NWG 6-K
NatWest Group plc (NWG)
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
24 October 2025
Commission file number: 001-10306
Form 6-K
NatWest Group plc
250 Bishopsgate
London
EC2M 4AA
United Kingdom
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F X Form 40-F
This report on Form 6-K, except for any information contained on any websites linked or documents referred to in this report, shall be deemed incorporated by reference into the company’s Registration Statement on Form F-3 (File No. 333-284008) and to be a part thereof from the date on which this report is filed, to the extent not superseded by documents or reports subsequently filed or furnished.
Forward-lookingstatements
Cautionary statement regardingforward-looking statements
Certain sections in this document contain ‘forward-looking statements’ as that term is defined in the United States Private Securities Litigation Reform Act of 1995, such as statements with respect to NatWest Group’s financial condition, results of operations and business, including its strategic priorities, financial, investment and capital targets, and ESG targets, commitments and ambitions described herein. Statements that are not historical facts, including statements about NatWest Group’s beliefs and expectations, are forward-looking statements. Words such as ‘expect’, ‘estimate’, ‘project’, ‘anticipate’, ‘commit’, ‘believe’, ‘should’, ‘intend’, ‘will’, ‘plan’, ‘could’, ‘probability’, ‘risk’, ‘target’, ‘goal’, ‘objective’, ‘may’, ‘endeavour’, ‘outlook’, ‘optimistic’, ‘prospects’ and similar expressions or variations on these expressions are intended to identify forward-looking statements. In particular, this document includes forward-looking targets and guidance relating to financial performance measures, such as income growth, operating expense, RoTE, ROE, discretionary capital distribution targets, impairment loss rates, balance sheet reduction (including the reduction of RWAs), CET1 ratio (and key drivers of the CET1 ratio including timing, impact and details), Pillar 2 and other regulatory buffer requirements and MREL and non-financial performance measures, such as NatWest Group’s initial area of focus, climate and sustainability-related performance, ambitions, targets and metrics, including in relation to financed emissions and initiatives to transition to a net zero economy, such as our climate and transition financing activities.
Limitations inherent toforward-looking statements
These statements are based on current plans, expectations, estimates, targets and projections, and are subject to significant inherent risks, uncertainties and other factors, both external and relating to NatWest Group’s strategy or operations, which may result in NatWest Group being unable to achieve the current plans, expectations, estimates, targets, projections and other anticipated outcomes expressed or implied by such forward-looking statements. In addition, certain of these disclosures are dependent on choices relying on key model characteristics and assumptions and are subject to various limitations, including assumptions and estimates made by management. By their nature, certain of these disclosures are only estimates and, as a result, actual future results, gains or losses could differ materially from those that have been estimated. Accordingly, undue reliance should not be placed on these statements. The forward-looking statements contained in this document speak only as of the date we make them and we expressly disclaim any obligation or undertaking to update or revise any forward-looking statements contained herein, whether to reflect any change in our expectations with regard thereto, any change in events, conditions or circumstances on which any such statement is based, or otherwise, except to the extent legally required.
Important factors that couldaffect the actual outcome of the forward-looking statements
We caution you that a large number of important factors could adversely affect our results or our ability to implement our strategy, cause us to fail to meet our targets, predictions, expectations and other anticipated outcomes or affect the accuracy of forward-looking statements described in this document. These factors include, but are not limited to, those set forth in the risk factors and the other uncertainties described in NatWest Group plc’s 2024 Annual Report on Form 20-F, NatWest Group’s Interim Management Statement for Q1, H1 and Q3 2025 on Form 6-K, and its other filings with the US Securities and Exchange Commission. The principal risks and uncertainties that could adversely affect NatWest Group’s future results, its financial condition and/or prospects and cause them to be materially different from what is forecast or expected, include, but are not limited to: economic and political risk (including in respect of: political and economic risks and uncertainty in the UK and global markets, including as a result of inflation and interest rates, supply chain disruption, and geopolitical developments); and changes in interest rates and foreign currency exchange rates); business change and execution risk (including in respect of the implementation of NatWest Group’s strategy; future acquisitions and divestments, and the transfer of its Western European corporate portfolio); financial resilience risk (including in respect of: NatWest Group’s ability to meet targets and to make discretionary capital distributions; the competitive environment; counterparty and borrower risk; liquidity and funding risks; prudential regulatory requirements for capital and MREL; reductions in the credit ratings; the requirements of regulatory stress tests; model risk; sensitivity to accounting policies, judgments, estimates and assumptions (and the economic, climate, competitive and other forward looking information affecting those judgments, estimates and assumptions); changes in applicable accounting standards; the value or effectiveness of credit protection; the adequacy of NatWest Group’s future assessments by the Prudential Regulation Authority and the Bank of England; and the application of UK statutory stabilisation or resolution powers); climate and sustainability risk (including in respect of: risks relating to climate change and sustainability-related risks; both the execution and reputational risk relating to NatWest Group’s climate change-related strategy, ambitions, targets and transition plan; climate and sustainability-related data and model risk; increasing levels of climate, environmental, human rights and sustainability-related regulation and oversight; and increasing; climate, environmental and sustainability-related litigation, enforcement proceedings investigations and conduct risk); operational and IT resilience risk (including in respect of: operational risks (including reliance on third party suppliers); cyberattacks; the accuracy and effective use of data; complex IT systems; attracting, retaining and developing diverse senior management and skilled personnel; NatWest Group’s risk management framework; and reputational risk); and legal, regulatory and conduct risk (including in respect of: the impact of substantial regulation and oversight; the outcome of legal, regulatory and governmental actions, investigations and remedial undertakings; and changes in tax legislation or failure to generate future taxable profits).
| **NatWest Group** - Form 6-K Q3 2025 | 2 |
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Forward-looking statements continued
Climate and sustainability-related disclosures
Climate and sustainability-related disclosures in this document are not measures within the scope of International Financial Reporting Standards (IFRS), use a greater number and level of judgments, assumptions and estimates, including with respect to the classification of climate and transition financing activities, than our reporting of historical financial information in accordance with IFRS. These judgments, assumptions and estimates are highly likely to change materially over time, and, when coupled with the longer time frames used in these disclosures, make any assessment of materiality inherently uncertain. In addition, our climate risk analysis, our ambition to be net zero across our financed emissions, assets under management and operational value chain by 2050 and the implementation of our climate transition plan remain under development, and the data underlying our analysis and strategy remain subject to evolution over time. The process we have adopted to define, gather and report data on our performance on climate and sustainability-related measures is not subject to the formal processes adopted for financial reporting in accordance with IFRS and there are currently limited industry standards or globally recognised established practices for measuring and defining climate (including transition and transition finance) and sustainability-related metrics. As a result, we expect that certain climate and sustainability-related disclosures made in this document are likely to be amended, updated, recalculated or restated in the future. Refer to the cautionary statement in the section entitled ‘Climate and sustainability-related and other forward-looking statements and metrics’ of the NatWest Group 2024 Sustainability Report.
Cautionary statement regarding alternative performancemeasures
NatWest Group prepares its financial statements in accordance with UK-adopted International Accounting Standards (IAS) and IFRS. This document may contain a number of non-IFRS measures, or alternative performance measures, defined under the European Securities and Markets Authority (ESMA) guidance, or non- Generally Accepted Accounting Principles (GAAP) financial measures in accordance with the SEC regulations (together, APM). APMs are adjusted for notable and other defined items which management believes are not representative of the underlying performance of the business and which distort period-on-period comparison. APMs provide users of the financial statements with a consistent basis for comparing business performance between financial periods and information on elements of performance that are one-off in nature. Any APMs included in this document, are not measures within the scope of IFRS or GAAP, are based on a number of assumptions that are subject to uncertainties and change, and are not a substitute for IFRS or GAAP measures and a reconciliation to the closest IFRS or GAAP measure is presented where appropriate.
The information, statements and opinions contained in this document do not constitute a public offer under any applicable legislation or an offer to sell or a solicitation of an offer to buy any securities or financial instruments or any advice or recommendation with respect to such securities or other financial instruments.
| **NatWest Group** - Form 6-K Q3 2025 | 3 |
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Introduction
Presentation of information
Unless otherwise specified herein, ‘Parent company’ refers to NatWest Group plc and ‘NatWest Group’, ‘Group’ or ‘we’ refers to NatWest Group plc and its subsidiaries. The term ‘NWH Group’ refers to NatWest Holdings Limited (‘NWH Limited’) and its subsidiary and associated undertakings. The term ‘NWM Group’ refers to NatWest Markets Plc (‘NWM Plc’) and its subsidiary and associated undertakings. The term RBSH N.V. refers to RBS Holdings N.V. The term NWM N.V. Group refers to NatWest Markets N.V. and its subsidiary and associated undertakings. The term ‘NWMSI’ refers to NatWest Markets Securities, Inc. The term ‘RBS plc’ refers to The Royal Bank of Scotland plc. The term ‘NWB Plc’ refers to National Westminster Bank Plc. The term RBSI Ltd refers to The Royal Bank of Scotland International Limited. Effective from Q2 2025, the reportable segment Private Banking was renamed Private Banking & Wealth Management. This does not change the financial results of Private Banking & Wealth Management or the consolidated financial results of NatWest Group.
NatWest Group publishes its financial statements in pounds sterling (‘£’ or ‘sterling’). The abbreviations ‘£m’ and ‘£bn’ represent millions and thousands of millions of pounds sterling, respectively, and references to ‘pence’ or ‘p’ represent pence where the amounts are denominated in pounds sterling (‘GBP’). Reference to ‘dollars’ or ‘$’ are to United States of America (‘US’) dollars. The abbreviations ‘$m’ and ‘$bn’ represent millions and thousands of millions of dollars, respectively. The abbreviation ‘€’ represents the ‘euro’, and the abbreviations ‘€m’ and ‘€bn’ represent millions and thousands of millions of euros, respectively.
To aid readability, this document contains references to EU legislative and regulatory provisions in effect in the UK before 1 January 2021 that have now been implemented in UK domestic law. These references should be read and construed as including references to the applicable UK implementation measures with effect from 1 January 2021.
Any information contained on websites linked or reports referenced in this interim results report for the period ended 30 September 2025 on Form 6-K is for information only and will not be deemed to be incorporated by reference herein.
Non-IFRS financial information
NatWest Group prepares its financial statements in accordance with UK-adopted International Accounting Standards (IAS) and International Financial Reporting Standards (IFRS). This document contains a number of non-IFRS measures, or alternative performance measures, defined under the European Securities and Markets Authority (ESMA) guidance, or non-GAAP financial measures in accordance with the Securities and Exchange Commission (SEC) regulations. These measures are adjusted for notable and other defined items which management believes are not representative of the underlying performance of the business and which distort period-on-period comparison.
The non-IFRS measures provide users of the financial statements with a consistent basis for comparing business performance between financial periods and information on elements of performance that are one-off in nature. The non-IFRS measures also include a calculation of metrics that are used throughout the banking industry.
These non-IFRS measures are not a substitute for IFRS measures and a reconciliation to the closest IFRS measure is presented where appropriate. For details of the basis of preparation and reconciliation where appropriate refer to appendix ‘Non-IFRS financial measures’ on page 42.
| **NatWest Group** - Form 6-K Q3 2025 | 4 |
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Inside this report
| Business performance summary | ||
|---|---|---|
| 6 | Q3<br> 2025 performance summary | |
| 7 | Performance<br> key metrics and ratios | |
| 9 | Chief<br> Financial Officer’s review | |
| 10 | Retail<br> Banking | |
| 11 | Private<br> Banking & Wealth Management | |
| 12 | Commercial &<br> Institutional | |
| 13 | Central<br> items & other | |
| 14 | Segment<br> performance | |
| Risk and capital management | ||
| 19 | Credit<br> risk | |
| 19 | Segment<br> analysis – portfolio summary | |
| 20 | Segment<br> analysis – loans | |
| 20 | Movement<br> in ECL provision | |
| 21 | ECL<br> post model adjustments | |
| 22 | Sector<br> analysis – portfolio summary | |
| 27 | Capital,<br> liquidity and funding risk | |
| 33 | Pension<br> risk | |
| Financial statements and notes | ||
| 34 | Condensed<br> consolidated income statement | |
| 35 | Condensed<br> consolidated statement of comprehensive income | |
| 36 | Condensed<br> consolidated balance sheet | |
| 37 | Condensed<br> consolidated statement of changes in equity | |
| 39 | Presentation<br> of condensed consolidated financial statements | |
| 39 | Litigation<br> and regulatory matters | |
| 40 | Post<br> balance sheet events |
| Additional information | |
|---|---|
| 41 | Other<br> financial data |
| 42 | Non-IFRS<br> financial measures |
| 47 | Performance<br> measures not defined under IFRS |
| **NatWest Group** - Form 6-K Q3 2025 | 5 |
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Q32025 performance summary
Chief Executive, Paul Thwaite,commented:
“NatWest Group delivered another strong performance in the third quarter of 2025, underpinned by healthy levels of customer activity and the continued support we provide to them. This is driving positive momentum across our three businesses, with continued lending growth and deposits remaining stable.
With our strategic focus on growth, NatWest Group’s impact can be felt right across the economy, as we help people get on the housing ladder, save and invest for the future and grow their businesses – from innovative start-ups and vital mid-market firms to the largest multinationals responsible for critical infrastructure projects. We are also becoming a much simpler bank, with tight control of costs supporting our digital transformation that is enabling us to anticipate and meet the changing needs of customers at pace.
As a result of our consistent delivery and capital generation, we have upgraded our income and returns guidance for 2025 and are well placed to support our customers, invest for the future and deliver returns to our shareholders.”
Growth in all of our customerbusinesses
We have delivered a strong financial performance in the quarter, with income and lending growth across all of our businesses demonstrating our broad-based support for our customers.
| – | Total<br> income of £4.3 billion for Q3 2025 was up £0.3 billion compared to Q2 2025. Total<br> income excluding notable items was up £0.2 billion to £4.2 billion in the quarter,<br> driving an attributable profit of £1.6 billion, a return on equity of 15.3% and a Return<br> on Tangible Equity (RoTE) of 22.3%. |
|---|---|
| – | Net<br> loans to customers of £415.3 billion increased by £8.2 billion during Q3 2025.<br> In the third quarter net loans to customers excluding central items were up by £4.4<br> billion as we met customer needs while deploying capital where returns were attractive. |
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| – | Customer<br> deposits of £435.5 billion decreased by £1.3 billion during Q3 2025. Deposits<br> remained broadly stable across each of the businesses, with a small overall decrease in the<br> quarter of £1.1 billion in customer deposits excluding central items. We continue to<br> maintain a strong loan:deposit ratio of 95% at Q3 2025, up by 2% in the quarter, a loan:deposit<br> ratio (excl. repos and reverse repos) up 2% in the quarter to 88%, and a strong liquidity<br> position with an average Liquidity Coverage Ratio (LCR) of 148%. |
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| – | Assets<br> under management and administration (AUMA) grew strongly in the quarter, up by 8.1% to £56.0<br> billion assisted by strong client net inflows. |
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Simplification continuesto drive efficiency
We continued to make good progress on becoming a simpler bank, delivering efficiencies from our investment programmes and driving efficiency in the business which resulted in a 5.3% improvement in our year to date cost:income ratio of 48.8% compared to 54.1% in Q3 2024 and a 5% improvement in our year to date cost:income (excl. litigation and conduct) ratio of 47.8%, compared with 52.8% in the same period of 2024.
