | 144 | 317 |
| Corporate loans1 | 54,257 | 8,673 | 1,692 | 64,622 | 191 | 214 | 346 | 751 |
| Total UK | 215,184 | 31,176 | 3,966 | 250,326 | 401 | 900 | 709 | 2,010 |
| Retail<br>mortgages | 4,201 | 346 | 612 | 5,159 | 7 | 28 | 316 | 351 |
| Retail<br>credit cards | 22,315 | 3,450 | 1,522 | 27,287 | 412 | 1,138 | 1,226 | 2,776 |
| Retail<br>other | 1,637 | 91 | 229 | 1,957 | 3 | 1 | 32 | 36 |
| Corporate<br>loans | 58,248 | 4,629 | 862 | 63,739 | 96 | 200 | 252 | 548 |
| Total Rest of the World | 86,401 | 8,516 | 3,225 | 98,142 | 518 | 1,367 | 1,826 | 3,711 |
| Total loans and advances at amortised cost | 301,585 | 39,692 | 7,191 | 348,468 | 919 | 2,267 | 2,535 | 5,721 |
| Debt<br>securities | 52,869 | 3,907 | — | 56,776 | 11 | 16 | — | 27 |
| Total loans and advances at amortised cost including debt<br>securities | 354,454 | 43,599 | 7,191 | 405,244 | 930 | 2,283 | 2,535 | 5,748 |
| Off-balance sheet loan commitments and financial<br>guarantee contracts2 | 374,063 | 24,208 | 1,037 | 399,308 | 173 | 287 | 44 | 504 |
| Total3,4 | 728,517 | 67,807 | 8,228 | 804,552 | 1,103 | 2,570 | 2,579 | 6,252 |
| Net exposure | Coverage ratio | |||||||
| Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |
| As at 31.12.23 | £m | £m | £m | £m | % | % | % | % |
| Retail<br>mortgages | 145,958 | 19,046 | 1,700 | 166,704 | — | 0.4 | 6.2 | 0.1 |
| Retail<br>credit cards | 7,983 | 1,636 | 91 | 9,710 | 1.4 | 23.1 | 54.0 | 6.8 |
| Retail<br>other | 6,776 | 1,135 | 120 | 8,031 | 0.8 | 9.3 | 54.5 | 3.8 |
| Corporate loans1 | 54,066 | 8,459 | 1,346 | 63,871 | 0.4 | 2.5 | 20.4 | 1.2 |
| Total UK | 214,783 | 30,276 | 3,257 | 248,316 | 0.2 | 2.9 | 17.9 | 0.8 |
| Retail<br>mortgages | 4,194 | 318 | 296 | 4,808 | 0.2 | 8.1 | 51.6 | 6.8 |
| Retail<br>credit cards | 21,903 | 2,312 | 296 | 24,511 | 1.8 | 33.0 | 80.6 | 10.2 |
| Retail<br>other | 1,634 | 90 | 197 | 1,921 | 0.2 | 1.1 | 14.0 | 1.8 |
| Corporate<br>loans | 58,152 | 4,429 | 610 | 63,191 | 0.2 | 4.3 | 29.2 | 0.9 |
| Total Rest of the World | 85,883 | 7,149 | 1,399 | 94,431 | 0.6 | 16.1 | 56.6 | 3.8 |
| Total loans and advances at amortised cost | 300,666 | 37,425 | 4,656 | 342,747 | 0.3 | 5.7 | 35.3 | 1.6 |
| Debt<br>securities | 52,858 | 3,891 | — | 56,749 | — | 0.4 | — | — |
| Total loans and advances at amortised cost including debt<br>securities | 353,524 | 41,316 | 4,656 | 399,496 | 0.3 | 5.2 | 35.3 | 1.4 |
| Off-balance sheet loan commitments and financial<br>guarantee contracts2 | 373,890 | 23,921 | 993 | 398,804 | — | 1.2 | 4.2 | 0.1 |
| Total3,4 | 727,414 | 65,237 | 5,649 | 798,300 | 0.2 | 3.8 | 31.3 | 0.8 |
| 1 | Includes Business Banking, which has a gross exposure of<br>£15.2bn and an impairment allowance of £431m. This<br>comprises £99m impairment allowance on £9.8bn Stage 1<br>exposure, £81m on £4.1bn Stage 2 exposure and £251m<br>on £1.3bn Stage 3 exposure. Excluding this, total coverage for<br>corporate loans in UK is 0.6%. | |||||||
| --- | --- | |||||||
| 2 | Excludes loan commitments and financial guarantees of £16.5bn<br>carried at fair value and includes exposures relating to financial<br>assets classified as assets held for sale. | |||||||
| 3 | Other financial assets subject to impairment excluded in the table<br>above include cash collateral and settlement balances, financial<br>assets at fair value through other comprehensive income and other<br>assets. These have a total gross exposure of £183.6bn and<br>impairment allowance of £151m. This comprises £16m<br>impairment allowance on £182.8bn Stage 1 exposure, £2m on<br>£0.6bn Stage 2 exposure and £133m on £140m Stage 3<br>exposure. | |||||||
| 4 | The annualised loan loss rate is 46bps after applying the total<br>impairment charge of £1,881m |
Assets held for sale
During 2023, gross loans and advances and related impairment allowances for the German consumer finance business portfolio were reclassified from loans and advances to customers to assets held for sale in the balance sheet.
| Loans and advances to customers classified as assets held for<br>sale | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Stage 1 | Stage 2 | Stage 3 | Total | |||||||||
| Gross | ECL | Coverage | Gross | ECL | Coverage | Gross | ECL | Coverage | Gross | ECL | Coverage | |
| As at 30.09.24 | £m | £m | % | £m | £m | % | £m | £m | % | £m | £m | % |
| Retail<br>credit cards | 1,779 | 18 | 1.0 | 412 | 37 | 9.0 | 91 | 66 | 72.5 | 2,282 | 121 | 5.3 |
| Retail<br>other | 1,290 | 18 | 1.4 | 254 | 36 | 14.2 | 74 | 50 | 67.6 | 1,618 | 104 | 6.4 |
| Total Rest of the World | 3,069 | 36 | 1.2 | 666 | 73 | 11.0 | 165 | 116 | 70.3 | 3,900 | 225 | 5.8 |
| As at 31.12.23 | ||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Retail<br>credit cards | 1,621 | 15 | 0.9 | 445 | 41 | 9.2 | 92 | 68 | 73.9 | 2,158 | 124 | 5.7 |
| Retail<br>other | 1,561 | 20 | 1.3 | 288 | 32 | 11.1 | 84 | 60 | 71.4 | 1,933 | 112 | 5.8 |
| Total Rest of the World | 3,182 | 35 | 1.1 | 733 | 73 | 10.0 | 176 | 128 | 72.7 | 4,091 | 236 | 5.8 |
Loans and advances at amortised cost by product
The table below presents a product breakdown by stages of loans and advances at amortised cost. Also included is a breakdown of Stage 2 past due balances.