We are pleased with progress towards our objective of simplifying the way we operate, becoming a more agile and technology driven bank.
Active balance sheet managementcreates capacity for growth
We continued to actively manage our balance sheet and risk, delivering a £2.2 billion benefit from RWA management actions as we created capacity for growth.
Capital generation pre-distributions was 101 basis points in the quarter.
Our Common Equity Tier 1 (CET1) ratio of 14.2% was up c.60 basis points compared with Q4 2024 and c.60 basis points higher than Q2 2025. NAV per share in Q3 2025 increased by 11 pence to 455 pence. TNAV per share in Q3 2025 increased by 11 pence to 362 pence.
Outlook^(1)^
We expect to introduce guidance for 2026 and new targets for 2028 with our Full Year 2025 results on 13 February 2026.
The following statements are based on our current expectations for interest rates and economic conditions. We will monitor and react to market conditions and refine our internal forecasts as the economic position evolves.
We now expect income excluding notable items to be around £16.3 billion for 2025 and to achieve a Return on Tangible Equity of greater than 18.0%.
Except for this strengthened guidance, we reaffirm the outlook provided in our H1 2025 Interim Results on Form 6-K.
(1) The guidance, targets, expectations and trends discussed in this section represent NatWest Group plc management’s current expectations and are subject to change, including as a result of the factors described in the NatWest Group plc Risk Factors in the 2024 Annual Report on Form 20-F issued on 21 February 2025 and the Summary Risk Factors in the NatWest Group plc 2025 Interim Results on Form 6-K issued on 25 July 2025. These statements constitute forward-looking statements. Refer to Forward-looking statements in this announcement.
| **NatWest Group** - Form 6-K Q3 2025 | 6 |
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Businessperformance summary
| Nine months ended | Quarter ended | |||||||
|---|---|---|---|---|---|---|---|---|
| 30 September | 30 September | 30 September | 30 June | 30 September | ||||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||||
| Summary consolidated income statement | £m | £m | Variance | £m | £m | Variance | £m | Variance |
| Net interest income | 9,388 | 8,307 | 13.0% | 3,268 | 3,094 | 5.6% | 2,899 | 12.7% |
| Non-interest income | 2,929 | 2,571 | 13.9% | 1,064 | 911 | 16.8% | 845 | 25.9% |
| Total income | 12,317 | 10,878 | 13.2% | 4,332 | 4,005 | 8.2% | 3,744 | 15.7% |
| Litigation and conduct costs | (130) | (142) | (8.5%) | (12) | (74) | (83.8%) | (41) | (70.7%) |
| Other operating expenses | (5,884) | (5,740) | 2.5% | (1,984) | (1,965) | 1.0% | (1,784) | 11.2% |
| Operating expenses | (6,014) | (5,882) | 2.2% | (1,996) | (2,039) | (2.1%) | (1,825) | 9.4% |
| Profit before impairment losses | 6,303 | 4,996 | 26.2% | 2,336 | 1,966 | 18.8% | 1,919 | 21.7% |
| Impairment losses | (535) | (293) | 82.6% | (153) | (193) | (20.7%) | (245) | (37.6%) |
| Operating profit before tax | 5,768 | 4,703 | 22.6% | 2,183 | 1,773 | 23.1% | 1,674 | 30.4% |
| Tax charge | (1,412) | (1,232) | 14.6% | (502) | (439) | 14.4% | (431) | 16.5% |
| Profit from continuing operations | 4,356 | 3,471 | 25.5% | 1,681 | 1,334 | 26.0% | 1,243 | 35.2% |
| Profit from discontinued operations, net of tax | - | 12 | (100.0%) | - | - | - | 1 | (100.0%) |
| Profit for the period | 4,356 | 3,483 | 25.1% | 1,681 | 1,334 | 26.0% | 1,244 | 35.1% |
| Performance key metrics and ratios | ||||||||
| Notable items within total income (1) | £189m | £102m | 85.3% | £166m | (£5m) | nm | (£28m) | nm |
| Total income excluding notable items (1) | £12,128m | £10,776m | 12.5% | £4,166m | £4,010m | 3.9% | £3,772m | 10.4% |
| Net interest margin (1) | 2.31% | 2.11% | 20bps | 2.37% | 2.28% | 9bps | 2.18% | 19bps |
| Average interest earning assets (1) | £544bn | £526bn | 3.4% | £548bn | £543bn | 0.9% | £530bn | 3.4% |
| Cost:income ratio (excl. litigation and conduct) (1) | 47.8% | 52.8% | (5.0%) | 45.8% | 49.1% | (3.3%) | 47.6% | (1.8%) |
| Loan impairment rate (1) | 17bps | 10bps | 7bps | 15bps | 19bps | (4bps) | 25bps | (10bps) |
| Profit attributable to ordinary shareholders | £4,086m | £3,271m | 24.9% | £1,598m | £1,236m | 29.3% | £1,172m | 36.3% |
| Total earnings per share attributable to ordinary shareholders - basic | 50.7p | 38.3p | 12.4p | 19.8p | 15.3p | 4.5p | 14.1p | 5.7p |
| Return on Tangible Equity (RoTE) (1) | 19.5% | 17.0% | 2.5% | 22.3% | 17.7% | 4.6% | 18.3% | 4.0% |
| Climate and transition finance (2) | £7,569m | na | na | £7,569m | na | na | na | na |
nm = not meaningful, na = not applicable.
For the footnotes to this table refer to the following page.
| **NatWest Group** - Form 6-K Q3 2025 | 7 |
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Business performance summary continued
| As at | |||||
|---|---|---|---|---|---|
| 30 September | 30 June | 31 December | |||
| 2025 | 2025 | 2024 | |||
| Balance sheet | £bn | £bn | Variance | £bn | Variance |
| Total assets | 725.6 | 730.8 | (0.7%) | 708.0 | 2.5% |
| Loans to customers - amortised cost | 415.3 | 407.1 | 2.0% | 400.3 | 3.7% |
| Loans to customers excluding central items (1,3) | 384.5 | 380.1 | 1.2% | 368.5 | 4.3% |
| Loans to customers and banks - amortised cost and FVOCI | 427.3 | 417.9 | 2.2% | 410.2 | 4.2% |
| Total impairment provisions (4) | 3.7 | 3.7 | - | 3.4 | 8.8% |
| Expected credit loss (ECL) coverage ratio | 0.87% | 0.87% | - | 0.83% | 4bps |
| Assets under management and administration (AUMA) (1) | 56.0 | 51.8 | 8.1% | 48.9 | 14.5% |
| Customer deposits | 435.5 | 436.8 | (0.3%) | 433.5 | 0.5% |
| Customer deposits excluding central items (1,3) | 434.7 | 435.8 | (0.3%) | 431.3 | 0.8% |
| Liquidity and funding | |||||
| Average Liquidity Coverage Ratio (LCR) (5) | 148% | 150% | (2.0%) | 151% | (3.0%) |
| Liquidity portfolio | 239 | 217 | 10.1% | 222 | 7.7% |
| Average Net Stable Funding Ratio (NSFR) (5) | 135% | 136% | (1.0%) | 137% | (2.0%) |
| Loan:deposit ratio (excl. repos and reverse repos) (1) | 88% | 86% | 2% | 85% | 3% |
| Total wholesale funding | 93 | 91 | 2.2% | 86 | 8.1% |
| Short-term wholesale funding | 37 | 35 | 5.7% | 33 | 12.1% |
| Capital and leverage | |||||
| Common Equity Tier 1 (CET1) ratio (6) | 14.2% | 13.6% | 60bps | 13.6% | 60bps |
| Total capital ratio (6) | 20.2% | 19.7% | 50bps | 19.7% | 50bps |
| Pro forma CET1 ratio (excl. foreseeable items) (7) | 15.1% | 14.6% | 50bps | 14.3% | 80bps |
| Risk-weighted assets (RWAs) | 189.1 | 190.1 | (0.5%) | 183.2 | 3.2% |
| UK leverage ratio | 5.0% | 5.0% | - | 5.0% | - |
| Tangible net asset value (TNAV) per ordinary share (1,8) | 362p | 351p | 11p | 329p | 33p |
| Number of ordinary shares in issue (millions) (8) | 8,031 | 8,088 | (0.7%) | 8,043 | (0.1%) |
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. | ||||
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| (2) | NatWest Group uses its climate and transition finance framework to determine the assets, activities, acquisition targets and companies<br>that are eligible to be included within its target to provide £200 billion in climate and transition finance between 1 July 2025<br>and the end of 2030. This included both provision of committed (on and off-balance sheet) financing and facilitation. The climate and<br>transition finance framework is available on the NatWest Group website. | ||||
| (3) | Central items includes Treasury repo activity. | ||||
| (4) | Includes £0.1 billion relating to off-balance sheet exposures (30 June 2025 – £0.1 billion; 31 December 2024<br> – £0.1 billion). | ||||
| (5) | Reported on an average basis in line with supervisory guidelines. The LCR is calculated as the average of the preceding 12 months.<br>The NSFR is calculated as the average of the preceding four quarters. | ||||
| (6) | Refer to the Capital, liquidity and funding risk section for details of the basis of preparation. | ||||
| (7) | The pro forma CET1 ratio at 30 September 2025 excludes foreseeable items of £1,721 million: £1,275 million for ordinary<br>dividends and £446 million foreseeable charges (30 June 2025 excludes foreseeable items of £1,994 million: £1,244<br>million for ordinary dividends and £750 million foreseeable charges; 31 December 2024 excludes foreseeable items of £1,249<br>million for ordinary dividends). | ||||
| (8) | The number of ordinary shares in issue excludes own shares held. |
| **NatWest Group** - Form 6-K Q3 2025 | 8 |
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ChiefFinancial Officer’s review
We delivered another strong performance in the third quarter with total income up by 8.2% in Q3 2025 compared to Q2 2025 and 15.7% compared to Q3 2024. Total income excluding notable items was up by 3.9% on Q2 2025 and 10.4% on Q3 2024. We made further progress on simplification and as a result our cost:income ratio was 48.8% in the year to date compared with 54.1% in the prior year and our cost:income ratio (excl. litigation and conduct) was 47.8% in the year to date compared with 52.8% in the prior year. As a result, we achieved a return on equity of 15.3% and a RoTE of 22.3%, including more than 2 percentage points from one-off items in the quarter.
The balance sheet continues to grow, with another quarter of strong lending growth. Net loans to customers at Q3 2025 of £415.3 billion increased by £8.2 billion compared to H1 2025 with growth of £4.4 billion excluding central items. Customer deposits at Q3 2025 of £435.5 billion reduced by £1.3 billion compared to H1 2025 while customer deposits excluding central items remained broadly stable with a small decrease overall of £1.1 billion in the quarter. Liquidity position remains robust with an average LCR of 148%.
Our CET1 ratio came in just above the top end of our target range at 14.2% as we actively managed the balance sheet, delivering RWA management actions of £2.2 billion in Q3 2025 which created continued capacity for growth.
Strong Q3 2025 performance acrossgrowth and simplification ****
| - | Total income increased by 8.2% in Q3 2025 compared with Q2 2025 and was<br>15.7% higher than Q3 2024. Total income excluding notable items was £156 million higher than Q2<br>2025 reflecting deposit margin expansion alongside the benefit of one additional day in the quarter. As a result, NIM increased by 9 basis<br>points in the quarter to 2.37%. |
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| - | Total operating expenses were £43 million lower than Q2 2025 and £171<br>million higher than Q3 2024. Other operating expenses were £19 million higher than Q2 2025 primarily reflecting integration costs<br>following the acquisition of balances from Sainsbury’s Bank and higher restructuring costs as we continue to develop core skills<br>for the future, including increasing the number of software engineering roles. Our focus remains on driving cost savings to create capacity<br>for further investment to accelerate our bank-wide simplification*.* Headcount reduced by around 600 FTE compared with Q3 2024 and<br>was 100 FTE lower than Q2 2025. |
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We continue to proactively managerisk
| - | The net impairment charge of £153 million, or 15 basis points of gross<br>customer loans, was £40 million lower than Q2 2025 as Stage 3 charges were lower in Commercial & Institutional and the<br>prior quarter included an £81 million charge on the acquisition of balances from Sainsbury’s Bank, offset by lower post model<br>adjustment releases. |
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| - | Compared with Q2 2025, our ECL provision and our ECL coverage ratio remained<br>stable at £3.7 billion and 0.87% respectively. We retain post model adjustments of £265 million and remain comfortable with<br>the strong credit performance of our diversified prime loan book. |
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Our lending aligns to our climateambitions
| - | During Q3 2025 we provided £7.6 billion in climate<br>and transition finance against our target to provide £200 billion between 1 July 2025 and the end of 2030, which is underpinned<br>by our climate and transition finance framework. We also achieved our aim to provide £10 billion in lending for EPC A and B rated<br>residential properties between 1 January 2023 and the end of 2025, with £10.8 billion lending up to 30 September 2025. |
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Active balance sheet managementsupporting robust liquidity levels
| - | We continued to support our customers as net loans to customers<br>at Q3 2025 of £415.3 billion increased by £8.2 billion compared to H1 2025 and net loans to | |
|---|---|---|
| customers excluding central items<br> increased £4.4 billion in Q3 2025. Retail Banking mortgage balances increased by £1.7<br> billion and Commercial & Institutional balances were up by £2.5 billion, largely<br> within Corporate & Institutions and Commercial Mid-market. | ||
| --- | --- | --- |
| - | Customer deposits at Q3 2025 of £435.5 billion reduced<br>by £1.3 billion compared to H1 2025. Customer deposits excluding central items reduced £1.1 billion in the quarter to £434.7<br>billion primarily reflecting a reduction in savings balances in Retail Banking and Private Banking & Wealth Management. Commercial &<br>Institutional increased by £0.4 billion largely due to higher balances within Commercial Mid-market and Business Banking. Total<br>business term balances reduced to 16% of the book, down from 17% at Q2 2025. | |
| --- | --- | |
| - | We continue to actively manage our balance sheet as RWAs<br>decreased by £1.0 billion in the quarter to £189.1 billion, including a further £2.2 billion benefit from RWA management<br>actions as we created capacity for lending growth. | |
| --- | --- | |
| - | The average LCR of 148% (spot LCR: 141%) representing £51.6<br>billion headroom above 100% minimum requirement, decreased by 2 percentage points compared with Q2 2025 primarily due to higher lending.<br>Our primary liquidity at Q3 2025 was £159 billion, of which £80.5 billion, or 51% was cash and balances at central banks.<br>Total wholesale funding increased by £2.1 billion in the quarter to £92.9 billion. | |
| --- | --- |
Shareholder return supportedby strong capital generation
| - | An attributable profit of £1,598 million, return on equity of 15.3%<br>and RoTE of 22.3% included more than 2 percentage points from one-off items in the quarter, including a £147 million gain from the<br>release of a funding valuation adjustment applied to a portfolio of derivatives. |
|---|---|
| - | The CET1 ratio of 14.2% was c.60 basis points higher than Q2 2025 principally<br>reflecting the attributable profit for the quarter, c.85 basis points, and the reduction in RWAs, c.10 basis points, partially offset<br>by the foreseeable ordinary dividend, c.40 basis points. |
| --- | --- |
| - | NAV per share increased by 11 pence in Q3 2025 to 455 pence. TNAV per share<br>increased by 11 pence in the quarter to 362 pence primarily reflecting the profit for the period partially offset by the interim dividend<br>payment. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 9 |
| --- | --- |
Business performance summary
Retail Banking
| Quarter ended | |||
|---|---|---|---|
| 30 September | 30 June | 30 September | |
| 2025 | 2025 | 2024 | |
| £m | £m | £m | |
| Total income | 1,662 | 1,594 | 1,459 |
| Operating expenses | (715) | (742) | (659) |
| of which: Other operating expenses | (712) | (734) | (656) |
| Impairment losses | (97) | (117) | (144) |
| Operating profit | 850 | 735 | 656 |
| Return on equity (1) | 26.4% | 23.2% | 21.4% |
| Net interest margin (1) | 2.64% | 2.59% | 2.43% |
| Cost:income ratio (excl. litigation and conduct) (1) | 42.8% | 46.0% | 45.0% |
| Loan impairment rate (1) | 18bps | 22bps | 28bps |
| As at | |||
| 30 September | 30 June | 31 December | |
| 2025 | 2025 | 2024 | |
| £bn | £bn | £bn | |
| Net loans to customers (amortised cost) | 216.0 | 214.3 | 208.4 |
| Customer deposits | 195.8 | 196.6 | 194.8 |
| RWAs | 69.1 | 69.4 | 65.5 |
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. | ||
| --- | --- |
During Q3 2025, Retail Banking delivered a return on equity of 26.4% and an operating profit of £850 million, with continued positive income and net interest margin momentum. We have increased net mortgage lending by £1.7 billion and, as we widen our customer proposition, we have announced our partnership with Landbay to support more buy-to-let property investors. In addition, we have continued to progress the integration of our recently acquired Sainsbury’s customers, with credit card customers now able to view their credit card, link their Sainsbury’s Nectar card and view their Nectar points from credit card spending in our app.