| Stage 2 | |||||||
|---|---|---|---|---|---|---|---|
| As at 30.09.24 | Stage 1 | Not past due | <=30 days<br><br><br>past due | >30 days<br><br><br>past due | Total | Stage 3 | Total |
| Gross exposure | £m | £m | £m | £m | £m | £m | £m |
| Retail<br>mortgages | 147,288 | 15,123 | 2,071 | 861 | 18,055 | 2,186 | 167,529 |
| Retail<br>credit cards | 29,507 | 4,768 | 370 | 303 | 5,441 | 1,838 | 36,786 |
| Retail<br>other | 8,229 | 1,006 | 165 | 179 | 1,350 | 351 | 9,930 |
| Corporate<br>loans | 111,719 | 10,855 | 64 | 132 | 11,051 | 2,771 | 125,541 |
| Total | 296,743 | 31,752 | 2,670 | 1,475 | 35,897 | 7,146 | 339,786 |
| Impairment allowance | |||||||
| Retail<br>mortgages | 33 | 30 | 12 | 18 | 60 | 383 | 476 |
| Retail<br>credit cards | 465 | 1,060 | 150 | 179 | 1,389 | 1,433 | 3,287 |
| Retail<br>other | 58 | 70 | 16 | 19 | 105 | 167 | 330 |
| Corporate<br>loans | 233 | 295 | 5 | 9 | 309 | 604 | 1,146 |
| Total | 789 | 1,455 | 183 | 225 | 1,863 | 2,587 | 5,239 |
| Net exposure | |||||||
| Retail<br>mortgages | 147,255 | 15,093 | 2,059 | 843 | 17,995 | 1,803 | 167,053 |
| Retail<br>credit cards | 29,042 | 3,708 | 220 | 124 | 4,052 | 405 | 33,499 |
| Retail<br>other | 8,171 | 936 | 149 | 160 | 1,245 | 184 | 9,600 |
| Corporate<br>loans | 111,486 | 10,560 | 59 | 123 | 10,742 | 2,167 | 124,395 |
| Total | 295,954 | 30,297 | 2,487 | 1,250 | 34,034 | 4,559 | 334,547 |
| Coverage ratio | % | % | % | % | % | % | % |
| Retail<br>mortgages | — | 0.2 | 0.6 | 2.1 | 0.3 | 17.5 | 0.3 |
| Retail<br>credit cards | 1.6 | 22.2 | 40.5 | 59.1 | 25.5 | 78.0 | 8.9 |
| Retail<br>other | 0.7 | 7.0 | 9.7 | 10.6 | 7.8 | 47.6 | 3.3 |
| Corporate<br>loans | 0.2 | 2.7 | 7.8 | 6.8 | 2.8 | 21.8 | 0.9 |
| Total | 0.3 | 4.6 | 6.9 | 15.3 | 5.2 | 36.2 | 1.5 |
| As at 31.12.23 | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- |
| Gross exposure | £m | £m | £m | £m | £m | £m | £m |
| Retail<br>mortgages | 150,202 | 16,834 | 1,971 | 664 | 19,469 | 2,424 | 172,095 |
| Retail<br>credit cards | 30,409 | 4,858 | 392 | 328 | 5,578 | 1,720 | 37,707 |
| Retail<br>other | 8,469 | 1,094 | 126 | 123 | 1,343 | 493 | 10,305 |
| Corporate<br>loans | 112,505 | 12,960 | 179 | 163 | 13,302 | 2,554 | 128,361 |
| Total | 301,585 | 35,746 | 2,668 | 1,278 | 39,692 | 7,191 | 348,468 |
| Impairment allowance | |||||||
| Retail<br>mortgages | 50 | 73 | 20 | 12 | 105 | 428 | 583 |
| Retail<br>credit cards | 523 | 1,257 | 166 | 207 | 1,630 | 1,333 | 3,486 |
| Retail<br>other | 59 | 82 | 18 | 18 | 118 | 176 | 353 |
| Corporate<br>loans | 287 | 399 | 8 | 7 | 414 | 598 | 1,299 |
| Total | 919 | 1,811 | 212 | 244 | 2,267 | 2,535 | 5,721 |
| Net exposure | |||||||
| Retail<br>mortgages | 150,152 | 16,761 | 1,951 | 652 | 19,364 | 1,996 | 171,512 |
| Retail<br>credit cards | 29,886 | 3,601 | 226 | 121 | 3,948 | 387 | 34,221 |
| Retail<br>other | 8,410 | 1,012 | 108 | 105 | 1,225 | 317 | 9,952 |
| Corporate<br>loans | 112,218 | 12,561 | 171 | 156 | 12,888 | 1,956 | 127,062 |
| Total | 300,666 | 33,935 | 2,456 | 1,034 | 37,425 | 4,656 | 342,747 |
| Coverage ratio | % | % | % | % | % | % | % |
| Retail<br>mortgages | — | 0.4 | 1.0 | 1.8 | 0.5 | 17.7 | 0.3 |
| Retail<br>credit cards | 1.7 | 25.9 | 42.3 | 63.1 | 29.2 | 77.5 | 9.2 |
| Retail<br>other | 0.7 | 7.5 | 14.3 | 14.6 | 8.8 | 35.7 | 3.4 |
| Corporate<br>loans | 0.3 | 3.1 | 4.5 | 4.3 | 3.1 | 23.4 | 1.0 |
| Total | 0.3 | 5.1 | 7.9 | 19.1 | 5.7 | 35.3 | 1.6 |
Measurement uncertainty
Scenarios used to calculate the Group’s expected credit losses charge were refreshed in Q324 with the Baseline scenario reflecting the latest consensus macroeconomic forecasts available at the time of the scenario refresh. In the Baseline scenario, the UK economy is gradually recovering and is further stimulated as restrictive monetary policy continues loosening. US GDP growth falls to 1.8% in 2025 but then stabilises at 2.0%. Labour markets remain broadly resilient. The UK unemployment rate peaks at 4.6% during 2025 before stabilising at 4.4%. US unemployment increases slightly to 4.2% at end of 2024 where it remains for the rest of the projection period. With the significant decline in inflationary pressures, major central banks continue to cut rates throughout 2025. UK house prices keep falling in 2024 before stabilising and resuming the upward trend from 2025. The housing market in the US remains more resilient, with house prices continuing to grow.
In the Downside 2 scenario, inflationary pressures are assumed to intensify again, mainly driven by strong wage growth. Central banks raise rates further, with the UK bank rate and the US federal funds rate each reaching 8.5% in Q225. Major economies experience a rapid tightening of financial conditions alongside a significant increase in market volatility resulting in a sharp repricing of assets and higher credit losses. Central banks are forced to cut interest rates aggressively. Falling demand reduces UK and US GDP and headline inflation drops significantly following a temporary surge. In the Upside 2 scenario, a rise in labour force participation and higher productivity contribute to accelerated economic growth without creating new inflationary pressures. With inflation continuing to fall, central banks lower interest rates, further stimulating aggregate demand, leading to reduced unemployment and healthy GDP growth.
The methodology for estimating scenario probability weights involves simulating a range of future paths for UK and US GDP using historical data with the five scenarios mapped against the distribution of these future paths. The median is centred around the Baseline with scenarios further from the Baseline attracting a lower weighting before the five weights are normalised to total 100%. The increases in the Upside scenario weightings were driven by the improvement in GDP in the Baseline scenario, bringing the Baseline scenario closer to the Upside scenarios. For further details see page 33.
Economic uncertainty adjustments of £102m (30 June 2024: £151m) were applied as overlays to the modelled ECL output. The decrease reflected a release of affordability linked adjustments in the UK unsecured lending portfolio, supported by a resilient credit performance from UK customers, as evidenced by continued low and stable delinquencies.
The following tables show the key macroeconomic variables used in the five scenarios (5-year annual paths) and the probability weights applied to each scenario.
| Macroeconomic variables used in the calculation of ECL | |||||
|---|---|---|---|---|---|
| As at 30.09.24 | 2024 | 2025 | 2026 | 2027 | 2028 |
| Baseline | % | % | % | % | % |
| UK GDP1 | 0.9 | 1.3 | 1.5 | 1.7 | 1.6 |
| UK unemployment2 | 4.4 | 4.5 | 4.4 | 4.4 | 4.4 |
| UK HPI3 | 0.7 | 2.6 | 2.6 | 4.6 | 3.2 |
| UK bank rate6 | 5.0 | 3.9 | 3.4 | 3.3 | 3.3 |
| US GDP1 | 2.3 | 1.8 | 2.0 | 2.0 | 2.0 |
| US unemployment4 | 4.0 | 4.2 | 4.2 | 4.2 | 4.2 |
| US HPI5 | 3.2 | 3.0 | 3.1 | 3.1 | 3.1 |
| US federal funds rate6 | 5.0 | 3.4 | 3.1 | 3.0 | 3.3 |
| Downside 2 | |||||
| UK GDP1 | 0.8 | (2.3) | (1.0) | 2.3 | 1.4 |
| UK unemployment2 | 4.4 | 5.6 | 7.4 | 5.6 | 4.8 |
| UK HPI3 | (0.4) | (18.1) | (6.7) | 16.6 | 8.9 |
| UK bank rate6 | 5.5 | 5.5 | 1.0 | 1.0 | 1.0 |
| US GDP1 | 2.2 | (2.1) | (0.4) | 3.1 | 1.7 |
| US unemployment4 | 4.1 | 5.6 | 6.8 | 5.4 | 5.0 |
| US HPI5 | 2.3 | (9.4) | (1.7) | 7.6 | 5.6 |
| US federal funds rate6 | 5.5 | 5.4 | 1.5 | 1.5 | 1.5 |
| Downside 1 | |||||
| UK GDP1 | 0.9 | (0.5) | 0.3 | 2.0 | 1.5 |
| UK unemployment2 | 4.4 | 5.1 | 5.9 | 5.0 | 4.6 |
| UK HPI3 | 0.1 | (8.1) | (2.1) | 10.5 | 6.0 |
| UK bank rate6 | 5.3 | 4.7 | 2.2 | 2.1 | 2.1 |
| US GDP1 | 2.2 | (0.2) | 0.8 | 2.6 | 1.9 |
| US unemployment4 | 4.1 | 4.9 | 5.5 | 4.8 | 4.6 |
| US HPI5 | 2.7 | (3.3) | 0.7 | 5.3 | 4.4 |
| US federal funds rate6 | 5.2 | 4.4 | 2.3 | 2.3 | 2.4 |
| Upside 2 | |||||
| UK GDP1 | 1.1 | 3.5 | 3.4 | 2.8 | 2.4 |
| UK unemployment2 | 4.4 | 3.7 | 3.5 | 3.5 | 3.5 |
| UK HPI3 | 2.3 | 14.0 | 6.9 | 4.0 | 4.3 |
| UK bank rate6 | 5.0 | 3.3 | 2.3 | 2.3 | 2.3 |
| US GDP1 | 2.4 | 2.9 | 3.0 | 2.8 | 2.8 |
| US unemployment4 | 4.0 | 3.6 | 3.5 | 3.5 | 3.5 |
| US HPI5 | 4.3 | 4.5 | 4.9 | 4.5 | 4.6 |
| US federal funds rate6 | 5.0 | 2.9 | 2.3 | 2.3 | 2.3 |
| Upside 1 | |||||
| UK GDP1 | 1.0 | 2.4 | 2.5 | 2.2 | 2.0 |
| UK unemployment2 | 4.4 | 4.1 | 4.0 | 4.0 | 4.0 |
| UK HPI3 | 1.5 | 8.2 | 4.8 | 4.3 | 3.7 |
| UK bank rate6 | 5.0 | 3.6 | 2.9 | 2.8 | 2.8 |
| US GDP1 | 2.3 | 2.3 | 2.5 | 2.4 | 2.4 |
| US unemployment4 | 4.0 | 3.9 | 3.9 | 3.9 | 3.9 |
| US HPI5 | 3.8 | 3.8 | 4.0 | 3.8 | 3.8 |
| US federal funds rate6 | 5.0 | 3.2 | 2.7 | 2.6 | 2.8 |
| 1 | Average Real GDP seasonally adjusted change in year. | ||||
| --- | --- | ||||
| 2 | Average UK unemployment rate 16-year+. | ||||
| 3 | Change in year end UK HPI = Halifax All Houses, All Buyers index,<br>relative to prior year end. | ||||
| 4 | Average US civilian unemployment rate 16-year+. | ||||
| 5 | Change in year end US HPI = FHFA House Price Index, relative to<br>prior year end. | ||||
| 6 | Average rate | ||||
| As at 30.06.24 | 2024 | 2025 | 2026 | 2027 | 2028 |
| --- | --- | --- | --- | --- | --- |
| Baseline | % | % | % | % | % |
| UK GDP1 | 0.7 | 1.2 | 1.6 | 1.7 | 1.6 |
| UK unemployment2 | 4.3 | 4.4 | 4.4 | 4.4 | 4.4 |
| UK HPI3 | (1.2) | 1.6 | 3.0 | 4.4 | 3.2 |
| UK bank rate6 | 5.0 | 4.3 | 3.8 | 3.6 | 3.5 |
| US GDP1 | 2.3 | 1.7 | 2.0 | 2.0 | 2.0 |
| US unemployment4 | 4.0 | 4.1 | 4.1 | 4.1 | 4.1 |
| US HPI5 | 3.3 | 3.0 | 3.3 | 3.3 | 3.3 |
| US federal funds rate6 | 5.3 | 4.4 | 4.0 | 3.8 | 3.8 |
| Downside 2 | |||||
| UK GDP1 | 0.2 | (3.2) | 0.5 | 2.1 | 1.3 |
| UK unemployment2 | 4.4 | 6.4 | 6.9 | 5.3 | 4.7 |
| UK HPI3 | (3.6) | (23.3) | 2.8 | 15.6 | 7.7 |
| UK bank rate6 | 5.9 | 4.0 | 1.0 | 1.0 | 1.0 |
| US GDP1 | 1.8 | (2.9) | 1.2 | 2.8 | 1.6 |
| US unemployment4 | 4.2 | 6.3 | 6.4 | 5.3 | 4.9 |
| US HPI5 | 0.9 | (10.7) | 2.0 | 8.0 | 5.3 |
| US federal funds rate6 | 5.9 | 4.1 | 1.5 | 1.5 | 1.5 |
| Downside 1 | |||||
| UK GDP1 | 0.4 | (1.0) | 1.0 | 1.9 | 1.5 |
| UK unemployment2 | 4.3 | 5.4 | 5.6 | 4.9 | 4.6 |
| UK HPI3 | (2.4) | (11.5) | 2.9 | 9.9 | 5.5 |
| UK bank rate6 | 5.5 | 4.1 | 2.4 | 2.3 | 2.3 |
| US GDP1 | 2.0 | (0.6) | 1.6 | 2.4 | 1.8 |
| US unemployment4 | 4.1 | 5.2 | 5.3 | 4.7 | 4.5 |
| US HPI5 | 2.1 | (4.0) | 2.7 | 5.6 | 4.3 |
| US federal funds rate6 | 5.6 | 4.3 | 2.8 | 2.6 | 2.6 |
| Upside 2 | |||||
| UK GDP1 | 1.1 | 3.9 | 3.2 | 2.6 | 2.3 |
| UK unemployment2 | 4.1 | 3.4 | 3.4 | 3.3 | 3.2 |
| UK HPI3 | 4.9 | 14.2 | 6.8 | 2.7 | 3.8 |
| UK bank rate6 | 4.9 | 3.4 | 2.6 | 2.6 | 2.5 |
| US GDP1 | 2.6 | 3.2 | 2.9 | 2.8 | 2.8 |
| US unemployment4 | 3.7 | 3.5 | 3.4 | 3.4 | 3.4 |
| US HPI5 | 5.3 | 3.9 | 5.0 | 4.6 | 4.6 |
| US federal funds rate6 | 5.2 | 3.7 | 3.1 | 2.8 | 2.8 |
| Upside 1 | |||||
| UK GDP1 | 0.9 | 2.5 | 2.4 | 2.2 | 2.0 |
| UK unemployment2 | 4.2 | 3.9 | 3.9 | 3.9 | 3.8 |
| UK HPI3 | 1.8 | 7.8 | 4.9 | 3.6 | 3.5 |
| UK bank rate6 | 5.0 | 3.8 | 3.2 | 3.1 | 3.0 |
| US GDP1 | 2.4 | 2.5 | 2.4 | 2.4 | 2.4 |
| US unemployment4 | 3.8 | 3.8 | 3.8 | 3.8 | 3.8 |
| US HPI5 | 4.3 | 3.5 | 4.2 | 3.9 | 3.9 |
| US federal funds rate6 | 5.3 | 4.1 | 3.5 | 3.3 | 3.3 |
| 1 | Average Real GDP seasonally adjusted change in year. | ||||
| --- | --- | ||||
| 2 | Average UK unemployment rate 16-year+. | ||||
| 3 | Change in year end UK HPI = Halifax All Houses, All Buyers index,<br>relative to prior year end. | ||||
| 4 | Average US civilian unemployment rate 16-year+. | ||||
| 5 | Change in year end US HPI = FHFA House Price Index, relative to<br>prior year end. | ||||
| 6 | Average rate. | ||||
| As at 31.12.23 | 2023 | 2024 | 2025 | 2026 | 2027 |
| --- | --- | --- | --- | --- | --- |
| Baseline | % | % | % | % | % |
| UK GDP1 | 0.5 | 0.3 | 1.2 | 1.6 | 1.6 |
| UK unemployment2 | 4.2 | 4.7 | 4.7 | 4.8 | 5.0 |
| UK HPI3 | (3.3) | (5.1) | 0.7 | 3.1 | 5.3 |
| UK bank rate6 | 4.7 | 4.9 | 4.1 | 3.8 | 3.5 |
| US GDP1 | 2.4 | 1.3 | 1.7 | 1.9 | 1.9 |
| US unemployment4 | 3.7 | 4.3 | 4.3 | 4.3 | 4.3 |
| US HPI5 | 5.4 | 3.4 | 3.0 | 3.3 | 3.3 |
| US federal funds rate6 | 5.1 | 5.0 | 3.9 | 3.8 | 3.8 |
| Downside 2 | |||||
| UK GDP1 | 0.5 | (1.5) | (2.6) | 2.4 | 1.6 |
| UK unemployment2 | 4.2 | 5.2 | 7.9 | 6.3 | 5.5 |
| UK HPI3 | (3.3) | (19.3) | (16.8) | 14.5 | 12.4 |
| UK bank rate6 | 4.7 | 6.6 | 1.3 | 1.0 | 1.0 |
| US GDP1 | 2.4 | (0.6) | (2.0) | 3.1 | 2.0 |
| US unemployment4 | 3.7 | 5.2 | 7.2 | 5.9 | 5.2 |
| US HPI5 | 5.4 | (6.5) | (5.7) | 7.2 | 6.4 |
| US federal funds rate6 | 5.1 | 6.3 | 1.8 | 1.5 | 1.5 |
| Downside 1 | |||||
| UK GDP1 | 0.5 | (0.6) | (0.7) | 2.0 | 1.6 |
| UK unemployment2 | 4.2 | 4.9 | 6.3 | 5.6 | 5.2 |
| UK HPI3 | (3.3) | (12.4) | (8.3) | 8.7 | 8.8 |
| UK bank rate6 | 4.7 | 5.8 | 2.7 | 2.5 | 2.3 |
| US GDP1 | 2.4 | 0.3 | (0.2) | 2.5 | 1.9 |
| US unemployment4 | 3.7 | 4.7 | 5.8 | 5.1 | 4.8 |
| US HPI5 | 5.4 | (1.7) | (1.4) | 5.2 | 4.8 |
| US federal funds rate6 | 5.1 | 5.7 | 2.9 | 2.8 | 2.8 |
| Upside 2 | |||||
| UK GDP1 | 0.5 | 2.4 | 3.7 | 2.9 | 2.4 |
| UK unemployment2 | 4.2 | 3.9 | 3.5 | 3.6 | 3.6 |
| UK HPI3 | (3.3) | 7.8 | 7.6 | 4.5 | 5.6 |
| UK bank rate6 | 4.7 | 4.3 | 2.7 | 2.5 | 2.5 |
| US GDP1 | 2.4 | 2.8 | 3.1 | 2.8 | 2.8 |
| US unemployment4 | 3.7 | 3.5 | 3.6 | 3.6 | 3.6 |
| US HPI5 | 5.4 | 6.1 | 4.3 | 4.5 | 4.6 |
| US federal funds rate6 | 5.1 | 4.3 | 2.9 | 2.8 | 2.8 |
| Upside 1 | |||||
| UK GDP1 | 0.5 | 1.4 | 2.5 | 2.3 | 2.0 |
| UK unemployment2 | 4.2 | 4.3 | 4.1 | 4.2 | 4.3 |
| UK HPI3 | (3.3) | 1.2 | 4.1 | 3.8 | 5.4 |
| UK bank rate6 | 4.7 | 4.6 | 3.4 | 3.3 | 3.0 |
| US GDP1 | 2.4 | 2.0 | 2.4 | 2.4 | 2.4 |
| US unemployment4 | 3.7 | 3.9 | 3.9 | 4.0 | 4.0 |
| US HPI5 | 5.4 | 4.7 | 3.7 | 3.9 | 3.9 |
| US federal funds rate6 | 5.1 | 4.7 | 3.5 | 3.3 | 3.3 |
| 1 | Average Real GDP seasonally adjusted change in year. | ||||
| --- | --- | ||||
| 2 | Average UK unemployment rate 16-year+. | ||||
| 3 | Change in year end UK HPI = Halifax All Houses, All Buyers index,<br>relative to prior year end. | ||||
| 4 | Average US civilian unemployment rate 16-year+. | ||||
| 5 | Change in year end US HPI = FHFA House Price Index, relative to<br>prior year end. | ||||
| 6 | Average rate. | ||||
| Scenario probability weighting | Upside 2 | Upside 1 | Baseline | Downside 1 | Downside 2 |
| --- | --- | --- | --- | --- | --- |
| % | % | % | % | % | |
| As at 30.09.24 | |||||
| Scenario probability weighting | 16.8 | 26.4 | 32.7 | 15.9 | 8.2 |
| As at 30.06.24 | |||||
| Scenario probability weighting | 16.5 | 26.1 | 32.6 | 16.2 | 8.6 |
| As at 31.12.23 | |||||
| Scenario probability weighting | 13.8 | 24.7 | 32.4 | 18.3 | 10.8 |
Treasury and Capital Risk
Regulatory minimum requirements
Capital
The Group’s Overall Capital Requirement for CET1 remained at 12.0% comprising a 4.5% Pillar 1 minimum, a 2.5% Capital Conservation Buffer (CCB), a 1.5% Global Systemically Important Institution (G-SII) buffer, a 2.6% Pillar 2A requirement and a 1.0% Countercyclical Capital Buffer (CCyB).