Retail Banking provided £1.2 billion of climate and transition financing in Q3 2025 from lending on EPC A and B rated residential properties.
Q3 2025 performance
| - | Total income was £68 million, or 4.3%, higher than Q2 2025 reflecting<br>deposit margin expansion, full quarter impact of balances acquired from Sainsbury’s Bank and the benefit of one additional day in<br>the quarter. Q3 2025 total income was £203 million, or 13.9%, higher than Q3 2024 reflecting deposit margin expansion, lending growth<br>and the impact of balances acquired from Sainsbury’s Bank. |
|---|---|
| - | Net interest margin was 5 basis points higher than Q2 2025 largely reflecting<br>deposit margin expansion and full quarter impact of balances acquired from Sainsbury’s Bank. |
| --- | --- |
| - | Operating expenses of £715 million were £27 million, or 3.6%,<br>lower than Q2 2025 and £56 million, or 8.5%, higher than Q3 2024. Other operating expenses were £22 million, or 3.0%, lower<br>than Q2 2025 reflecting non-repeat of Q2 2025 FCA regulatory fees and property exit costs. Other operating expenses were £56 million,<br>or 8.5%, higher than Q3 2024 reflecting higher investment spend, partly offset by a 4.9% reduction in headcount. |
| --- | --- |
| - | An impairment charge of £97 million, compared with a £117 million<br>charge in Q2 2025, largely driven by good book model releases. Stage 3 default driven charge remains stable. |
| --- | --- |
| - | Net loans to customers increased by £1.7 billion, or 0.8%, in Q3 2025<br>driven by higher mortgage balances of £1.7 billion, or 0.9%, higher cards balances of £0.1 billion, or 1.2%, partly offset<br>by lower personal advances of £0.1 billion, or 1.1%. |
| --- | --- |
| - | Customer deposits decreased by £0.8 billion, or 0.4%, in Q3 2025 reflecting<br>lower savings balances of £1.4 billion, partly offset by increased current account balances of £0.6 billion. |
| --- | --- |
| - | RWAs decreased by £0.3 billion, or 0.4%, in Q3 2025 primarily due<br>to RWA management actions, largely offset by book movements. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 10 |
| --- | --- |
Business performance summary continued
Private Banking & Wealth Management
| Quarter ended | |||
|---|---|---|---|
| 30 September | 30 June | 30 September | |
| 2025 | 2025 | 2024 | |
| £m | £m | £m | |
| Total income | 284 | 274 | 253 |
| of which: AUMA income (1) | 75 | 72 | 68 |
| Operating expenses | (173) | (172) | (166) |
| of which: Other operating expenses | (172) | (171) | (166) |
| Impairment (losses)/releases | (3) | - | 3 |
| Operating profit | 108 | 102 | 90 |
| Return on equity (1) | 23.4% | 22.5% | 19.7% |
| Net interest margin (1) | 2.66% | 2.56% | 2.50% |
| Cost:income ratio (excl. litigation and conduct) (1) | 60.6% | 62.4% | 65.6% |
| Loan impairment rate (1) | 6bps | - | (7bps) |
| AUMA net flows (£bn) (1) | 1.2 | 1.3 | 0.9 |
| As at | |||
| 30 September | 30 June | 31 December | |
| 2025 | 2025 | 2024 | |
| £bn | £bn | £bn | |
| Net loans to customers (amortised cost) | 18.8 | 18.6 | 18.2 |
| Customer deposits | 40.6 | 41.3 | 42.4 |
| Assets under management (AUM) (1) | 41.9 | 39.0 | 37.0 |
| Assets under administration (AUA) (1) | 14.1 | 12.8 | 11.9 |
| Assets under management and administration (AUMA) (1) | 56.0 | 51.8 | 48.9 |
| Total combined assets and liabilities (CAL) (1,2) | 114.2 | 110.4 | 108.4 |
| RWAs | 11.4 | 11.5 | 11.0 |
| (1) | Refer to the Non-IFRS financial measures appendix for details of basis of preparation and reconciliation of non-IFRS financial measures<br>and performance metrics. | ||
| --- | --- | ||
| (2) | CAL refers to customer deposits, net loans to customers and AUMA. To avoid double counting, investment cash is deducted as it is reported<br>within customer deposits and AUMA. |
During Q3 2025, Private Banking & Wealth Management continued to deliver a strong performance with an operating profit of £108 million, return on equity of 23.4%, cost:income ratio of 60.9% and cost:income ratio (excl. litigation and conduct) of 60.6%. We have continued to progress our simplification agenda, including the rollout of a new workflow tool for investment advice, which has reduced the time to deliver simple investment advice. Our digital experience also continues to improve, with mobile NPS rising to 54, reflecting the ongoing enhancements to our mobile app.
Private Banking & Wealth Management provided £0.1 billion of climate and transition financing in Q3 2025, principally in relation to mortgages on residential properties with an EPC rating of A or B and wholesale transactions.
Q3 2025 performance
| - | Total income was £10 million, or 3.6%, higher than<br>Q2 2025 primarily reflecting balance growth across lending and AUMA and deposit margin expansion. Q3 2025 total income was £31 million,<br>or 12.3%, higher than Q3 2024 primarily reflecting balance growth across deposits, lending and AUMA, and deposit margin expansion. |
|---|---|
| - | Net interest margin was 10 basis points higher than Q2 2025<br>largely reflecting deposit margin expansion. |
| --- | --- |
| - | Operating expenses of £173 million were £1 million,<br>or 0.6%, higher than Q2 2025 and £7 million, or 4.2%, higher than Q3 2024. Other operating expenses were £1 million, or 0.6%,<br>higher than Q2 2025 primarily reflecting timing of non-staff costs. Other operating expenses were £6 million, or 3.6%, higher than<br>Q3 2024 primarily reflecting higher back office costs, partly offset by a 4.5% reduction in headcount. |
| --- | --- |
| - | An impairment charge of £3 million in Q3 2025, compared<br>with no impairment charge in Q2 2025. Stage 3 charges remain at low levels. |
| --- | --- |
| - | CAL increased by £3.8 billion, or 3.4%, in Q3 2025,<br>supported by growth in AUMA and lending balances. |
| --- | --- |
| - | Net loans to customers increased by £0.2 billion,<br>or 1.1%, in Q3 2025 driven by higher personal lending balances. |
| --- | --- |
| - | Customer deposits decreased by £0.7 billion, or 1.7%,<br>in Q3 2025 driven by seasonal tax outflows and continued flows to AUMAs. |
| --- | --- |
| - | AUMA balances increased by £4.2 billion, in Q3 2025,<br>driven by positive market movements of £3.0 billion, AUM net inflows of £0.6 billion, AUA net inflows of £0.4 billion<br>and Cushon net inflows of £0.2 billion. AUM net flows as a percentage of opening balances are 6.2% on an annualised basis. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 11 |
| --- | --- |
Business performance summary continued
Commercial & Institutional
| Quarter ended | |||
|---|---|---|---|
| 30 September | 30 June | 30 September | |
| 2025 | 2025 | 2024 | |
| £m | £m | £m | |
| Net interest income | 1,550 | 1,496 | 1,392 |
| Non-interest income | 658 | 651 | 679 |
| Total income | 2,208 | 2,147 | 2,071 |
| Operating expenses | (1,115) | (1,107) | (945) |
| of which: Other operating expenses | (1,060) | (1,047) | (911) |
| Impairment losses | (52) | (76) | (109) |
| Operating profit | 1,041 | 964 | 1,017 |
| Return on equity (1) | 19.7% | 17.9% | 19.9% |
| Net interest margin (1) | 2.36% | 2.35% | 2.24% |
| Cost:income ratio (excl. litigation and conduct) (1) | 48.0% | 48.8% | 44.0% |
| Loan impairment rate (1) | 14bps | 20bps | 31bps |
| As at | |||
| 30 September | 30 June | 31 December | |
| 2025 | 2025 | 2024 | |
| £bn | £bn | £bn | |
| Net loans to customers (amortised cost) | 149.7 | 147.2 | 141.9 |
| Customer deposits | 198.3 | 197.9 | 194.1 |
| Funded assets (1) | 348.2 | 343.1 | 321.6 |
| RWAs | 107.0 | 107.8 | 104.7 |
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. | ||
| --- | --- |
During Q3 2025, Commercial & Institutional continued to deliver a strong performance in income and operating profit, supporting a return on equity of 19.7%, an increase from 17.9% in Q2 2025. We have supported sectors that are vital to the health and success of the UK economy including continued support for UK Infrastructure and Housing Associations, reaching £7.4 billion of lending to Social Housing against our target of £7.5 billion. We saw another quarter of continued strong demand for FX risk management against a backdrop of volatile markets, supporting income. We have improved customer experience through our Bankline transformation and modernised digital platforms, driving deeper customer engagement.
Commercial & Institutional provided £6.3 billion of climate and transition funding in Q3 2025 to support customers investing in the transition to net zero.
Q3 2025 performance
| - | Total income was £61 million, or 2.8%, higher than<br>Q2 2025 primarily reflecting deposit margin expansion, lending growth as well as the impact of an additional day in the quarter. Q3 2025<br>total income was £137 million, or 6.6%, higher than Q3 2024 primarily reflecting deposit margin expansion and customer lending growth. |
|---|---|
| - | Net interest margin was 1 basis point higher than Q2 2025<br>reflecting deposit margin expansion. |
| --- | --- |
| - | Operating expenses of £1,115 million were £8<br>million, or 0.7%, higher than Q2 2025 and £170 million, or 18.0%, higher than Q3 2024. Other operating expenses were £13 million,<br>or 1.2%, higher than Q2 2025 largely reflecting increased investment spend partially offset by non-repeat of Q2 2025 FCA regulatory fees<br>and one-off VAT recovery in the quarter. Other operating expenses were £149 million, or 16.4%, higher than Q3 2024 reflecting inflationary<br>increases on staff costs and increased investment spend. |
| --- | --- |
| - | An impairment charge of £52 million in Q3 2025 compared<br>with a £76 million charge in Q2 2025 reflecting lower levels of Stage 3 impairments. |
| --- | --- |
| - | Net loans to customers increased by £2.5 billion,<br>or 1.7%, in Q3 2025 principally due to Funds lending and Large Corporate growth within Corporate & Institutions and Regional<br>and Commercial Real Estate growth within Commercial Mid-market, partly offset by UK Government scheme repayments of £0.5 billion. |
| --- | --- |
| - | Customer deposits increased by £0.4 billion, or 0.2%,<br>in Q3 2025 largely reflecting higher balances within Commercial Mid-market and Business Banking. |
| --- | --- |
| - | RWAs decreased by £0.8 billion, or 0.7%, in Q3 2025<br>primarily reflecting continued RWA management actions, partially offset by book movements and currency impacts. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 12 |
| --- | --- |
Business performance summary continued
Central items & other
| Quarter ended | |||
|---|---|---|---|
| 30 September | 30 June | 30 September | |
| 2025 | 2025 | 2024 | |
| £m | £m | £m | |
| Continuing operations | |||
| Total income | 178 | (10) | (39) |
| Operating expenses | 7 | (18) | (55) |
| of which: Other operating expenses | (40) | (13) | (51) |
| Impairment (losses)/releases | (1) | - | 5 |
| Operating profit/(loss) | 184 | (28) | (89) |
| As at | |||
| 30 September | 30 June | 31 December | |
| 2025 | 2025 | 2024 | |
| £bn | £bn | £bn | |
| Net loans to customers (amortised cost) | 30.8 | 27.0 | 31.8 |
| Customer deposits | 0.8 | 1.0 | 2.2 |
| RWAs | 1.6 | 1.4 | 2.0 |
Q3 2025 performance
| - | Total<br> income was £188 million higher than Q2 2025 primarily reflecting higher gains on interest<br> and FX risk management derivatives not in accounting hedge relationships and Business Growth<br> Fund profits partially offset with foreign exchange recycling losses. |
|---|---|
| - | Operating<br> expenses in Q3 2025 were a £7 million credit compared to an £18 million charge<br> in Q2 2025 and a £55 million charge in Q3 2024. Other<br> operating expenses were £27 million higher than Q2 2025 primarily due to one-off items<br> including an HMRC tax credit in Q2 2025, timing of spend, as well as higher staff restructuring<br> costs in the quarter as we pivot support towards developing critical core skills for the<br> future. |
| --- | --- |
| - | Net<br> loans to customers increased by £3.8 billion in Q3 2025 driven by reverse repo activity<br> in Treasury. |
| --- | --- |
| - | Customer<br> deposits decreased by £0.2 billion in Q3 2025 reflecting repo activity in Treasury. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 13 |
| --- | --- |
Segmentperformance
| Nine months ended 30 September 2025 | |||||
|---|---|---|---|---|---|
| Private Banking | |||||
| Retail | **** & Wealth | Commercial | Central items | Total NatWest | |
| Banking | Management | & Institutional | **** & other | Group | |
| £m | £m | £m | £m | £m | |
| Continuing operations | |||||
| Income statement **** | |||||
| Net interest income | 4,471 | 555 | 4,505 | (143) | 9,388 |
| Own credit adjustments | - | - | 3 | - | 3 |
| Other non-interest income | 325 | 268 | 1,989 | 344 | 2,926 |
| Total income **** | 4,796 | 823 | 6,497 | 201 | 12,317 |
| Direct expenses | (604) | (183) | (1,192) | (3,905) | (5,884) |
| Indirect expenses | (1,519) | (347) | (1,930) | 3,796 | - |
| Other operating expenses | (2,123) | (530) | (3,122) | (109) | (5,884) |
| Litigation and conduct costs | (15) | (2) | (144) | 31 | (130) |
| Operating expenses | (2,138) | (532) | (3,266) | (78) | (6,014) |
| Operating profit before impairment losses | 2,658 | 291 | 3,231 | 123 | 6,303 |
| Impairment losses | (323) | (4) | (206) | (2) | (535) |
| Operating profit | 2,335 | 287 | 3,025 | 121 | 5,768 |
| Total income excluding notable items (1) | 4,796 | 823 | 6,494 | 15 | 12,128 |
| Additional information | |||||
| Return on Tangible Equity (1) | na | na | na | na | 19.5% |
| Return on equity (1) | 24.7% | 21.0% | 19.0% | nm | na |
| Cost:income ratio (excl. litigation and conduct) (1) | 44.3% | 64.4% | 48.1% | nm | 47.8% |
| Total assets (£bn) | 240.6 | 29.1 | 408.9 | 47.0 | 725.6 |
| Funded assets (£bn) (1) | 240.6 | 29.1 | 348.2 | 46.6 | 664.5 |
| Net loans to customers - amortised cost (£bn) | 216.0 | 18.8 | 149.7 | 30.8 | 415.3 |
| Loan impairment rate (1) | 20bps | 3bps | 18bps | nm | 17bps |
| Impairment provisions (£bn) | (1.9) | (0.1) | (1.7) | - | (3.7) |
| Impairment provisions - Stage 3 (£bn) | (1.2) | - | (1.1) | - | (2.3) |
| Customer deposits (£bn) | 195.8 | 40.6 | 198.3 | 0.8 | 435.5 |
| Risk-weighted assets (RWAs) (£bn) | 69.1 | 11.4 | 107.0 | 1.6 | 189.1 |
| RWA equivalent (RWAe) (£bn) | 69.9 | 11.4 | 108.0 | 1.9 | 191.2 |
| Employee numbers (FTEs - thousands) | 11.6 | 2.1 | 12.6 | 32.8 | 59.1 |
| Third party customer asset rate (1) | 4.34% | 4.74% | 6.04% | nm | nm |
| Third party customer funding rate (1) | (1.78%) | (2.75%) | (1.60%) | nm | nm |
| Average interest earning assets (£bn) (1) | 229.8 | 28.5 | 257.1 | na | 544.3 |
| Net interest margin (1) | 2.60% | 2.60% | 2.34% | na | 2.31% |
nm = not meaningful, na = not applicable.
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. |
|---|
| **NatWest Group** - Form 6-K Q3 2025 | 14 |
| --- | --- |
Segment performance continued
| Nine months ended 30 September 2024 | |||||
|---|---|---|---|---|---|
| Private Banking | |||||
| Retail | & Wealth | Commercial | Central items | Total NatWest | |
| Banking | Management | & Institutional | & other | Group | |
| £m | £m | £m | £m | £m | |
| Continuing operations | |||||
| Income statement **** | |||||
| Net interest income | 3,825 | 455 | 3,935 | 92 | 8,307 |
| Own credit adjustments | - | - | (5) | - | (5) |
| Other non-interest income | 324 | 242 | 1,941 | 69 | 2,576 |
| Total income **** | 4,149 | 697 | 5,871 | 161 | 10,878 |
| Direct expenses | (586) | (190) | (1,120) | (3,844) | (5,740) |
| Indirect expenses | (1,527) | (331) | (1,864) | 3,722 | - |
| Other operating expenses | (2,113) | (521) | (2,984) | (122) | (5,740) |
| Litigation and conduct costs | (16) | (1) | (111) | (14) | (142) |
| Operating expenses | (2,129) | (522) | (3,095) | (136) | (5,882) |
| Operating profit before impairment losses/releases | 2,020 | 175 | 2,776 | 25 | 4,996 |
| Impairment (losses)/releases | (266) | 14 | (52) | 11 | (293) |
| Operating profit | 1,754 | 189 | 2,724 | 36 | 4,703 |
| Total income excluding notable items (1) | 4,149 | 697 | 5,876 | 54 | 10,776 |
| Additional information | |||||
| Return on Tangible Equity (1) | na | na | na | na | 17.0% |
| Return on equity (1) | 19.4% | 13.6% | 17.4% | nm | na |
| Cost:income ratio (excl. litigation and conduct) (1) | 50.9% | 74.7% | 50.8% | nm | 52.8% |
| Total assets (£bn) | 231.1 | 27.3 | 398.7 | 54.8 | 711.9 |
| Funded assets (£bn) (1) | 231.1 | 27.3 | 331.1 | 53.7 | 643.2 |
| Net loans to customers - amortised cost (£bn) | 207.4 | 18.2 | 138.1 | 23.0 | 386.7 |
| Loan impairment rate (1) | 17bps | (10bps) | 5bps | nm | 10bps |
| Impairment provisions (£bn) | (1.9) | (0.1) | (1.6) | - | (3.6) |
| Impairment provisions - Stage 3 (£bn) | (1.1) | - | (1.0) | - | (2.1) |
| Customer deposits (£bn) | 192.0 | 39.7 | 195.7 | 3.7 | 431.1 |
| Risk-weighted assets (RWAs) (£bn) | 64.8 | 11.0 | 104.0 | 1.9 | 181.7 |
| RWA equivalent (RWAe) (£bn) | 65.3 | 11.0 | 105.3 | 2.4 | 184.0 |
| Employee numbers (FTEs - thousands) | 12.2 | 2.2 | 12.8 | 32.5 | 59.7 |
| Third party customer asset rate (1) | 3.95% | 4.99% | 6.74% | nm | nm |
| Third party customer funding rate (1) | (2.08%) | (3.15%) | (1.92%) | nm | nm |
| Average interest earning assets (£bn) (1) | 220.5 | 26.6 | 244.9 | na | 526.2 |
| Net interest margin (1) | 2.32% | 2.29% | 2.15% | na | 2.11% |
nm = not meaningful, na = not applicable.
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. |
|---|
| **NatWest Group** - Form 6-K Q3 2025 | 15 |
| --- | --- |
Segment performance continued
| Quarter ended 30 September 2025 | |||||
|---|---|---|---|---|---|
| Private Banking | |||||
| Retail | **** & Wealth | Commercial | Central items | Total NatWest | |
| Banking | Management | & Institutional | **** & other | Group | |
| £m | £m | £m | £m | £m | |
| Continuing operations | |||||
| Income statement **** | |||||
| Net interest income | 1,549 | 192 | 1,550 | (23) | 3,268 |
| Own credit adjustments | - | - | - | - | - |
| Other non-interest income | 113 | 92 | 658 | 201 | 1,064 |
| Total income **** | 1,662 | 284 | 2,208 | 178 | 4,332 |
| Direct expenses | (208) | (61) | (410) | (1,305) | (1,984) |
| Indirect expenses | (504) | (111) | (650) | 1,265 | - |
| Other operating expenses | (712) | (172) | (1,060) | (40) | (1,984) |
| Litigation and conduct costs | (3) | (1) | (55) | 47 | (12) |
| Operating expenses | (715) | (173) | (1,115) | 7 | (1,996) |
| Operating profit before impairment losses | 947 | 111 | 1,093 | 185 | 2,336 |
| Impairment losses | (97) | (3) | (52) | (1) | (153) |
| Operating profit | 850 | 108 | 1,041 | 184 | 2,183 |
| Total income excluding notable items (1) | 1,662 | 284 | 2,208 | 12 | 4,166 |
| Additional information | |||||
| Return on Tangible Equity (1) | na | na | na | na | 22.3% |
| Return on equity (1) | 26.4% | 23.4% | 19.7% | nm | na |
| Cost:income ratio (excl. litigation and conduct) (1) | 42.8% | 60.6% | 48.0% | nm | 45.8% |
| Total assets (£bn) | 240.6 | 29.1 | 408.9 | 47.0 | 725.6 |
| Funded assets (£bn) (1) | 240.6 | 29.1 | 348.2 | 46.6 | 664.5 |
| Net loans to customers - amortised cost (£bn) | 216.0 | 18.8 | 149.7 | 30.8 | 415.3 |
| Loan impairment rate (1) | 18bps | 6bps | 14bps | nm | 15bps |
| Impairment provisions (£bn) | (1.9) | (0.1) | (1.7) | - | (3.7) |
| Impairment provisions - Stage 3 (£bn) | (1.2) | - | (1.1) | - | (2.3) |
| Customer deposits (£bn) | 195.8 | 40.6 | 198.3 | 0.8 | 435.5 |
| Risk-weighted assets (RWAs) (£bn) | 69.1 | 11.4 | 107.0 | 1.6 | 189.1 |
| RWA equivalent (RWAe) (£bn) | 69.9 | 11.4 | 108.0 | 1.9 | 191.2 |
| Employee numbers (FTEs - thousands) | 11.6 | 2.1 | 12.6 | 32.8 | 59.1 |
| Third party customer asset rate (1) | 4.40% | 4.66% | 5.88% | nm | nm |
| Third party customer funding rate (1) | (1.69%) | (2.61%) | (1.49%) | nm | nm |
| Average interest earning assets (£bn) (1) | 233.0 | 28.6 | 260.5 | na | 548.1 |
| Net interest margin (1) | 2.64% | 2.66% | 2.36% | na | 2.37% |
nm = not meaningful, na = not applicable.
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. |
|---|
| **NatWest Group** - Form 6-K Q3 2025 | 16 |
| --- | --- |
Segment performance continued
| Quarter ended 30 June 2025 | |||||
|---|---|---|---|---|---|
| Private Banking | |||||
| Retail | & Wealth | Commercial | Central items | Total NatWest | |
| Banking | Management | & Institutional | & other | Group | |
| £m | £m | £m | £m | £m | |
| Continuing operations | |||||
| Income statement **** | |||||
| Net interest income | 1,484 | 182 | 1,496 | (68) | 3,094 |
| Own credit adjustments | - | - | (3) | - | (3) |
| Other non-interest income | 110 | 92 | 654 | 58 | 914 |
| Total income **** | 1,594 | 274 | 2,147 | (10) | 4,005 |
| Direct expenses | (230) | (63) | (403) | (1,269) | (1,965) |
| Indirect expenses | (504) | (108) | (644) | 1,256 | - |
| Other operating expenses | (734) | (171) | (1,047) | (13) | (1,965) |
| Litigation and conduct costs | (8) | (1) | (60) | (5) | (74) |
| Operating expenses | (742) | (172) | (1,107) | (18) | (2,039) |
| Operating profit/(loss) before impairment losses | 852 | 102 | 1,040 | (28) | 1,966 |
| Impairment losses | (117) | - | (76) | - | (193) |
| Operating profit/(loss) | 735 | 102 | 964 | (28) | 1,773 |
| Total income excluding notable items (1) | 1,594 | 274 | 2,150 | (8) | 4,010 |
| Additional information | |||||
| Return on Tangible Equity (1) | na | na | na | na | 17.7% |
| Return on equity (1) | 23.2% | 22.5% | 17.9% | nm | na |
| Cost:income ratio (excl. litigation and conduct) (1) | 46.0% | 62.4% | 48.8% | nm | 49.1% |
| Total assets (£bn) | 238.6 | 29.1 | 414.9 | 48.2 | 730.8 |
| Funded assets (£bn) (1) | 238.6 | 29.1 | 343.1 | 47.0 | 657.8 |
| Net loans to customers - amortised cost (£bn) | 214.3 | 18.6 | 147.2 | 27.0 | 407.1 |
| Loan impairment rate (1) | 22bps | - | 20bps | nm | 19bps |
| Impairment provisions (£bn) | (1.9) | (0.1) | (1.7) | - | (3.7) |
| Impairment provisions - Stage 3 (£bn) | (1.1) | - | (1.1) | - | (2.2) |
| Customer deposits (£bn) | 196.6 | 41.3 | 197.9 | 1.0 | 436.8 |
| Risk-weighted assets (RWAs) (£bn) | 69.4 | 11.5 | 107.8 | 1.4 | 190.1 |
| RWA equivalent (RWAe) (£bn) | 70.0 | 11.5 | 108.8 | 2.0 | 192.3 |
| Employee numbers (FTEs - thousands) | 11.8 | 2.1 | 12.8 | 32.5 | 59.2 |
| Third party customer asset rate (1) | 4.32% | 4.74% | 6.00% | nm | nm |
| Third party customer funding rate (1) | (1.79%) | (2.74%) | (1.60%) | nm | nm |
| Average interest earning assets (£bn) (1) | 230.0 | 28.5 | 255.6 | na | 543.2 |
| Net interest margin (1) | 2.59% | 2.56% | 2.35% | na | 2.28% |
nm = not meaningful, na = not applicable.