The Group’s CCyB is based on the buffer rate applicable for each jurisdiction in which the Group has exposures. The buffer rates set by other national authorities for non-UK exposures are not currently material.
The Group’s Pillar 2A requirement as per the PRA's Individual Capital Requirement is 4.6% of which at least 56.25% needs to be met with CET1 capital, equating to 2.6% of RWAs. The Pillar 2A requirement, based on a point in time assessment, has been set as a proportion of RWAs and is subject to at least annual review.
The Group’s CET1 target ratio of 13-14% takes into account headroom above requirements which includes a confidential institution-specific PRA buffer. The Group remains above its minimum capital regulatory requirements including the PRA buffer.
Leverage
The Group is subject to a UK leverage ratio requirement of 4.1%. This comprises the 3.25% minimum requirement, a G-SII additional leverage ratio buffer (G-SII ALRB) of 0.53% and a countercyclical leverage ratio buffer (CCLB) of 0.3%. The Group is also required to disclose an average UK leverage ratio which is based on capital on the last day of each month in the quarter and an exposure measure for each day in the quarter.
MREL
The Group is required to meet the higher of: (i) two times the sum of 8% Pillar 1 and 4.6% Pillar 2A equating to 25.2% of RWAs; and (ii) 6.75% of leverage exposures. In addition, the higher of regulatory capital and leverage buffers apply. CET1 capital cannot be counted towards both MREL and the buffers, meaning that the buffers, including the above mentioned confidential institution-specific PRA buffer, will effectively be applied above MREL requirements.
Significant regulatory updates in the period
Following its 12 December 2023 publication of ‘Implementation of the Basel 3.1 standards near-final part 1’ (PS12/23), covering Credit Valuation Adjustments, Counterparty Credit Risk, Market Risk and Operational Risk, on 12 September 2024 the PRA published its near-final policy statement ‘Implementation of the Basel 3.1 standards near-final part 2’ (PS9/24) covering the remaining aspects of the Basel 3.1 standards. This covered Credit Risk, Credit Risk Mitigation, the Output Floor, and Reporting and Disclosure requirements. Additionally, the policy statement confirmed that the implementation date for Basel 3.1 within the United Kingdom will be deferred by 6 months to 1 January 2026.
| Capital ratios1,2 | As at 30.09.24 | As at 30.06.24 | As at 31.12.23 |
|---|---|---|---|
| CET1 | 13.8% | 13.6% | 13.8% |
| T1 | 17.3% | 17.3% | 17.7% |
| Total<br>regulatory capital | 19.9% | 19.9% | 20.1% |
| MREL<br>ratio as a percentage of total RWAs | 34.9% | 33.5% | 33.6% |
| Own funds and eligible liabilities | £m | £m | £m |
| Total equity excluding non-controlling interests per the balance<br>sheet | 70,972 | 71,173 | 71,204 |
| Less:<br>other equity instruments (recognised as AT1 capital) | (11,739) | (12,959) | (13,259) |
| Adjustment<br>to retained earnings for foreseeable ordinary share<br>dividends | (493) | (645) | (795) |
| Adjustment<br>to retained earnings for foreseeable repurchase of<br>shares | (385) | (222) | — |
| Adjustment<br>to retained earnings for foreseeable other equity<br>coupons | (40) | (41) | (43) |
| Other regulatory adjustments and deductions | |||
| Additional<br>value adjustments (PVA) | (1,850) | (1,887) | (1,901) |
| Goodwill<br>and intangible assets | (8,111) | (7,835) | (7,790) |
| Deferred<br>tax assets that rely on future profitability excluding temporary<br>differences | (1,482) | (1,630) | (1,630) |
| Fair<br>value reserves related to gains or losses on cash flow<br>hedges | 2,298 | 3,799 | 3,707 |
| Excess<br>of expected losses over impairment | (440) | (324) | (296) |
| Gains<br>or losses on liabilities at fair value resulting from own<br>credit | 656 | 622 | 136 |
| Defined<br>benefit pension fund assets | (2,534) | (2,564) | (2,654) |
| Direct<br>and indirect holdings by an institution of own CET1<br>instruments | (5) | (5) | (20) |
| Adjustment<br>under IFRS 9 transitional arrangements | 83 | 123 | 288 |
| Other<br>regulatory adjustments | 100 | 90 | 357 |
| CET1 capital | 47,030 | 47,695 | 47,304 |
| AT1 capital | |||
| Capital<br>instruments and related share premium accounts | 11,755 | 13,000 | 13,263 |
| Other<br>regulatory adjustments and deductions | (16) | (41) | (60) |
| AT1 capital | 11,739 | 12,959 | 13,203 |
| T1 capital | 58,769 | 60,654 | 60,507 |
| T2 capital | |||
| Capital<br>instruments and related share premium accounts | 8,587 | 8,836 | 7,966 |
| Qualifying<br>T2 capital (including minority interests) issued by<br>subsidiaries | 379 | 385 | 569 |
| Credit<br>risk adjustments (excess of impairment over expected<br>losses) | — | 39 | — |
| Other<br>regulatory adjustments and deductions | (19) | (43) | (160) |
| Total regulatory capital | 67,716 | 69,871 | 68,882 |
| Less<br>: Ineligible T2 capital (including minority interests) issued by<br>subsidiaries | (379) | (385) | (569) |
| Eligible<br>liabilities | 51,330 | 48,299 | 46,995 |
| Total own funds and eligible liabilities3 | 118,667 | 117,785 | 115,308 |
| Total RWAs | 340,401 | 351,433 | 342,717 |
| 1 | CET1, T1 and T2 capital, and RWAs are calculated applying the<br>transitional arrangements in accordance with UK CRR. This includes<br>IFRS 9 transitional arrangements and the grandfathering of certain<br>capital instruments until 28 June 2025. | ||
| --- | --- | ||
| 2 | The fully loaded CET1 ratio, as is relevant for assessing against<br>the conversion trigger in Barclays PLC AT1 securities, was 13.8%,<br>with £46.9bn of CET1 capital and £340.4bn of RWAs<br>calculated without applying the transitional arrangements in<br>accordance with UK CRR. | ||
| 3 | As at 30 September 2024, the Group's MREL requirement, excluding<br>the PRA buffer, was to hold £102.6bn of own funds and eligible<br>liabilities equating to 30.1% of RWAs. The Group remains above its<br>MREL regulatory requirement including the PRA buffer. | ||
| Movement in CET1 capital | Three months<br><br><br>ended 30.09.24 | Nine months<br><br><br>ended 30.09.24 | |
| --- | --- | --- | |
| £m | £m | ||
| Opening CET1 capital | 47,695 | 47,304 | |
| Profit for the period attributable to equity holders | 1,817 | 5,114 | |
| Own credit relating to derivative liabilities | 3 | 27 | |
| Ordinary share dividends paid and foreseen | (273) | (918) | |
| Purchased and foreseeable share repurchase | (750) | (1,750) | |
| Other equity coupons paid and foreseen | (252) | (760) | |
| Increase in retained regulatory capital generated from<br>earnings | 545 | 1,713 | |
| Net impact of share schemes | 164 | 94 | |
| Fair value through other comprehensive income reserve | 119 | (150) | |
| Currency translation reserve | (1,244) | (1,328) | |
| Other reserves | (8) | (111) | |
| Decrease in other qualifying reserves | (969) | (1,495) | |
| Pension remeasurements within reserves | (30) | (127) | |
| Defined benefit pension fund asset deduction | 30 | 120 | |
| Net impact of pensions | — | (7) | |
| Additional value adjustments (PVA) | 37 | 51 | |