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. |
|---|
| **NatWest Group** - Form 6-K Q3 2025 | 17 |
| --- | --- |
Segment performance continued
| Quarter ended 30 September 2024 | |||||
|---|---|---|---|---|---|
| Private Banking | |||||
| Retail | & Wealth | Commercial | Central items | Total NatWest | |
| Banking | Management | & Institutional | & other | Group | |
| £m | £m | £m | £m | £m | |
| Continuing operations | |||||
| Income statement **** | |||||
| Net interest income | 1,350 | 170 | 1,392 | (13) | 2,899 |
| Own credit adjustments | - | - | 2 | - | 2 |
| Other non-interest income | 109 | 83 | 677 | (26) | 843 |
| Total income **** | 1,459 | 253 | 2,071 | (39) | 3,744 |
| Direct expenses | (205) | (64) | (356) | (1,159) | (1,784) |
| Indirect expenses | (451) | (102) | (555) | 1,108 | - |
| Other operating expenses | (656) | (166) | (911) | (51) | (1,784) |
| Litigation and conduct costs | (3) | - | (34) | (4) | (41) |
| Operating expenses | (659) | (166) | (945) | (55) | (1,825) |
| Operating profit/(loss) before impairment losses/releases | 800 | 87 | 1,126 | (94) | 1,919 |
| Impairment (losses)/releases | (144) | 3 | (109) | 5 | (245) |
| Operating profit /(loss) | 656 | 90 | 1,017 | (89) | 1,674 |
| Total income excluding notable items (1) | 1,459 | 253 | 2,069 | (9) | 3,772 |
| Additional information | |||||
| Return on Tangible Equity (1) | na | na | na | na | 18.3% |
| Return on equity (1) | 21.4% | 19.7% | 19.9% | nm | na |
| Cost:income ratio (excl. litigation and conduct) (1) | 45.0% | 65.6% | 44.0% | nm | 47.6% |
| Total assets (£bn) | 231.1 | 27.3 | 398.7 | 54.8 | 711.9 |
| Funded assets (£bn) (1) | 231.1 | 27.3 | 331.1 | 53.7 | 643.2 |
| Net loans to customers - amortised cost (£bn) | 207.4 | 18.2 | 138.1 | 23.0 | 386.7 |
| Loan impairment rate (1) | 28bps | (7bps) | 31bps | nm | 25bps |
| Impairment provisions (£bn) | (1.9) | (0.1) | (1.6) | - | (3.6) |
| Impairment provisions - Stage 3 (£bn) | (1.1) | - | (1.0) | - | (2.1) |
| Customer deposits (£bn) | 192.0 | 39.7 | 195.7 | 3.7 | 431.1 |
| Risk-weighted assets (RWAs) (£bn) | 64.8 | 11.0 | 104.0 | 1.9 | 181.7 |
| RWA equivalent (RWAe) (£bn) | 65.3 | 11.0 | 105.3 | 2.4 | 184.0 |
| Employee numbers (FTEs - thousands) | 12.2 | 2.2 | 12.8 | 32.5 | 59.7 |
| Third party customer asset rate (1) | 4.09% | 5.01% | 6.67% | nm | nm |
| Third party customer funding rate (1) | (2.10%) | (3.16%) | (1.91%) | nm | nm |
| Average interest earning assets (£bn) (1) | 221.4 | 27.0 | 246.8 | na | 529.8 |
| Net interest margin (1) | 2.43% | 2.50% | 2.24% | na | 2.18% |
nm - not meaningful, na - not applicable
| (1) | Refer to the Non-IFRS financial measures appendix for details of the basis of preparation and reconciliation of non-IFRS financial<br>measures and performance metrics. |
|---|
| **NatWest Group** - Form 6-K Q3 2025 | 18 |
| --- | --- |
Risk andcapital management
Credit risk
Segmentanalysis – portfolio summary ****
The table below shows gross loans and ECL, by segment and stage, within the scope of the IFRS 9 ECL framework.
| 30 September 2025 | 31 December 2024 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Private Banking | Private Banking | |||||||||
| Retail | & Wealth | Commercial | Centralitems | Retail | & Wealth | Commercial | Central<br>items | |||
| Banking | Management | & Institutional | & other | Total | Banking | Management | & Institutional | & other | Total | |
| £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | |
| Loans - amortised cost and FVOCI **** (1,2) | ||||||||||
| Stage 1 | 189,140 | 17,619 | 138,333 | 35,504 | 380,596 | 182,366 | 17,155 | 128,988 | 35,312 | 363,821 |
| Stage 2 | 25,529 | 891 | 14,510 | 56 | 40,986 | 24,242 | 844 | 15,339 | 49 | 40,474 |
| Stage 3 | 3,068 | 372 | 2,286 | 2 | 5,728 | 3,268 | 322 | 2,340 | - | 5,930 |
| Of which: individual | - | 272 | 1,290 | - | 1,562 | - | 233 | 1,052 | - | 1,285 |
| Of which: collective | 3,068 | 100 | 996 | 2 | 4,166 | 3,268 | 89 | 1,288 | - | 4,645 |
| Total | 217,737 | 18,882 | 155,129 | 35,562 | 427,310 | 209,876 | 18,321 | 146,667 | 35,361 | 410,225 |
| ECL provisions **** (3) | ||||||||||
| Stage 1 | 346 | 14 | 263 | 14 | 637 | 279 | 16 | 289 | 14 | 598 |
| Stage 2 | 413 | 10 | 331 | 1 | 755 | 428 | 12 | 346 | 1 | 787 |
| Stage 3 | 1,179 | 45 | 1,100 | 1 | 2,325 | 1,063 | 36 | 941 | - | 2,040 |
| Of which: individual | - | 45 | 599 | - | 644 | - | 36 | 415 | - | 451 |
| Of which: collective | 1,179 | - | 501 | 1 | 1,681 | 1,063 | - | 526 | - | 1,589 |
| Total | 1,938 | 69 | 1,694 | 16 | 3,717 | 1,770 | 64 | 1,576 | 15 | 3,425 |
| ECL provisions coverage **** (4) | ||||||||||
| Stage 1 (%) | 0.18 | 0.08 | 0.19 | 0.04 | 0.17 | 0.15 | 0.09 | 0.22 | 0.04 | 0.16 |
| Stage 2 (%) | 1.62 | 1.12 | 2.28 | 1.79 | 1.84 | 1.77 | 1.42 | 2.26 | 2.04 | 1.94 |
| Stage 3 (%) | 38.43 | 12.10 | 48.12 | 50.00 | 40.59 | 32.53 | 11.18 | 40.21 | - | 34.40 |
| Total | 0.89 | 0.37 | 1.09 | 0.04 | 0.87 | 0.84 | 0.35 | 1.07 | 0.04 | 0.83 |
| (1) | The table shows gross loans only and excludes amounts that were outside the scope of the ECL framework. Other financial assets within<br>the scope of the IFRS 9 ECL framework were cash and balances at central banks totalling £83.5 billion (31 December 2024 –<br> £91.8 billion) and debt securities of £70.7 billion (31 December 2024 – £62.4 billion). | |||||||||
| --- | --- | |||||||||
| (2) | Fair value through other comprehensive income (FVOCI). Includes loans to customers and banks. | |||||||||
| --- | --- | |||||||||
| (3) | Includes £4 million (31 December 2024 – £4 million) related to assets classified as FVOCI and £0.1 billion<br>(31 December 2024 – £0.1 billion) related to off-balance sheet exposures. | |||||||||
| --- | --- | |||||||||
| (4) | ECL provisions coverage is calculated as ECL provisions, including ECL for other non-loan assets and unutilised exposure, divided<br>by loans – amortised cost and FVOCI. Some segments with a high proportion of debt securities or unutilised exposure may result in<br>a not meaningful (nm) coverage ratio. | |||||||||
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 19 |
| --- | --- |
Risk and capital management continued
Credit risk continued
Segmentanalysis - loans ****
| – | Retail Banking – Asset quality and arrears<br>rates remained stable and within expectations during the year. The overall 2025 increase in good book and total ECL coverage was largely<br>driven by the acquisition of the Sainsbury’s Bank portfolio earlier this year which, in conjunction with continued organic growth<br>on cards and personal loan portfolios, increased the unsecured portfolio mix. Good book coverage for Retail Banking remained stable, reflecting<br>portfolio arrears trends and no change to economic scenarios The good book ECL on credit cards reduced due to a decrease in exposure at<br>default on inaccessible limits. The reduction in the proportion of Stage 3 loans this year was influenced by both the acquisition of the<br>Sainsbury’s Bank portfolio on unsecured and an enhancement to the application of the definition of default used on mortgages. The<br>latter resulted in a £0.4 billion migration of loans from Stage 3 back to the good book. |
|---|---|
| – | Commercial & Institutional – Increased<br>coverage in the portfolio primarily reflected the impact of defaulted charges in the first half of the year, driven by a small number<br>of individual charges. Underlying default rates and total number of defaults remained subdued, reflecting overall stable portfolio performance.<br>Performing book ECL reduced in the year, in line with economic improvements and reductions in post model adjustments, even as total performing<br>book exposure increased. |
| --- | --- |
Movementin ECL provision
The table below shows the main ECL provision movements during the year.
| ECL provision | |
|---|---|
| £m | |
| At 1 January 2025 | 3,425 |
| Acquisitions | 81 |
| Changes in economic forecasts | 10 |
| Changes in risk metrics and exposure: Stage 1 and Stage 2 | (20) |
| Changes in risk metrics and exposure: Stage 3 | 564 |
| Judgemental changes: changes in post model adjustments for Stage 1, | |
| Stage 2 and Stage 3 | (71) |
| Write-offs and other | (272) |
| At 30 September 2025 | 3,717 |
| – | For the nine months to 30 September 2025, overall ECL<br>increased following Non-Personal Stage 3 charges and an increase in good book ECL in the Personal portfolio, driven by the Sainsbury’s<br>Bank portfolio acquisition. |
| --- | --- |
| – | For the Non-Personal portfolio, ECL increased this year<br>from Stage 3 charges, driven by a small number of individual charges in the Commercial & Institutional portfolio. This was partially<br>offset by post model adjustment releases in the good book. |
| --- | --- |
| – | In the Personal portfolios, default inflows were broadly<br>stable for the nine months to 30 September 2025. However, Stage 3 ECL increased year-to-date on all unsecured portfolios, with reduced<br>debt sale activity. In 2025, there was a reduction of Stage 3 ECL on mortgages related to an enhancement to the application of the definition<br>of default, resulting in a £0.4 billion migration of loans from Stage 3 to the good book. |
| --- | --- |
| – | Judgemental ECL post model adjustments decreased this year<br>to £265 million (31 December 2024 – £336 million) representing 7.1% of total ECL (31 December 2024 –<br>9.8%). This reflected revisions to the Retail Banking cost of living post model adjustment after regular back-testing, and Non-Personal<br>portfolio improvements in underlying risk profile. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 20 |
| --- | --- |
Risk and capital management continued
Credit risk continued
ECLpost model adjustments
The table below shows ECL post model adjustments.
| Private Banking | ||||||
|---|---|---|---|---|---|---|
| Retail Banking | & Wealth | Commercial | ||||
| Mortgages | Other | **** Management | **** & Institutional | Total | ||
| 30 September 2025 | £m | m | £m | £m | £m | |
| Deferred model | ||||||
| calibrations | - | - | 1 | 13 | 14 | |
| Economic uncertainty | 55 | 31 | 8 | 139 | 233 | |
| Other adjustments | - | - | - | 18 | 18 | |
| Total | 55 | 31 | 9 | 170 | 265 | |
| Of which: | ||||||
| - Stage 1 | 40 | 13 | 4 | 73 | 130 | |
| - Stage 2 | 15 | 18 | 5 | 97 | 135 | |
| - Stage 3 | - | - | - | - | - | |
| 31<br> December 2024 | ||||||
| Deferred model | ||||||
| calibrations | - | - | 1 | 18 | 19 | |
| Economic uncertainty | 90 | 22 | 8 | 179 | 299 | |
| Other<br> adjustments | - | - | - | 18 | 18 | |
| Total | 90 | 22 | 9 | 215 | 336 | |
| Of which: | ||||||
| - Stage 1 | 58 | 9 | 5 | 94 | 166 | |
| - Stage 2 | 26 | 13 | 4 | 119 | 162 | |
| - Stage 3 | 6 | - | - | 2 | 8 |
All values are in British Pounds.
Post model adjustments reduced since 31 December 2024, reflecting updates to post model adjustment parameters.
| – | Retail Banking – As at 30 September 2025,<br>the post model adjustment for economic uncertainty decreased to £86 million (31 December 2024 – £112 million).<br>This reduction was driven by a revision to the cost of living post model adjustment, which now stands at £86 million (31 December 2024<br> – £105 million), and is the sole remaining economic uncertainty post model adjustment. This change was based on a review of<br>back-testing. Despite ongoing economic and geopolitical uncertainty, the Retail Banking portfolios demonstrated resilience, supported<br>by a robust risk appetite. The cost of living post model adjustment continued to address the risk in segments of the Retail Banking portfolio<br>that were more susceptible to affordability challenges. It focused on key affordability factors, including lower income customers in fuel<br>poverty, over-indebted borrowers, and customers vulnerable to higher mortgage rates. |
|---|---|
| – | Commercial & Institutional – As at<br>30 September 2025, the post model adjustment for economic uncertainty decreased to £139 million (31 December 2024 –<br> £179 million). The inflation, supply chain and liquidity post model adjustment of £123 million (31 December 2024 –<br> £150 million) for lending prior to 1 January 2024, remained the largest component of this adjustment. Downgrades to risk profiles<br>were applied to the sectors that were considered most at risk from the current economic and geopolitical headwinds, with the level of<br>downgrade reviewed to ensure the latest risks were appropriately captured. The £27 million decrease reflected improved risk metrics<br>along with reduced exposure in the portfolio subject to the adjustment, through either repayment or default. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 21 |
| --- | --- |
Risk and capital management continued
Credit risk continued
Sectoranalysis – portfolio summary ****
The table below shows financial assets and off-balance sheet exposures gross of ECL and related ECL provisions, impairment and past due by sector, asset quality and geographical region.