| Goodwill and intangible assets | (276) | (321) | |
| Deferred tax assets that rely on future profitability excluding<br>those arising from temporary differences | 148 | 148 | |
| Excess of expected loss over impairment | (116) | (144) | |
| Direct and indirect holdings by an institution of own CET1<br>instruments | — | 15 | |
| Adjustment under IFRS 9 transitional arrangements | (40) | (205) | |
| Other regulatory adjustments | 6 | (29) | |
| Decrease in regulatory capital due to adjustments and<br>deductions | (241) | (485) | |
| Closing CET1 capital | 47,030 | 47,030 |
CET1 capital decreased £0.3bn to £47.0bn (December 2023: £47.3bn). Significant movements in the period were:
●
£5.1bn of capital generated from profit partially offset by distributions of £3.4bn comprising:
-
£1.8bn of share buybacks announced with FY23 and H124 results
-
£0.9bn accrual towards the FY24 dividend
-
£0.8bn of equity coupons paid and foreseen
●
£1.5bn decrease in other qualifying reserves including a reduction in the currency translation reserve due to the strengthening of GBP against USD
| RWAs by risk type and business | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Credit risk | Counterparty credit risk | Market Risk | Operational risk | Total RWAs | ||||||
| Settlement | ||||||||||
| STD | IRB | STD | IRB | Risk | CVA | STD | IMA | |||
| As at 30.09.24 | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m |
| Barclays<br>UK | 9,606 | 55,792 | 100 | 13 | — | 52 | 199 | — | 11,715 | 77,477 |
| Barclays<br>UK Corporate Bank | 3,790 | 14,275 | 93 | 389 | — | 10 | 5 | 507 | 3,024 | 22,093 |
| Barclays<br>Private Bank & Wealth Management | 4,846 | 482 | 80 | 24 | — | 11 | 41 | 305 | 1,546 | 7,335 |
| Barclays<br>Investment Bank | 38,757 | 47,864 | 20,458 | 23,709 | 118 | 2,466 | 13,087 | 23,559 | 24,179 | 194,197 |
| Barclays<br>US Consumer Bank | 18,316 | 839 | — | — | — | — | — | — | 4,051 | 23,206 |
| Head<br>Office | 6,488 | 8,346 | 1 | 15 | — | 3 | 1 | 196 | 1,043 | 16,093 |
| Barclays Group | 81,803 | 127,598 | 20,732 | 24,150 | 118 | 2,542 | 13,333 | 24,567 | 45,558 | 340,401 |
| As at 30.06.24 | ||||||||||
| Barclays<br>UK | 9,349 | 55,055 | 101 | 12 | — | 72 | 169 | — | 11,715 | 76,473 |
| Barclays<br>UK Corporate Bank | 4,033 | 13,881 | 91 | 327 | — | 12 | 3 | 487 | 3,024 | 21,858 |
| Barclays<br>Private Bank & Wealth Management | 4,612 | 467 | 85 | 33 | — | 13 | — | 293 | 1,546 | 7,049 |
| Barclays<br>Investment Bank | 41,151 | 50,854 | 20,426 | 23,636 | 159 | 2,897 | 14,173 | 25,811 | 24,179 | 203,286 |
| Barclays<br>US Consumer Bank | 19,462 | 917 | — | — | — | — | — | — | 4,051 | 24,430 |
| Head<br>Office | 6,470 | 10,609 | 1 | 21 | — | 4 | 1 | 188 | 1,043 | 18,337 |
| Barclays Group | 85,077 | 131,783 | 20,704 | 24,029 | 159 | 2,998 | 14,346 | 26,779 | 45,558 | 351,433 |
| As at 31.12.23 | ||||||||||
| Barclays<br>UK | 10,472 | 50,761 | 178 | — | — | 94 | 274 | — | 11,715 | 73,494 |
| Barclays<br>UK Corporate Bank | 3,458 | 13,415 | 262 | 167 | — | 14 | 2 | 541 | 3,024 | 20,883 |
| Barclays<br>Private Bank & Wealth Management | 4,611 | 455 | 182 | 27 | — | 30 | 1 | 322 | 1,546 | 7,174 |
| Barclays<br>Investment Bank | 37,749 | 52,190 | 18,512 | 21,873 | 159 | 3,248 | 14,623 | 24,749 | 24,179 | 197,282 |
| Barclays<br>US Consumer Bank | 19,824 | 966 | — | — | — | — | — | — | 4,051 | 24,841 |
| Head<br>Office | 6,772 | 10,951 | 1 | 21 | — | 6 | 1 | 248 | 1,043 | 19,043 |
| Barclays Group | 82,886 | 128,738 | 19,135 | 22,088 | 159 | 3,392 | 14,901 | 25,860 | 45,558 | 342,717 |
| Movement analysis of RWAs | Credit risk | Counterparty<br><br><br>credit risk | Market risk | Operational<br><br><br>risk | Total RWAs | |||||
| --- | --- | --- | --- | --- | --- | |||||
| £m | £m | £m | £m | £m | ||||||
| Opening RWAs (as at 31.12.23) | 211,624 | 44,774 | 40,761 | 45,558 | 342,717 | |||||
| Book<br>size | (69) | 4,115 | (2,123) | — | 1,923 | |||||
| Acquisitions<br>and disposals | (856) | — | — | — | (856) | |||||
| Book<br>quality | (1,054) | (245) | — | — | (1,299) | |||||
| Model<br>updates | 196 | 680 | — | — | 876 | |||||
| Methodology<br>and policy | 4,155 | 398 | — | — | 4,553 | |||||
| Foreign exchange movements1 | (4,595) | (2,180) | (738) | — | (7,513) | |||||
| Total RWA movements | (2,223) | 2,768 | (2,861) | — | (2,316) | |||||
| Closing RWAs (as at 30.09.24) | 209,401 | 47,542 | 37,900 | 45,558 | 340,401 | |||||
| 1 | Foreign exchange movements does not include the impact of foreign<br>exchange for modelled market risk or operational risk. | |||||||||
| --- | --- |
Overall RWAs decreased £2.3bn to £340.4bn (December 2023: £342.7bn).
Credit risk RWAs decreased £2.2bn:
●
A £0.9bn decrease in acquisitions and disposals due to the sale of the performing Italian mortgage portfolio
●
A £1.1bn decrease in book quality RWAs mainly driven by changes in risk parameters primarily within IB
●
A £4.2bn increase in methodology and policy including regulatory model changes in Barclays UK
●
A £4.6bn decrease as a result of foreign exchange movements primarily due to the strengthening of GBP against USD
Counterparty Credit risk RWAs increased £2.8bn:
●
A £4.1bn increase in book size including the seasonal increase relative to FY23
●
A £2.2bn decrease as a result of foreign exchange movements primarily due to the strengthening of GBP against USD
Market risk RWAs decreased £2.9bn:
●
A £2.1bn decrease in book size due to trading activity
| Leverage ratios1,2 | As at 30.09.24 | As at 30.06.24 | As at 31.12.23 |
|---|---|---|---|
| £m | £m | £m | |
| UK leverage ratio3 | 4.9% | 5.0% | 5.2% |
| T1<br>capital | 58,769 | 60,654 | 60,507 |
| UK<br>leverage exposure | 1,197,445 | 1,222,722 | 1,168,275 |
| Average<br>UK leverage ratio | 4.6% | 4.7% | 4.8% |
| Average<br>T1 capital | 59,328 | 60,617 | 60,343 |
| Average<br>UK leverage exposure | 1,277,714 | 1,300,424 | 1,266,880 |
| 1 | Capital and leverage measures are calculated applying the<br>transitional arrangements in accordance with UK CRR. | ||
| --- | --- | ||
| 2 | Fully loaded UK leverage ratio was 4.9%, with £58.7bn of T1<br>capital and £1,197.4bn of leverage exposure. Fully loaded<br>average UK leverage ratio was 4.6% with £59.2bn of T1 capital<br>and £1,277.6bn of leverage exposure. Fully loaded UK leverage<br>ratios are calculated without applying the transitional<br>arrangements in accordance with UK CRR. | ||
| 3 | Although the leverage ratio is expressed in terms of T1 capital,<br>the leverage ratio buffers and 75% of the minimum requirement must<br>be covered solely with CET1 capital. The CET1 capital held against<br>the 0.53% G-SII ALRB was £6.3bn and against the 0.3% CCLB was<br>£3.6bn. |
The UK leverage ratio decreased to 4.9% (December 2023: 5.2%) due to a reduction in Tier 1 Capital of £1.7bn and increase in exposure of £29.2bn to £1,197.4bn (December 2023: £1,168.3bn). The decrease in capital was driven by the redemption of an AT1 instrument during the period. The increase in exposure was largely driven by an increase in trading securities and secured lending in IB, partially offset by the strengthening of GBP against USD.
Condensed Consolidated Financial Statements
| Condensed consolidated income statement (unaudited) | |||||||
|---|---|---|---|---|---|---|---|
| Nine months<br><br><br>ended<br><br><br>30.09.24 | Nine months<br><br><br>ended<br><br><br>30.09.23 | ||||||
| £m | £m | ||||||
| Total income | 19,824 | 19,780 | |||||
| Operating<br>expenses excluding UK regulatory levies & litigation and<br>conduct | (11,951) | (11,979) | |||||
| UK<br>regulatory levies1 | (93) | — | |||||
| Litigation<br>and conduct | (99) | (32) | |||||
| Operating expenses | (12,143) | (12,011) | |||||
| Other<br>net income | 37 | 7 | |||||
| Profit before impairment | 7,718 | 7,776 | |||||
| Credit<br>impairment charges | (1,271) | (1,329) | |||||
| Profit before tax | 6,447 | 6,447 | |||||
| Tax<br>charge | (1,304) | (1,257) | |||||
| Profit after tax | 5,143 | 5,190 | |||||
| Attributable to: | |||||||
| Shareholders<br>of the parent | 4,351 | 4,385 | |||||
| Other<br>equity holders | 763 | 766 | |||||
| Equity holders of the parent | 5,114 | 5,151 | |||||
| Non-controlling<br>interests | 29 | 39 | |||||
| Profit after tax | 5,143 | 5,190 | |||||
| Earnings per share | |||||||
| Basic<br>earnings per ordinary share | 29.3p | 28.2p | |||||
| 1 | Comprises the impact of the BoE levy scheme. Please refer to Group<br>Finance Director’s Review, Other matters for<br>details. | ||||||
| --- | --- | ||||||
| Condensed consolidated balance sheet (unaudited) | |||||||
| --- | --- | --- | |||||
| As at 30.09.24 | As at 31.12.23 | ||||||
| Assets | £m | £m | |||||
| Cash<br>and balances at central banks | 215,061 | 224,634 | |||||
| Cash<br>collateral and settlement balances | 141,703 | 108,889 | |||||
| Debt<br>securities at amortised cost | 64,637 | 56,749 | |||||
| Loans<br>and advances at amortised cost to banks | 8,120 | 9,459 | |||||
| Loans<br>and advances at amortised cost to customers | 326,427 | 333,288 | |||||
| Reverse<br>repurchase agreements and other similar secured lending at<br>amortised cost | 3,579 | 2,594 | |||||
| Trading<br>portfolio assets | 187,400 | 174,605 | |||||
| Financial<br>assets at fair value through the income statement | 214,257 | 206,651 | |||||
| Derivative<br>financial instruments | 258,622 | 256,836 | |||||
| Financial<br>assets at fair value through other comprehensive<br>income | 80,778 | 71,836 | |||||
| Investments<br>in associates and joint ventures | 894 | 879 | |||||
| Goodwill<br>and intangible assets | 8,123 | 7,794 | |||||
| Current<br>tax assets | 144 | 121 | |||||
| Deferred<br>tax assets | 5,569 | 5,960 | |||||
| Other<br>assets | 15,821 | 17,192 | |||||
| Total assets | 1,531,135 | 1,477,487 | |||||
| Liabilities | |||||||
| Deposits<br>at amortised cost from banks | 18,037 | 14,472 | |||||
| Deposits<br>at amortised cost from customers | 524,717 | 524,317 | |||||
| Cash<br>collateral and settlement balances | 135,060 | 94,084 | |||||
| Repurchase<br>agreements and other similar secured borrowings at amortised<br>cost | 45,250 | 41,601 | |||||
| Debt<br>securities in issue | 89,424 | 96,825 | |||||
| Subordinated<br>liabilities | 11,322 | 10,494 | |||||
| Trading<br>portfolio liabilities | 64,284 | 58,669 | |||||
| Financial<br>liabilities designated at fair value | 305,328 | 297,539 | |||||
| Derivative<br>financial instruments | 249,861 | 250,044 | |||||
| Current<br>tax liabilities | 625 | 529 | |||||
| Deferred<br>tax liabilities | 22 | 22 | |||||
| Other<br>liabilities | 15,573 | 17,027 | |||||
| Total liabilities | 1,459,503 | 1,405,623 | |||||
| Equity | |||||||
| Called<br>up share capital and share premium | 4,205 | 4,288 | |||||
| Other<br>reserves | (476) | (77) | |||||
| Retained<br>earnings | 55,504 | 53,734 | |||||
| Shareholders' equity attributable to ordinary shareholders of the<br>parent | 59,233 | 57,945 | |||||
| Other<br>equity instruments | 11,739 | 13,259 | |||||
| Total equity excluding non-controlling interests | 70,972 | 71,204 | |||||
| Non-controlling<br>interests | 660 | 660 | |||||
| Total equity | 71,632 | 71,864 | |||||
| Total liabilities and equity | 1,531,135 | 1,477,487 | |||||
| Condensed consolidated statement of changes in equity<br>(unaudited) | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- |
| Called up<br><br><br>share capital<br><br><br>and share premium | Other equity<br><br><br>instruments | Other<br><br><br>reserves | Retained<br><br><br>earnings | Total | Non-<br><br><br>controlling<br><br><br>interests | Total<br><br><br>equity | |
| Nine months ended 30.09.2024 | £m | £m | £m | £m | £m | £m | £m |
| Balance as at 1 January 2024 | 4,288 | 13,259 | (77) | 53,734 | 71,204 | 660 | 71,864 |
| Profit<br>after tax | — | 763 | — | 4,351 | 5,114 | 29 | 5,143 |
| Currency<br>translation movements | — | — | (1,328) | — | (1,328) | — | (1,328) |
| Fair<br>value through other comprehensive income reserve | — | — | (150) | — | (150) | — | (150) |
| Cash<br>flow hedges | — | — | 1,409 | — | 1,409 | — | 1,409 |
| Retirement<br>benefit remeasurements | — | — | — | (127) | (127) | — | (127) |
| Own<br>credit | — | — | (491) | — | (491) | — | (491) |
| Total comprehensive income for the period | — | 763 | (560) | 4,224 | 4,427 | 29 | 4,456 |
| Employee<br>share schemes and hedging thereof | 80 | — | — | 740 | 820 | — | 820 |
| Issue<br>and redemption of other equity instruments | — | (1,508) | — | (97) | (1,605) | — | (1,605) |
| Other<br>equity instruments coupon paid | — | (763) | — | — | (763) | — | (763) |
| Vesting<br>of employee share schemes | — | — | (4) | (495) | (499) | — | (499) |
| Dividends<br>paid | — | — | — | (1,221) | (1,221) | (29) | (1,250) |
| Repurchase<br>of shares | (163) | — | 163 | (1,373) | (1,373) | — | (1,373) |
| Other<br>movements | — | (12) | 2 | (8) | (18) | — | (18) |
| Balance as at 30 September 2024 | 4,205 | 11,739 | (476) | 55,504 | 70,972 | 660 | 71,632 |
| Three months ended 30.09.2024 | £m | £m | £m | £m | £m | £m | £m |
| --- | --- | --- | --- | --- | --- | --- | --- |
| Balance as at 1 July 2024 | 4,256 | 12,959 | (882) | 54,840 | 71,173 | 660 | 71,833 |
| Profit<br>after tax | — | 253 | — | 1,564 | 1,817 | 3 | 1,820 |
| Currency<br>translation movements | — | — | (1,244) | — | (1,244) | — | (1,244) |
| Fair<br>value through other comprehensive income reserve | — | — | 119 | — | 119 | — | 119 |
| Cash<br>flow hedges | — | — | 1,499 | — | 1,499 | — | 1,499 |
| Retirement<br>benefit remeasurements | — | — | — | (30) | (30) | — | (30) |
| Own<br>credit | — | — | (29) | — | (29) | — | (29) |
| Total comprehensive income for the period | — | 253 | 345 | 1,534 | 2,132 | 3 | 2,135 |
| Employee<br>share schemes and hedging thereof | 15 | — | — | 158 | 173 | — | 173 |
| Issue<br>and redemption of other equity instruments | — | (1,245) | — | (5) | (1,250) | — | (1,250) |
| Other<br>equity instruments coupon paid | — | (253) | — | — | (253) | — | (253) |
| Vesting<br>of employee share schemes | — | — | (7) | (7) | (14) | — | (14) |
| Dividends<br>paid | — | — | — | (425) | (425) | (3) | (428) |
| Repurchase<br>of shares | (66) | — | 66 | (591) | (591) | — | (591) |
| Other<br>movements | — | 25 | 2 | — | 27 | — | 27 |
| Balance as at 30 September 2024 | 4,205 | 11,739 | (476) | 55,504 | 70,972 | 660 | 71,632 |
| As at 30.09.24 | As at 31.12.23 | ||||||
| --- | --- | --- | |||||
| Other Reserves | £m | £m | |||||
| Currency<br>translation reserve | 2,343 | 3,671 | |||||
| Fair<br>value through other comprehensive income reserve | (1,516) | (1,366) | |||||
| Cash<br>flow hedging reserve | (2,298) | (3,707) | |||||
| Own<br>credit reserve | (729) | (240) | |||||
| Other<br>reserves and treasury shares | 1,724 | 1,565 | |||||
| Total | (476) | (77) |
Appendix: Non-IFRS Performance Measures
The Group’s management believes that the non-IFRS performance measures included in this document provide valuable information to the readers of the financial statements, as they enable the reader to identify a more consistent basis for comparing the businesses’ performance between financial periods, and provide more detail concerning the elements of performance which the managers of these businesses are most directly able to influence or are relevant for an assessment of the Group. They also reflect an important aspect of the way in which operating targets are defined and performance is monitored by management.
However, any non-IFRS performance measures in this document are not a substitute for IFRS measures and readers should consider the IFRS measures as well.