| Personal | Non-Personal | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Credit | Other | Corporateand | Financial | ||||||
| Mortgages (1) | **** cards | personal | Total | other | institutions | Sovereign | Total | Total | |
| 30 September 2025 | £m | £m | £m | £m | £m | £m | £m | £m | £m |
| Loans by geography | 215,140 | 8,275 | 11,447 | 234,862 | 115,024 | 76,100 | 1,324 | 192,448 | 427,310 |
| - UK | 215,128 | 8,275 | 11,447 | 234,850 | 99,727 | 48,581 | 491 | 148,799 | 383,649 |
| - Other Europe | 12 | - | - | 12 | 6,694 | 13,989 | 369 | 21,052 | 21,064 |
| - RoW | - | - | - | - | 8,603 | 13,530 | 464 | 22,597 | 22,597 |
| Loans by asset quality **** (2) **** | 215,140 | 8,275 | 11,447 | 234,862 | 115,024 | 76,100 | 1,324 | 192,448 | 427,310 |
| - AQ1-AQ4 | 118,453 | 124 | 887 | 119,464 | 44,200 | 70,744 | 913 | 115,857 | 235,321 |
| - AQ5-AQ8 | 93,366 | 7,796 | 9,353 | 110,515 | 68,382 | 5,217 | 129 | 73,728 | 184,243 |
| - AQ9 | 1,163 | 130 | 204 | 1,497 | 251 | 3 | 265 | 519 | 2,016 |
| - AQ10 | 2,158 | 225 | 1,003 | 3,386 | 2,191 | 136 | 17 | 2,344 | 5,730 |
| Loans by stage **** | 215,140 | 8,275 | 11,447 | 234,862 | 115,024 | 76,100 | 1,324 | 192,448 | 427,310 |
| - Stage 1 | 190,571 | 6,046 | 8,966 | 205,583 | 98,545 | 75,427 | 1,041 | 175,013 | 380,596 |
| - Stage 2 | 22,408 | 2,004 | 1,478 | 25,890 | 14,293 | 537 | 266 | 15,096 | 40,986 |
| - Stage 3 | 2,161 | 225 | 1,003 | 3,389 | 2,186 | 136 | 17 | 2,339 | 5,728 |
| - Of which: individual | 154 | 1 | 26 | 181 | 1,241 | 123 | 17 | 1,381 | 1,562 |
| - Of which: collective | 2,007 | 224 | 977 | 3,208 | 945 | 13 | - | 958 | 4,166 |
| Loans - past due analysis | 215,140 | 8,275 | 11,447 | 234,862 | 115,024 | 76,100 | 1,324 | 192,448 | 427,310 |
| - Not past due | 211,764 | 7,987 | 10,421 | 230,172 | 111,908 | 75,826 | 1,307 | 189,041 | 419,213 |
| - Past due 1-30 days | 1,614 | 64 | 76 | 1,754 | 1,869 | 150 | - | 2,019 | 3,773 |
| - Past due 31-90 days | 581 | 74 | 108 | 763 | 380 | 9 | 17 | 406 | 1,169 |
| - Past due 91-180 days | 409 | 55 | 104 | 568 | 105 | 65 | - | 170 | 738 |
| - Past due >180 days | 772 | 95 | 738 | 1,605 | 762 | 50 | - | 812 | 2,417 |
| Loans - Stage 2 | 22,408 | 2,004 | 1,478 | 25,890 | 14,293 | 537 | 266 | 15,096 | 40,986 |
| - Not past due | 20,992 | 1,915 | 1,368 | 24,275 | 13,449 | 532 | 266 | 14,247 | 38,522 |
| - Past due 1-30 days | 1,142 | 37 | 39 | 1,218 | 579 | 3 | - | 582 | 1,800 |
| - Past due 31-90 days | 274 | 52 | 71 | 397 | 265 | 2 | - | 267 | 664 |
| Weighted average life **** | |||||||||
| - ECL measurement (years) | 9 | 4 | 6 | 5 | 7 | 4 | nm | 7 | 6 |
| Weighted average 12 months PDs | |||||||||
| - IFRS 9 (%) | 0.44 | 3.46 | 4.68 | 0.70 | 1.13 | 0.16 | 9.34 | 0.80 | 0.75 |
| - Basel (%) | 0.66 | 3.87 | 3.35 | 0.87 | 1.06 | 0.15 | 9.34 | 0.75 | 0.82 |
| ECL provisions by geography | 377 | 469 | 1,134 | 1,980 | 1,564 | 149 | 24 | 1,737 | 3,717 |
| - UK | 376 | 469 | 1,134 | 1,979 | 1,389 | 99 | 12 | 1,500 | 3,479 |
| - Other Europe | 1 | - | - | 1 | 115 | 9 | - | 124 | 125 |
| - RoW | - | - | - | - | 60 | 41 | 12 | 113 | 113 |
For the notes to this table refer to page 25.
| **NatWest Group** - Form 6-K Q3 2025 | 22 |
| --- | --- |
Risk and capital management continued
Credit risk continued
Sectoranalysis – portfolio summary continued
| Personal | Non-Personal | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Credit | Other | Corporate and | Financial | ||||||
| Mortgages (1) | **** cards | personal | Total | other | institutions | Sovereign | Total | Total | |
| 30 September 2025 | £m | £m | £m | £m | £m | £m | £m | £m | £m |
| ECL provisions by stage **** | 377 | 469 | 1,134 | 1,980 | 1,564 | 149 | 24 | 1,737 | 3,717 |
| - Stage 1 | 55 | 121 | 175 | 351 | 235 | 38 | 13 | 286 | 637 |
| - Stage 2 | 46 | 185 | 184 | 415 | 326 | 9 | 5 | 340 | 755 |
| - Stage 3 | 276 | 163 | 775 | 1,214 | 1,003 | 102 | 6 | 1,111 | 2,325 |
| - Of which: individual | 14 | 1 | 13 | 28 | 511 | 99 | 6 | 616 | 644 |
| - Of which: collective | 262 | 162 | 762 | 1,186 | 492 | 3 | - | 495 | 1,681 |
| ECL provisions coverage (%) | 0.18 | 5.67 | 9.91 | 0.84 | 1.36 | 0.20 | 1.81 | 0.90 | 0.87 |
| - Stage 1 (%) | 0.03 | 2.00 | 1.95 | 0.17 | 0.24 | 0.05 | 1.25 | 0.16 | 0.17 |
| - Stage 2 (%) | 0.21 | 9.23 | 12.45 | 1.60 | 2.28 | 1.68 | 1.88 | 2.25 | 1.84 |
| - Stage 3 (%) | 12.77 | 72.44 | 77.27 | 35.82 | 45.88 | 75.00 | 35.29 | 47.50 | 40.59 |
| Loans by residual maturity | 215,140 | 8,275 | 11,447 | 234,862 | 115,024 | 76,100 | 1,324 | 192,448 | 427,310 |
| - ≤1 year | 2,115 | 2,515 | 2,969 | 7,599 | 32,738 | 55,837 | 362 | 88,937 | 96,536 |
| - >1 and ≤5 year | 8,555 | 5,760 | 6,800 | 21,115 | 50,610 | 15,618 | 516 | 66,744 | 87,859 |
| - >5 and ≤15 year | 42,899 | - | 1,674 | 44,573 | 23,154 | 4,510 | 288 | 27,952 | 72,525 |
| - >15 year | 161,571 | - | 4 | 161,575 | 8,522 | 135 | 158 | 8,815 | 170,390 |
| Other financial assets by asset quality **** (2) | - | - | - | - | 4,440 | 25,091 | 124,670 | 154,201 | 154,201 |
| - AQ1-AQ4 | - | - | - | - | 4,386 | 24,996 | 124,670 | 154,052 | 154,052 |
| - AQ5-AQ8 | - | - | - | - | 54 | 95 | - | 149 | 149 |
| Off-balance sheet | 15,073 | 23,265 | 7,666 | 46,004 | 76,836 | 21,560 | 491 | 98,887 | 144,891 |
| - Loan commitments | 15,073 | 23,265 | 7,629 | 45,967 | 73,984 | 20,073 | 491 | 94,548 | 140,515 |
| - Financial guarantees | - | - | 37 | 37 | 2,852 | 1,487 | - | 4,339 | 4,376 |
| Off-balance sheet by asset quality **** (2) | 15,073 | 23,265 | 7,666 | 46,004 | 76,836 | 21,560 | 491 | 98,887 | 144,891 |
| - AQ1-AQ4 | 14,212 | 471 | 6,222 | 20,905 | 48,850 | 19,679 | 100 | 68,629 | 89,534 |
| - AQ5-AQ8 | 850 | 22,701 | 1,401 | 24,952 | 27,599 | 1,837 | 15 | 29,451 | 54,403 |
| - AQ9 | - | 12 | 14 | 26 | 17 | - | 376 | 393 | 419 |
| - AQ10 | 11 | 81 | 29 | 121 | 370 | 44 | - | 414 | 535 |
For the notes to this table refer to page 25.
| **NatWest Group** - Form 6-K Q3 2025 | 23 |
| --- | --- |
Risk and capital management continued
Credit risk continued
Sectoranalysis – portfolio summary continued
| Personal | Non-Personal | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Credit | Other | Corporate<br>and | Financial | ||||||
| Mortgages (1) | cards | personal | Total | other | institutions | Sovereign | Total | Total | |
| 31 December 2024 | £m | £m | £m | £m | £m | £m | £m | £m | £m |
| Loans by geography | 209,846 | 6,930 | 9,749 | 226,525 | 111,734 | 70,321 | 1,645 | 183,700 | 410,225 |
| - UK | 209,846 | 6,930 | 9,749 | 226,525 | 97,409 | 43,412 | 562 | 141,383 | 367,908 |
| - Other Europe | - | - | - | - | 6,311 | 14,747 | 766 | 21,824 | 21,824 |
| - RoW | - | - | - | - | 8,014 | 12,162 | 317 | 20,493 | 20,493 |
| Loans by asset quality **** (2) **** | 209,846 | 6,930 | 9,749 | 226,525 | 111,734 | 70,321 | 1,645 | 183,700 | 410,225 |
| - AQ1-AQ4 | 113,209 | 128 | 818 | 114,155 | 43,918 | 65,078 | 1,365 | 110,361 | 224,516 |
| - AQ5-AQ8 | 92,946 | 6,516 | 7,880 | 107,342 | 65,231 | 5,172 | 127 | 70,530 | 177,872 |
| - AQ9 | 1,156 | 110 | 191 | 1,457 | 306 | 12 | 132 | 450 | 1,907 |
| - AQ10 | 2,535 | 176 | 860 | 3,571 | 2,279 | 59 | 21 | 2,359 | 5,930 |
| Loans by stage | 209,846 | 6,930 | 9,749 | 226,525 | 111,734 | 70,321 | 1,645 | 183,700 | 410,225 |
| - Stage 1 | 186,250 | 4,801 | 7,267 | 198,318 | 94,991 | 69,021 | 1,491 | 165,503 | 363,821 |
| - Stage 2 | 21,061 | 1,953 | 1,622 | 24,636 | 14,464 | 1,241 | 133 | 15,838 | 40,474 |
| - Stage 3 | 2,535 | 176 | 860 | 3,571 | 2,279 | 59 | 21 | 2,359 | 5,930 |
| - Of which: individual | 141 | - | 26 | 167 | 1,046 | 51 | 21 | 1,118 | 1,285 |
| - Of which: collective | 2,394 | 176 | 834 | 3,404 | 1,233 | 8 | - | 1,241 | 4,645 |
| Loans - past due analysis | 209,846 | 6,930 | 9,749 | 226,525 | 111,734 | 70,321 | 1,645 | 183,700 | 410,225 |
| - Not past due | 206,739 | 6,721 | 8,865 | 222,325 | 107,855 | 70,055 | 1,627 | 179,537 | 401,862 |
| - Past due 1-30 days | 1,404 | 50 | 70 | 1,524 | 2,530 | 211 | - | 2,741 | 4,265 |
| - Past due 31-90 days | 580 | 51 | 99 | 730 | 398 | 2 | 18 | 418 | 1,148 |
| - Past due 91-180 days | 408 | 41 | 96 | 545 | 139 | 49 | - | 188 | 733 |
| - Past due >180 days | 715 | 67 | 619 | 1,401 | 812 | 4 | - | 816 | 2,217 |
| Loans - Stage 2 | 21,061 | 1,953 | 1,622 | 24,636 | 14,464 | 1,241 | 133 | 15,838 | 40,474 |
| - Not past due | 19,939 | 1,889 | 1,521 | 23,349 | 13,485 | 1,228 | 133 | 14,846 | 38,195 |
| - Past due 1-30 days | 853 | 31 | 37 | 921 | 640 | 11 | - | 651 | 1,572 |
| - Past due 31-90 days | 269 | 33 | 64 | 366 | 339 | 2 | - | 341 | 707 |
| Weighted average life | |||||||||
| - ECL measurement (years) | 8 | 4 | 6 | 6 | 6 | 2 | nm | 6 | 6 |
| Weighted average 12 months PDs | |||||||||
| - IFRS 9 (%) | 0.51 | 3.23 | 4.59 | 0.76 | 1.24 | 0.16 | 5.51 | 0.86 | 0.80 |
| - Basel (%) | 0.68 | 3.65 | 3.18 | 0.87 | 1.11 | 0.15 | 4.16 | 0.76 | 0.82 |
| ECL provisions by geography | 462 | 381 | 969 | 1,812 | 1,504 | 90 | 19 | 1,613 | 3,425 |
| - UK | 462 | 381 | 969 | 1,812 | 1,335 | 37 | 12 | 1,384 | 3,196 |
| - Other Europe | - | - | - | - | 109 | 9 | - | 118 | 118 |
| - RoW | - | - | - | - | 60 | 44 | 7 | 111 | 111 |
For the notes to this table refer to the following page.
| **NatWest Group** - Form 6-K Q3 2025 | 24 |
| --- | --- |
Risk and capital management continued
Credit risk continued
Sector analysis –portfolio summary continued
| Personal | Non-Personal | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Credit | Other | Corporate<br> and | Financial | ||||||
| Mortgages (1) | cards | personal | Total | other | institutions | Sovereign | Total | Total | |
| 31 December 2024 | £m | £m | £m | £m | £m | £m | £m | £m | £m |
| ECL provisions by stage **** | 462 | 381 | 969 | 1,812 | 1,504 | 90 | 19 | 1,613 | 3,425 |
| - Stage 1 | 77 | 77 | 130 | 284 | 264 | 38 | 12 | 314 | 598 |
| - Stage 2 | 60 | 186 | 183 | 429 | 344 | 12 | 2 | 358 | 787 |
| - Stage 3 | 325 | 118 | 656 | 1,099 | 896 | 40 | 5 | 941 | 2,040 |
| - Of which: individual | 11 | - | 17 | 28 | 382 | 36 | 5 | 423 | 451 |
| - Of which: collective | 314 | 118 | 639 | 1,071 | 514 | 4 | - | 518 | 1,589 |
| ECL provisions coverage **** (%) | 0.22 | 5.50 | 9.94 | 0.80 | 1.35 | 0.13 | 1.16 | 0.88 | 0.83 |
| - Stage 1 (%) | 0.04 | 1.60 | 1.79 | 0.14 | 0.28 | 0.06 | 0.80 | 0.19 | 0.16 |
| - Stage 2 (%) | 0.28 | 9.52 | 11.28 | 1.74 | 2.38 | 0.97 | 1.50 | 2.26 | 1.94 |
| - Stage 3 (%) | 12.82 | 67.05 | 76.28 | 30.78 | 39.32 | 67.80 | 23.81 | 39.89 | 34.40 |
| Loans by residual maturity | 209,846 | 6,930 | 9,749 | 226,525 | 111,734 | 70,321 | 1,645 | 183,700 | 410,225 |
| - ≤1 year | 3,367 | 3,903 | 3,186 | 10,456 | 34,929 | 54,971 | 822 | 90,722 | 101,178 |
| - >1 and ≤5 year | 11,651 | 3,027 | 5,551 | 20,229 | 48,075 | 10,967 | 488 | 59,530 | 79,759 |
| - >5 and ≤15 year | 45,454 | - | 1,006 | 46,460 | 20,623 | 4,270 | 298 | 25,191 | 71,651 |
| - >15 year | 149,374 | - | 6 | 149,380 | 8,107 | 113 | 37 | 8,257 | 157,637 |
| Other financial assets by asset quality **** (2) | - | - | - | - | 3,644 | 31,102 | 119,502 | 154,248 | 154,248 |
| - AQ1-AQ4 | - | - | - | - | 3,639 | 30,743 | 119,502 | 153,884 | 153,884 |
| - AQ5-AQ8 | - | - | - | - | 5 | 359 | - | 364 | 364 |
| Off-balance sheet | 13,806 | 20,135 | 7,947 | 41,888 | 75,964 | 21,925 | 239 | 98,128 | 140,016 |
| - Loan commitments | 13,806 | 20,135 | 7,906 | 41,847 | 72,940 | 20,341 | 239 | 93,520 | 135,367 |
| - Financial guarantees | - | - | 41 | 41 | 3,024 | 1,584 | - | 4,608 | 4,649 |
| Off-balance sheet by asset quality **** (2) | 13,806 | 20,135 | 7,947 | 41,888 | 75,964 | 21,925 | 239 | 98,128 | 140,016 |
| - AQ1-AQ4 | 12,951 | 510 | 6,568 | 20,029 | 47,896 | 20,063 | 155 | 68,114 | 88,143 |
| - AQ5-AQ8 | 839 | 19,276 | 1,336 | 21,451 | 27,657 | 1,813 | 21 | 29,491 | 50,942 |
| - AQ9 | 1 | 12 | 17 | 30 | 19 | - | 63.0 | 82 | 112 |
| - AQ10 | 15 | 337 | 26 | 378 | 392 | 49 | - | 441 | 819 |
| (1) | Includes a portion of Private Banking & Wealth Management lending<br> secured against residential real estate, in line with ECL calculation methodology. Private<br> Banking & Wealth Management and RBS International mortgages are reported in UK,<br> reflecting the country of lending origination and includes crown dependencies. | ||||||||
| --- | --- | ||||||||
| (2) | AQ bandings are based on Basel PDs and mapping is as follows: | ||||||||
| Internal<br> asset quality band | Probability<br> of default range | Indicative<br> S&P rating | Internal<br> asset quality band | Probability<br> of default range | Indicative<br> S&P rating | ||||
| --- | --- | --- | --- | --- | --- | ||||
| AQ1 | 0% - 0.034% | AAA to AA | AQ6 | 1.076% - 2.153% | BB- to B+ | ||||
| AQ2 | 0.034% - 0.048% | AA to AA- | AQ7 | 2.153% - 6.089% | B+ to B | ||||
| AQ3 | 0.048% - 0.095% | A+ to A | AQ8 | 6.089% - 17.222% | B- to CCC+ | ||||
| AQ4 | 0.095% - 0.381% | BBB+ to BBB- | AQ9 | 17.222% - 100% | CCC to C | ||||
| AQ5 | 0.381% - 1.076% | BB+ to BB | AQ10 | 100% | D |
| **NatWest Group** - Form 6-K Q3 2025 | 25 |
| --- | --- |
Risk and capital management continued
Credit risk continued
Sectoranalysis – portfolio summary continued
The table below shows ECL by stage, for the Personal portfolio and Non-Personal portfolio, including the three largest borrowing sector clusters included in Corporate and other.
| Loans - amortised cost and FVOCI | Off-balance sheet **** | ECL provisions | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Loan | Contingent | |||||||||
| Stage 1 | Stage 2 | Stage 3 | Total | commitments | liabilities | Stage 1 | Stage 2 | Stage 3 | Total | |
| 30 September 2025 | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m |
| Personal | 205,583 | 25,890 | 3,389 | 234,862 | 45,967 | 37 | 351 | 415 | 1,214 | 1,980 |
| Mortgages (1) | 190,571 | 22,408 | 2,161 | 215,140 | 15,073 | - | 55 | 46 | 276 | 377 |
| Credit<br> cards | 6,046 | 2,004 | 225 | 8,275 | 23,265 | - | 121 | 185 | 163 | 469 |
| Other<br> personal | 8,966 | 1,478 | 1,003 | 11,447 | 7,629 | 37 | 175 | 184 | 775 | 1,134 |
| Non-Personal | 175,013 | 15,096 | 2,339 | 192,448 | 94,548 | 4,339 | 286 | 340 | 1,111 | 1,737 |
| Financial<br> institutions (2) | 75,427 | 537 | 136 | 76,100 | 20,073 | 1,487 | 38 | 9 | 102 | 149 |
| Sovereign | 1,041 | 266 | 17 | 1,324 | 491 | - | 13 | 5 | 6 | 24 |
| Corporate<br> and other | 98,545 | 14,293 | 2,186 | 115,024 | 73,984 | 2,852 | 235 | 326 | 1,003 | 1,564 |
| Of which: | ||||||||||
| Commercial real estate | 17,277 | 1,372 | 344 | 18,993 | 6,590 | 160 | 61 | 26 | 135 | 222 |
| Mobility and logistics | 14,997 | 1,989 | 105 | 17,091 | 9,808 | 498 | 26 | 34 | 43 | 103 |
| Consumer industries | 12,755 | 2,686 | 414 | 15,855 | 11,330 | 534 | 34 | 72 | 208 | 314 |
| Total | 380,596 | 40,986 | 5,728 | 427,310 | 140,515 | 4,376 | 637 | 755 | 2,325 | 3,717 |
| 31<br> December 2024 | ||||||||||
| Personal | 198,318 | 24,636 | 3,571 | 226,525 | 41,847 | 41 | 284 | 429 | 1,099 | 1,812 |
| Mortgages (1) | 186,250 | 21,061 | 2,535 | 209,846 | 13,806 | - | 77 | 60 | 325 | 462 |
| Credit<br> cards | 4,801 | 1,953 | 176 | 6,930 | 20,135 | - | 77 | 186 | 118 | 381 |
| Other<br> personal | 7,267 | 1,622 | 860 | 9,749 | 7,906 | 41 | 130 | 183 | 656 | 969 |
| Non-Personal | 165,503 | 15,838 | 2,359 | 183,700 | 93,520 | 4,608 | 314 | 358 | 941 | 1,613 |
| Financial<br> institutions (2) | 69,021 | 1,241 | 59 | 70,321 | 20,341 | 1,584 | 38 | 12 | 40 | 90 |
| Sovereign | 1,491 | 133 | 21 | 1,645 | 239 | - | 12 | 2 | 5 | 19 |
| Corporate<br> and other | 94,991 | 14,464 | 2,279 | 111,734 | 72,940 | 3,024 | 264 | 344 | 896 | 1,504 |
| Of which: | ||||||||||
| Commercial real estate | 16,191 | 1,517 | 433 | 18,141 | 6,661 | 143 | 70 | 30 | 146 | 246 |
| Mobility and logistics | 13,363 | 2,384 | 148 | 15,895 | 9,367 | 595 | 26 | 35 | 67 | 128 |
| Consumer industries | 13,312 | 3,015 | 444 | 16,771 | 10,706 | 595 | 45 | 90 | 188 | 323 |
| Total | 363,821 | 40,474 | 5,930 | 410,225 | 135,367 | 4,649 | 598 | 787 | 2,040 | 3,425 |
| (1) | As at 30 September 2025, £141.8 billion, 65.9%, of the total<br> residential mortgages portfolio had Energy Performance Certificate (EPC) data available (31<br> December 2024 – £139.1 billion, 66.3%). Of which, 48.3% were rated as EPC<br> A to C (31 December 2024 – 46.3%). | |||||||||
| --- | --- | |||||||||
| (2) | Includes transactions, such as securitisations, where the underlying<br> risk may be in other sectors. |
| **NatWest Group** - Form 6-K Q3 2025 | 26 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk
Introduction****
NatWest Group takes a comprehensive approach to the management of capital, liquidity and funding, underpinned by frameworks, risk appetite and policies, to manage and mitigate capital, liquidity and funding risks. The framework ensures the tools and capability are in place to facilitate the management and mitigation of risk ensuring that NatWest Group operates within its regulatory requirements and risk appetite.
Key developments since 31December 2024
| CET1 ratio<br><br> <br>14.2%<br><br> <br>(2024<br> - 13.6%) | The CET1 ratio increased by 60 basis points to 14.2% due to<br> a £1.8 billion increase in CET1 capital offset by a £5.9 billion increase in RWAs.<br><br> <br><br><br> <br>The CET1 capital increase was mainly driven by an attributable<br> profit to ordinary shareholders of £3.3 billion (net of ordinary interim dividend paid) and other movements on reserves and<br> regulatory adjustments of £0.5 billion partially offset by a share buyback of £0.8 billion and a foreseeable ordinary<br> dividend accrual of £1.3 billion. |
|---|---|
| RWAs<br><br> <br>£189.1bn<br><br> <br>(2024<br> - £183.2bn) | Total RWAs increased by £5.9 billion to £189.1 billion<br> reflecting:<br><br> <br><br><br> <br>– an<br>increase in credit risk RWAs of £3.8 billion, primarily driven by lending growth, balances acquired from Sainsbury's Bank and CRD<br>IV model updates. These increases were partially offset by, reductions as a result of RWA management actions, movements in risk metrics<br>and the impact of foreign exchange movements.<br><br> <br><br><br><br><br> <br>– an<br>increase in operational risk RWAs of £2.2 billion following the annual recalculation.<br><br> <br><br><br><br><br> <br>– an<br> increase in counterparty credit risk RWAs of £0.3 billion driven by an increase in securities financing transactions and over-the-counter<br> transactions under the IMM approach.<br><br> <br><br><br><br><br> <br>– a<br> decrease in market risk RWAs of £0.4 billion, driven by the IRC, reflecting changes in government bond positions and RNIV. |
| UK leverage ratio<br><br> <br>5.0%<br><br> <br>(2024<br> - 5.0%) | The<br> leverage ratio remained stable at 5.0% due to a £2.4 billion increase in Tier 1 capital offset by a £41.4 billion increase<br> in leverage exposure. The key drivers in the leverage exposure were an increase in other financial assets, trading assets, net settlement<br> balances and other off balance sheet items. |
| MREL ratio<br><br> <br>33.3%<br><br> <br>(2024<br> - 33.0%) | The Minimum Requirements of own funds and Eligible Liabilities<br> (MREL) ratio increased by 30 basis points driven by a £2.5 billion increase in MREL partially offset by a £5.9 billion<br> increase in RWAs.<br><br> <br><br><br> <br>MREL increased to £62.9 billion driven by a £1.8<br> billion increase in CET1 capital, a £0.5 billion increase in Additional Tier 1 capital, a £0.2 billion decrease in Tier<br> 2 capital, and a £0.3 billion increase in senior unsecured debt. Additional Tier 1 and Tier 2 capital movements were driven<br> by issuance and redemptions in the period. The senior unsecured debt movement was driven by issuance and redemptions totalling £2.1<br> billion partially offset by a $1.5 billion debt instrument no longer being MREL eligible and foreign exchange movements of £0.7<br> billion. |
| --- | --- |
| Liquidity portfolio<br><br> <br>£239.1bn<br><br> <br>(2024<br> - £222.3bn) | The liquidity portfolio increased by £16.8 billion to £239.1 billion compared with Q4 2024. Primary liquidity decreased by £2.0 billion to £159.0 billion, driven by higher lending (including balances acquired from Sainsbury’s Bank), partially offset by increased issuance. Secondary liquidity increased by £18.8 billion due to increase in pre-positioned collateral at the Bank of England. |
| LCR average<br><br> <br>148%<br><br> <br>(2024<br> - 151%) | The average Liquidity Coverage Ratio (LCR) decreased by 3 percentage points to 148%, during 2025, driven by increased lending. |
| NSFR average<br><br> <br>135%<br><br> <br>(2024<br> - 137%) | The average Net Stable Funding Ratio (NSFR) decreased by 2 basis points to 135% during 2025 driven by increased lending. |
| **NatWest Group** - Form 6-K Q3 2025 | 27 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk continued
Maximum Distributable Amount(MDA) and Minimum Capital Requirements ****
NatWest Group is subject to minimum capital requirements relative to RWAs. The table below summarises the minimum capital requirements (the sum of Pillar 1 and Pillar 2A), and the additional capital buffers which are held in excess of the regulatory minimum requirements and are usable in stress.
Where the CET1 ratio falls below the sum of the minimum capital and the combined buffer requirement, there is a subsequent automatic restriction on the amount available to service discretionary payments (including AT1 coupons), known as the MDA. Note that different capital requirements apply to individual legal entities or sub-groups and that the table shown does not reflect any incremental PRA buffer requirements, which are not disclosable.