Non-IFRS performance measures glossary
| Measure | Definition |
|---|---|
| Loan:<br>deposit ratio | Total<br>loans and advances at amortised cost divided by total deposits at<br>amortised cost. |
| Attributable<br>profit | Profit<br>after tax attributable to ordinary shareholders of the<br>parent. |
| Period end tangible equity refers to: | |
| Period<br>end tangible shareholders' equity (for Barclays Group) | Shareholders'<br>equity attributable to ordinary shareholders of the parent,<br>adjusted for the deduction of goodwill and intangible<br>assets. |
| Period<br>end allocated tangible equity (for businesses) | Allocated<br>tangible equity is calculated as 13.5% (2023: 13.5%) of RWAs for<br>each business, adjusted for capital deductions, excluding goodwill<br>and intangible assets, reflecting the assumptions the Barclays<br>Group uses for capital planning purposes. Head Office allocated<br>tangible equity represents the difference between the Barclays<br>Group’s tangible shareholders’ equity and the amounts<br>allocated to businesses. |
| Average tangible equity refers to: | |
| Average<br>tangible shareholders’ equity (for Barclays<br>Group) | Calculated<br>as the average of the previous month’s period end tangible<br>shareholders' equity and the current month’s period end<br>tangible shareholders' equity. The average tangible<br>shareholders’ equity for the period is the average of the<br>monthly averages within that period. |
| Average<br>allocated tangible equity (for businesses) | Calculated<br>as the average of the previous month’s period end allocated<br>tangible equity and the current month’s period end allocated<br>tangible equity. The average allocated tangible equity for the<br>period is the average of the monthly averages within that<br>period. |
| Return on tangible equity (RoTE) refers to: | |
| Return<br>on average tangible shareholders’ equity (for Barclays<br>Group) | Annualised Group attributable<br>profit, as a proportion of average tangible shareholders’<br>equity. The components of the calculation have been included on<br>pages 43 to 441. |
| Return<br>on average allocated tangible equity (for businesses) | Annualised<br>business attributable profit, as a proportion of that business's<br>average allocated tangible equity. The components of the<br>calculation have been included on pages 43 to 45. |
| Operating<br>expenses excluding litigation and conduct | A<br>measure of total operating expenses excluding litigation and<br>conduct charges. |
| Operating<br>costs | A<br>measure of total operating expenses excluding litigation and<br>conduct charges and UK regulatory levies. |
| Cost:<br>income ratio | Total<br>operating expenses divided by total income. |
| Loan<br>loss rate | Quoted<br>in basis points and represents total impairment charges divided by<br>total gross loans and advances held at amortised cost at the<br>balance sheet date. |
| Net<br>interest margin | Annualised net interest income<br>divided by the sum of average customer assets. The components of<br>the calculation have been included on page 14. |
| Tangible<br>net asset value per share | Calculated<br>by dividing shareholders’ equity, excluding non-controlling<br>interests and other equity instruments, less goodwill and<br>intangible assets, by the number of issued ordinary shares. The<br>components of the calculation have been included on page<br>47. |
| Profit<br>before impairment | Calculated<br>by excluding credit impairment charges or releases from profit<br>before tax. |
| Structural<br>cost actions | Cost<br>actions taken to improve future financial performance. |
| Group<br>net interest income excluding Barclays Investment Bank and Head<br>Office | A<br>measure of Barclays Group net interest income, excluding the net<br>interest income reported in Barclays Investment Bank and Head<br>Office. |
| Inorganic<br>activity | Inorganic<br>activity refers to certain inorganic transactions announced as part<br>of the FY23 Investor Update designed to improve Group RoTE beyond<br>2024. In Q324 YTD this included the £220m loss on sale of the<br>performing Italian retail mortgage portfolio and the £20m loss<br>on disposal from the German consumer finance business, both<br>incurred in H124. There were no inorganic transactions in Q324. For<br>FY24 this is expected to also include the loss on sale of the<br>non-performing Italian mortgage portfolio and the impact of the<br>Tesco Bank acquisition. |
| Performance<br>measures excluding the impact of inorganic activity | Calculated<br>by excluding the impact of inorganic activity from performance<br>measures. The components of the calculations for Barclays Group and<br>businesses have been included on page 5 and on page<br>46. |
Returns
| Nine months ended 30.09.24 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Barclays UK | Barclays UK<br><br><br>Corporate<br><br><br>Bank | Barclays<br><br><br>Private Bank<br><br><br>and Wealth<br><br><br>Management | Barclays<br><br><br>Investment<br><br><br>Bank | Barclays US<br><br><br>Consumer<br><br><br>Bank | Head Office | Barclays<br><br><br>Group | ||
| Return on average tangible equity | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit/(loss) | 1,684 | 392 | 225 | 2,266 | 208 | (424) | 4,351 | |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
| Average<br>equity | 14.4 | 3.0 | 1.1 | 29.8 | 3.7 | 6.3 | 58.3 | |
| Average<br>goodwill and intangibles | (3.9) | — | (0.1) | — | (0.4) | (3.5) | (7.9) | |
| Average tangible equity | 10.5 | 3.0 | 1.0 | 29.8 | 3.3 | 2.8 | 50.4 | |
| Return on average tangible equity | 21.4% | 17.3% | 29.5% | 10.1% | 8.4% | n/m | 11.5% | |
| Nine months ended 30.09.23 | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | |
| Barclays UK | Barclays UK<br><br><br>Corporate<br><br><br>Bank | Barclays<br><br><br>Private Bank<br><br><br>and Wealth<br><br><br>Management | Barclays<br><br><br>Investment<br><br><br>Bank | Barclays US<br><br><br>Consumer<br><br><br>Bank | Head Office | Barclays<br><br><br>Group | ||
| Return on average tangible equity | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit/(loss) | 1,580 | 525 | 283 | 2,190 | 134 | (327) | 4,385 | |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
| Average<br>equity | 14.0 | 2.9 | 1.1 | 29.0 | 3.9 | 4.6 | 55.5 | |
| Average<br>goodwill and intangibles | (3.8) | — | (0.1) | — | (0.7) | (3.9) | (8.5) | |
| Average tangible equity | 10.2 | 2.9 | 1.0 | 29.0 | 3.2 | 0.7 | 47.0 | |
| Return on average tangible equity | 20.6% | 24.4% | 37.1% | 10.1% | 5.7% | n/m | 12.5% | |
| Barclays Group | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Return on average tangible shareholders' equity | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| £m | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit/(loss) | 1,564 | 1,237 | 1,550 | (111) | 1,274 | 1,328 | 1,783 | 1,036 |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
| Average<br>shareholders' equity | 59.1 | 57.7 | 58.3 | 57.1 | 55.1 | 55.4 | 55.9 | 54.9 |
| Average<br>goodwill and intangibles | (8.1) | (7.9) | (7.8) | (8.2) | (8.6) | (8.7) | (8.3) | (8.2) |
| Average tangible shareholders' equity | 51.0 | 49.8 | 50.5 | 48.9 | 46.5 | 46.7 | 47.6 | 46.7 |
| Return on average tangible shareholders' equity | 12.3% | 9.9% | 12.3% | (0.9)% | 11.0% | 11.4% | 15.0% | 8.9% |
| Barclays UK | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Return on average allocated tangible equity | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| £m | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit | 621 | 584 | 479 | 382 | 531 | 534 | 515 | 474 |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
| Average<br>allocated equity | 14.5 | 14.4 | 14.3 | 14.1 | 14.0 | 14.2 | 13.9 | 13.7 |
| Average<br>goodwill and intangibles | (3.9) | (3.9) | (3.9) | (3.9) | (3.9) | (4.0) | (3.6) | (3.5) |
| Average allocated tangible equity | 10.6 | 10.5 | 10.4 | 10.2 | 10.1 | 10.2 | 10.3 | 10.2 |
| Return on average allocated tangible equity | 23.4% | 22.3% | 18.5% | 14.9% | 21.0% | 20.9% | 20.0% | 18.7% |
| Barclays UK Corporate Bank | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Return on average allocated tangible equity | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| £m | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit | 144 | 135 | 113 | 59 | 129 | 239 | 157 | 131 |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
| Average<br>allocated equity | 3.1 | 3.0 | 3.0 | 2.8 | 2.8 | 2.9 | 2.9 | 2.9 |
| Average<br>goodwill and intangibles | — | — | — | — | — | — | — | — |
| Average allocated tangible equity | 3.1 | 3.0 | 3.0 | 2.8 | 2.8 | 2.9 | 2.9 | 2.9 |
| Return on average allocated tangible equity | 18.8% | 18.0% | 15.2% | 8.4% | 18.3% | 32.9% | 21.7% | 17.8% |
| Barclays Private Bank and Wealth Management | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Return on average allocated tangible equity | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| £m | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit | 74 | 77 | 74 | 47 | 102 | 91 | 90 | 92 |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
| Average<br>allocated equity | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | 1.1 | 1.2 |
| Average<br>goodwill and intangibles | (0.1) | (0.1) | (0.1) | (0.1) | (0.1) | (0.1) | (0.1) | (0.1) |
| Average allocated tangible equity | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.1 |
| Return on average allocated tangible equity | 29.0% | 30.8% | 28.7% | 19.1% | 41.2% | 35.9% | 34.5% | 34.9% |
| Barclays Investment Bank | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Return on average allocated tangible equity | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| £m | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit/(loss) | 652 | 715 | 899 | (149) | 580 | 562 | 1,048 | 313 |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
| Average<br>allocated equity | 29.5 | 29.9 | 30.0 | 28.9 | 28.8 | 29.0 | 29.1 | 30.9 |
| Average<br>goodwill and intangibles | — | — | — | — | — | — | — | — |
| Average allocated tangible equity | 29.5 | 29.9 | 30.0 | 28.9 | 28.8 | 29.0 | 29.1 | 30.9 |
| Return on average allocated tangible equity | 8.8% | 9.6% | 12.0% | (2.1)% | 8.0% | 7.7% | 14.4% | 4.0% |
| Barclays US Consumer Bank | ||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Return on average allocated tangible equity | Q324 | Q224 | Q124 | Q423 | Q323 | Q223 | Q123 | Q422 |
| £m | £m | £m | £m | £m | £m | £m | £m | |
| Attributable<br>profit/(loss) | 89 | 75 | 44 | (3) | 3 | 72 | 59 | 101 |
| £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
| Average<br>allocated equity | 3.8 | 3.6 | 3.6 | 3.6 | 3.8 | 3.9 | 3.9 | 4.1 |
| Average<br>goodwill and intangibles | (0.5) | (0.3) | (0.3) | (0.3) | (0.7) | (0.8) | (0.8) | (0.9) |
| Average allocated tangible equity | 3.3 | 3.3 | 3.3 | 3.3 | 3.1 | 3.1 | 3.1 | 3.2 |
| Return on average allocated tangible equity | 10.9% | 9.2% | 5.3% | (0.3)% | 0.4% | 9.3% | 7.5% | 12.6% |
Performance measures excluding the impact of inorganic activity
| Nine months ended 30.09.24 | |||||||
|---|---|---|---|---|---|---|---|
| Barclays UK | Barclays UK<br><br><br>Corporate<br><br><br>Bank | Barclays<br><br><br>Private Bank and<br><br><br>Wealth Management | Barclays<br><br><br>Investment<br><br><br>Bank | Barclays US<br><br><br>Consumer<br><br><br>Bank | Head Office | Barclays<br><br><br>Group | |
| £m | £m | £m | £m | £m | £m | £m | |
| Total<br>income | 5,659 | 1,322 | 958 | 9,198 | 2,469 | 218 | 19,824 |
| Inorganic<br>activity | — | — | — | — | — | (240) | (240) |
| Total income excluding inorganic activity | 5,659 | 1,322 | 958 | 9,198 | 2,469 | 458 | 20,064 |
| Total operating expenses | (3,114) | (708) | (657) | (5,818) | (1,193) | (653) | (12,143) |
| Cost: income ratio excluding inorganic activity | 55% | 54% | 69% | 63% | 48% | n/a | 61% |
| Attributable<br>profit/(loss) | 1,684 | 392 | 225 | 2,266 | 208 | (424) | 4,351 |
| Post-tax<br>impact of inorganic activity | — | — | — | — | — | (233) | (233) |
| Attributable profit/(loss) excluding inorganic<br>activity | 1,684 | 392 | 225 | 2,266 | 208 | (191) | 4,584 |
| Average tangible equity (£bn) | 10.5 | 3.0 | 1.0 | 29.8 | 3.3 | 2.8 | 50.4 |
| Return on average tangible equity excluding inorganic<br>activity | 21.4% | 17.3% | 29.5% | 10.1% | 8.4% | n/a | 12.1% |
| Three months ended 30.09.24 | |||||||
| --- | --- | --- | --- | --- | --- | --- | --- |
| Barclays UK | Barclays UK<br><br><br>Corporate<br><br><br>Bank | Barclays<br><br><br>Private Bank and<br><br><br>Wealth Management | Barclays<br><br><br>Investment<br><br><br>Bank | Barclays US C<br><br><br>onsumer<br><br><br>Bank | Head Office | Barclays<br><br><br>Group | |
| £m | £m | £m | £m | £m | £m | £m | |
| Total<br>income | 1,946 | 445 | 326 | 2,851 | 791 | 188 | 6,547 |
| Inorganic<br>activity | — | — | — | — | — | — | — |
| Total income excluding inorganic activity | 1,946 | 445 | 326 | 2,851 | 791 | 188 | 6,547 |
| Total operating expenses | (1,006) | (222) | (221) | (1,916) | (393) | (204) | (3,962) |
| Cost: income ratio excluding inorganic activity | 52% | 50% | 68% | 67% | 50% | n/a | 61% |
| Attributable<br>profit/(loss) | 621 | 144 | 74 | 652 | 89 | (16) | 1,564 |
| Post-tax<br>impact of inorganic activity | — | — | — | — | — | — | — |
| Attributable profit/(loss) excluding inorganic<br>activity | 621 | 144 | 74 | 652 | 89 | (16) | 1,564 |
| Average tangible equity (£bn) | 10.6 | 3.1 | 1.0 | 29.5 | 3.3 | 3.5 | 51.0 |
| Return on average tangible equity excluding inorganic<br>activity | 23.4% | 18.8% | 29.0% | 8.8% | 10.9% | n/a | 12.3% |
| Tangible net asset value per share | As at 30.09.24 | As at 31.12.23 | As at 30.09.23 | ||||
| --- | --- | --- | --- | ||||
| £m | £m | £m | |||||
| Total<br>equity excluding non-controlling interests | 70,972 | 71,204 | 68,315 | ||||
| Other<br>equity instruments | (11,739) | (13,259) | (11,857) | ||||
| Goodwill<br>and intangibles | (8,123) | (7,794) | (8,265) | ||||
| Tangible shareholders' equity attributable to ordinary shareholders<br>of the parent | 51,110 | 50,151 | 48,193 | ||||
| m | m | m | |||||
| Shares<br>in issue | 14,571 | 15,155 | 15,239 | ||||
| p | p | p | |||||
| Tangible net asset value per share | 351 | 331 | 316 |
Shareholder Information
| Results timetable1 | Date | |||||||
|---|---|---|---|---|---|---|---|---|
| 2024<br>Full Year Results and Annual Report | 13<br>February 2025 | |||||||
| % Change3 | ||||||||
| Exchange rates2 | 30.09.24 | 30.06.24 | 31.12.23 | 30.09.23 | 30.06.24 | 31.12.23 | 30.09.23 | |
| Period<br>end - USD/GBP | 1.34 | 1.26 | 1.28 | 1.22 | 6% | 5% | 10% | |
| YTD<br>average - USD/GBP | 1.28 | 1.30 | 1.24 | 1.24 | (2)% | 3% | 3% | |
| 3<br>month average - USD/GBP | 1.30 | 1.26 | 1.24 | 1.27 | 3% | 5% | 2% | |
| Period<br>end - EUR/GBP | 1.20 | 1.18 | 1.15 | 1.15 | 2% | 4% | 4% | |
| YTD<br>average - EUR/GBP | 1.17 | 1.19 | 1.15 | 1.15 | (2)% | 2% | 2% | |
| 3<br>month average - EUR/GBP | 1.18 | 1.18 | 1.15 | 1.16 | —% | 3% | 2% | |
| Share price data | ||||||||
| Barclays<br>PLC (p) | 224.55 | 208.90 | 153.78 | 158.94 | ||||
| Barclays PLC number of shares<br>(m)4 | 14,571 | 14,826 | 15,155 | 15,239 | ||||
| For further information please contact | ||||||||
| Investor relations | Media relations | |||||||
| Marina<br>Shchukina +44 (0) 20 7116 2526 | Tom<br>Hoskin +44 (0) 20 7116 4755 | |||||||
| More information on Barclays can be found on our<br>website: <br>home.barclays | ||||||||
| Registered office | ||||||||
| 1 Churchill Place, London, E14 5HP, United Kingdom. Tel: +44 (0) 20<br>7116 1000. Company number: 48839. | ||||||||
| Registrar | ||||||||
| Equiniti, Aspect House, Spencer Road, Lancing, West Sussex, BN99<br>6DA, United Kingdom. | ||||||||
| Tel: +44 (0)371 384 2055 (UK and International telephone<br>number)5. | ||||||||
| American Depositary Receipts (ADRs) | ||||||||
| EQ Shareowner Services | ||||||||
| P.O. Box 64504 | ||||||||
| St. Paul, MN 55164-0504 | ||||||||
| United States of America | ||||||||
| shareowneronline.com | ||||||||
| Toll Free Number: +1 800-990-1135 | ||||||||
| Outside the US: +1 651-453-2128 | ||||||||
| Delivery of ADR certificates and overnight mail | ||||||||
| EQ Shareowner Services, 1110 Centre Pointe Curve, Suite 101,<br>Mendota Heights, MN 55120-4100, USA. | ||||||||
| 1 | Note that this date is provisional and subject to<br>change. | |||||||
| --- | --- | |||||||
| 2 | The average rates shown above are derived from daily spot rates<br>during the year. | |||||||
| 3 | The change is the impact to GBP reported information. | |||||||
| 4 | The number of shares of 14,571m as at 30 September 2024 is<br>different from the 14,561m quoted in the 1 October 2024<br>announcement entitled “Total Voting Rights” because the<br>share buyback transactions executed on 27 and 30 September 2024 did<br>not settle until 1 and 2 October 2024 respectively. | |||||||
| 5 | Lines open 8.30am to 5.30pm (UK time), Monday to Friday, excluding<br>UK public holidays in England and Wales. |