The current capital position provides significant headroom above both NatWest Group’s minimum requirements and its MDA threshold requirements.
| Type | CET1 | Total Tier 1 **** | Total capital |
|---|---|---|---|
| Pillar<br> 1 requirements | 4.5% | 6.0% | 8.0% |
| Pillar<br> 2A requirements | 1.6% | 2.1% | 2.9% |
| Minimum<br> Capital Requirements | 6.1% | 8.1% | 10.9% |
| Capital<br> conservation buffer | 2.5% | 2.5% | 2.5% |
| Countercyclical<br> capital buffer (1) | 1.7% | 1.7% | 1.7% |
| MDA<br> threshold (2) | 10.3% | n/a | n/a |
| Overall<br> capital requirement | 10.3% | 12.3% | 15.1% |
| Capital<br> ratios at 30 September 2025 | 14.2% | 17.2% | 20.2% |
| Headroom (3,4) | 3.9% | 4.9% | 5.1% |
| (1) | The UK countercyclical buffer (CCyB) rate is currently being maintained<br> at 2%. This may vary in either direction in the future subject to how risks develop. Foreign<br> exposures may be subject to different CCyB rates depending on the rate set in those jurisdictions. | ||
| --- | --- | ||
| (2) | Pillar 2A requirements for NatWest Group are set as a variable amount<br> with the exception of some fixed add-ons. | ||
| (3) | The headroom does not reflect excess distributable capital and may vary<br> over time. | ||
| (4) | Headroom as at 31 December 2024 was CET1 3.1%, Total Tier 1 3.9%<br> and Total Capital 4.3%. |
Leverage ratios
The table below summarises the minimum ratios of capital to leverage exposure under the binding PRA UK leverage framework applicable for NatWest Group.
| Type | CET1 | Total Tier 1 |
|---|---|---|
| Minimum<br> ratio | 2.44% | 3.25% |
| Countercyclical<br> leverage ratio buffer (1) | 0.6% | 0.6% |
| Total | 3.04% | 3.85% |
| (1) | The countercyclical leverage ratio buffer is set at 35% of NatWest Group’s<br> CCyB. | |
| --- | --- |
Liquidity and funding ratios
The table below summarises the minimum requirements for key liquidity and funding metrics under the PRA framework.
| Type | |
|---|---|
| Liquidity<br> Coverage Ratio (LCR) | 100% |
| Net<br> Stable Funding Ratio (NSFR) | 100% |
| **NatWest Group** - Form 6-K Q3 2025 | 28 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk continued
Capital and leverage ratios****
The tables below show key prudential metrics calculated in accordance with current PRA rules.
| 30 September | 30<br> June | 31<br> December | |
|---|---|---|---|
| 2025 | 2025 | 2024 | |
| Capital adequacy ratios **** (1) | % | % | % |
| CET1 | 14.2 | 13.6 | 13.6 |
| Tier 1 | 17.2 | 16.7 | 16.5 |
| Total | 20.2 | 19.7 | 19.7 |
| Capital | £m | £m | £m |
| Tangible equity | 29,093 | 28,416 | 26,482 |
| Expected loss less<br> impairment | (35) | - | (27) |
| Prudential valuation<br> adjustment | (172) | (210) | (230) |
| Deferred tax assets | (834) | (935) | (1,084) |
| Own credit adjustments | 34 | 24 | 28 |
| Pension fund assets | (163) | (157) | (147) |
| Cash flow hedging reserve | 886 | 971 | 1,443 |
| Foreseeable ordinary<br> dividends | (1,275) | (1,244) | (1,249) |
| Adjustment for trust<br> assets (2) | (365) | (365) | (365) |
| Foreseeable charges (3) | (446) | (750) | - |
| Adjustments under IFRS<br> 9 transitional arrangements | - | - | 33 |
| Other adjustments for<br> regulatory purposes | 46 | 49 | 44 |
| Total regulatory adjustments | (2,324) | (2,617) | (1,554) |
| CET1<br> capital | 26,769 | 25,799 | 24,928 |
| Additional<br> AT1 capital | 5,771 | 6,005 | 5,259 |
| Tier 1 capital | 32,540 | 31,804 | 30,187 |
| Tier<br> 2 capital | 5,752 | 5,727 | 5,918 |
| Total regulatory capital | 38,292 | 37,531 | 36,105 |
| Risk-weighted assets | |||
| Credit risk | 151,945 | 152,785 | 148,078 |
| Counterparty credit<br> risk | 7,397 | 7,626 | 7,103 |
| Market risk | 5,825 | 5,777 | 6,219 |
| Operational<br> risk | 23,959 | 23,959 | 21,821 |
| Total RWAs | 189,126 | 190,147 | 183,221 |
| (1) | The IFRS 9 transitional capital rules in respect of ECL provisions<br> no longer apply as of 1 January 2025. (The impact of the IFRS 9 transitional adjustments<br> at 31 December 2024 was £33 million for CET1 capital, £33 million for total<br> capital and £3 million RWAs. Excluding this adjustment at 31 December 2024, the<br> CET1 ratio was 13.6%, Tier 1 capital ratio was 16.5% and the Total capital ratio was 19.7%). | ||
| --- | --- | ||
| (2) | Prudent deduction in respect of agreement with the pension fund to establish<br> legal structure to remove dividend linked contribution. | ||
| (3) | For September 2025, the foreseeable charge of £446 million<br> relates to a share buyback. |
| **NatWest Group** - Form 6-K Q3 2025 | 29 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk continued
Capital and leverage ratioscontinued
| 30 September | 30<br> June | 31<br> December | |
|---|---|---|---|
| 2025 | 2025 | 2024 | |
| Leverage | £m | £m | £m |
| Cash and balances at<br> central banks | 84,686 | 90,706 | 92,994 |
| Trading assets | 56,856 | 56,706 | 48,917 |
| Derivatives | 61,119 | 73,010 | 78,406 |
| Financial assets | 494,874 | 486,305 | 469,599 |
| Other<br> assets | 28,100 | 24,051 | 18,069 |
| Total assets | 725,635 | 730,778 | 707,985 |
| Derivatives | |||
| - netting and variation margin | (58,580) | (69,191) | (76,101) |
| - potential future exposures | 17,690 | 16,831 | 16,692 |
| Securities financing<br> transactions gross up | 1,841 | 1,510 | 2,460 |
| Other off balance sheet<br> items | 63,394 | 62,497 | 59,498 |
| Regulatory deductions<br> and other adjustments | (18,124) | (17,869) | (11,014) |
| Claims on central banks | (81,179) | (87,228) | (89,299) |
| Exclusion<br> of bounce back loans | (1,457) | (1,777) | (2,422) |
| UK<br> leverage exposure | 649,220 | 635,551 | 607,799 |
| UK<br> leverage ratio (%) (1) | 5.0 | 5.0 | 5.0 |
| (1) | The UK leverage exposure and transitional Tier 1 capital are calculated<br> in accordance with current PRA rules. The IFRS 9 transitional capital rules in respect<br> of ECL no longer apply as of 1 January 2025. (Excluding the IFRS 9 transitional adjustment,<br> the UK leverage ratio at 31 December 2024 was 5.0%). | ||
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 30 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk continued
Capitalflow statement
The table below analyses the movement in CET1, AT1 and Tier 2 capital for the nine months ended 30 September 2025.
| CET1 | AT1 | Tier 2 | Total | |
|---|---|---|---|---|
| £m | £m | £m | £m | |
| At 31 December 2024 | 24,928 | 5,259 | 5,918 | 36,105 |
| Attributable profit for<br> the period | 4,086 | - | - | 4,086 |
| Ordinary interim dividend<br> paid | (768) | - | - | (768) |
| Share buyback | (750) | - | - | (750) |
| Foreseeable ordinary<br> dividends | (1,275) | - | - | (1,275) |
| Foreign exchange reserve | 2 | - | - | 2 |
| FVOCI reserve | 81 | - | - | 81 |
| Own credit | 6 | - | - | 6 |
| Share based remuneration<br> and shares vested under employee share schemes | 190 | - | - | 190 |
| Goodwill and intangibles<br> deduction | 113 | - | - | 113 |
| Deferred tax assets | 250 | - | - | 250 |
| Prudential valuation<br> adjustments | 58 | - | - | 58 |
| New issues of capital<br> instruments | - | 1,244 | 823 | 2,067 |
| Redemption of capital<br> instruments | (109) | (732) | (1,000) | (1,841) |
| Foreign exchange movements | - | - | 11 | 11 |
| Adjustment under IFRS<br> 9 transitional arrangements | (33) | - | - | (33) |
| Expected loss less impairment | (8) | - | - | (8) |
| Other movements | (2) | - | - | (2) |
| At 30 September 2025 | 26,769 | 5,771 | 5,752 | 38,292 |
| – | For<br> CET1 movements refer to the key points on page 27. | |||
| --- | --- | |||
| – | The<br> AT1 movement reflects the £0.7 billion 7.500% Reset Perpetual Subordinated Contingent<br> Convertible Additional Tier 1 Capital Notes issued in March 2025 and the £0.5<br> billion 7.625% Reset Perpetual Subordinated Contingent Convertible Additional Tier 1 Capital<br> Notes issued in September 2025 offset by the redemption of $1.15 billion 8.000% Perpetual<br> Subordinated Contingent Convertible Additional Tier 1 Capital Notes in August 2025. | |||
| --- | --- | |||
| – | Tier<br> 2 movements of £0.2 billion include a decrease of £1.0 billion due to the redemption<br> of 3.622% Fixed to Fixed Rate Reset Tier 2 Notes due 2030 in May 2025 partially offset<br> by an increase of £0.8 billion for a €1.0 billion 3.723% Fixed to Fixed Rate Reset<br> Tier 2 Notes 2035 issued in February 2025 and foreign exchange movements. | |||
| --- | --- |
Capitalgeneration pre-distributions
| 30 September | 30<br> June | 31<br> December | |
|---|---|---|---|
| 2025 | 2025 | 2024 | |
| £m | £m | £m | |
| CET1 | 26,769 | 25,799 | 24,928 |
| CET1<br> capital pre-distributions (1) | 29,562 | 27,793 | 28,920 |
| RWAs | 189,126 | 190,147 | 183,221 |
| % | % | % | |
| CET1<br> ratio - opening at 1 January | 13.61 | 13.61 | 13.36 |
| CET1 pre-distributions<br> - closing | 15.63 | 14.62 | 15.78 |
| Capital<br> generation pre-distributions (1) | 2.02 | 1.01 | 2.43 |
| (1) | The calculation<br> of capital generation pre-distributions uses CET1 capital pre-distributions. Distributions<br> includes ordinary dividends paid, foreseeable ordinary dividends and share buybacks. | ||
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 31 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk continued
Risk-weightedassets
The table below analyses the movement in RWAs for the nine months ended 30 September 2025, by key drivers.
| Counterparty | Operational | ||||
|---|---|---|---|---|---|
| Credit risk | credit risk | Market risk | risk | Total | |
| £bn | £bn | £bn | £bn | £bn | |
| At 31 December 2024 | 148.1 | 7.1 | 6.2 | 21.8 | 183.2 |
| Foreign exchange movement | (0.3) | - | - | - | (0.3) |
| Business movement | 1.0 | 0.2 | (0.4) | 2.2 | 3.0 |
| Risk parameter changes | (0.9) | - | - | - | (0.9) |
| Model updates | 2.4 | 0.1 | - | - | 2.5 |
| Acquisitions | 1.6 | - | - | - | 1.6 |
| At 30 September 2025 | 151.9 | 7.4 | 5.8 | 24.0 | 189.1 |
The table below analyses segmental RWAs.
| Private Banking | Total | ||||
|---|---|---|---|---|---|
| Retail | & Wealth | Commercial | Central items | NatWest | |
| Banking | Management | & Institutional | & other | Group | |
| Total RWAs | £bn | £bn | £bn | £bn | £bn |
| At 31 December 2024 | 65.5 | 11.0 | 104.7 | 2.0 | 183.2 |
| Foreign exchange movement | - | - | (0.3) | - | (0.3) |
| Business movement | 0.8 | 0.4 | 2.2 | (0.4) | 3.0 |
| Risk parameter changes | 0.2 | - | (1.1) | - | (0.9) |
| Model updates | 1.0 | - | 1.5 | - | 2.5 |
| Acquisitions | 1.6 | - | - | - | 1.6 |
| At 30 September 2025 | 69.1 | 11.4 | 107.0 | 1.6 | 189.1 |
| Credit<br> risk | 60.0 | 9.8 | 80.7 | 1.4 | 151.9 |
| Counterparty<br> credit risk | 0.2 | - | 7.2 | - | 7.4 |
| Market<br> risk | 0.2 | - | 5.6 | - | 5.8 |
| Operational<br> risk | 8.7 | 1.6 | 13.5 | 0.2 | 24.0 |
| Total<br> RWAs | 69.1 | 11.4 | 107.0 | 1.6 | 189.1 |
Total RWAs increased by £5.9 billion to £189.1 billion during the period mainly reflecting:
| – | A<br> reduction in risk-weighted assets from foreign exchange movements of £0.3 billion due<br> to sterling appreciation versus the US dollar and euro. |
|---|---|
| – | An<br> increase in business movements of £3.0 billion, driven by the annual recalculation<br> of operational risk, an increase in credit risk due to lending growth partially offset by<br> reductions as a result of RWA management actions. Further increase seen in counterparty credit<br> risk driven by securities financing and OTC transactions partially offset by a decrease in<br> market risk driven by IRC and RNIV. |
| --- | --- |
| – | A<br> reduction in risk parameters of £0.9 billion primarily driven by movements in risk<br> metrics within Commercial & Institutional and Retail Banking. |
| --- | --- |
| – | An<br> increase in model updates of £2.5 billion primarily driven by CRD IV model updates<br> within Commercial & Institutional and Retail Banking. |
| --- | --- |
| – | An<br> increase in acquisitions of £1.6 billion driven by balances acquired from Sainsbury’s<br> Bank. |
| --- | --- |
| **NatWest Group** - Form 6-K Q3 2025 | 32 |
| --- | --- |
Risk and capital management continued
Capital, liquidity and funding risk continued
Liquidityportfolio
The table below shows the composition of the liquidity portfolio with primary liquidity aligned to high-quality liquid assets on a regulatory LCR basis. Secondary liquidity comprises of assets which are eligible as collateral for local central bank liquidity facilities and do not form part of the LCR eligible high-quality liquid assets. High-quality liquid assets cover both Pillar 1 and Pillar 2 risks.
| Liquidity value | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| 30 September 2025 | 30<br> June 2025 | 31<br> December 2024 | |||||||||
| NatWest | NWH | UK<br> DoL | NatWest | NWH | UK<br> DoL | NatWest | NWH | UK<br> DoL | |||
| Group (1) | Group (2) | Sub | Group<br> (1) | Group<br> (2) | Sub | Group<br> (1) | Group<br> (2) | Sub | |||
| £m | £m | m | £m | £m | m | £m | £m | £m | |||
| Cash<br> and balances at central banks | 80,489 | 51,277 | 50,666 | 86,589 | 55,027 | 54,353 | 88,617 | 58,313 | 57,523 | ||
| High<br> quality government/MDB/PSE and GSE bonds (3) | 65,588 | 47,194 | 47,194 | 61,527 | 44,580 | 44,580 | 58,818 | 43,275 | 43,275 | ||
| Extremely<br> high quality covered bonds | 4,613 | 4,613 | 4,613 | 4,494 | 4,494 | 4,494 | 4,341 | 4,340 | 4,340 | ||
| LCR<br> level 1 assets | 150,690 | 103,084 | 102,473 | 152,610 | 104,101 | 103,427 | 151,776 | 105,928 | 105,138 | ||
| LCR<br> level 2 Eligible Assets (4) | 8,332 | 7,397 | 7,397 | 7,985 | 6,880 | 6,880 | 9,271 | 7,957 | 7,957 | ||
| Primary<br> liquidity (HQLA) (5) | 159,022 | 110,481 | 109,870 | 160,595 | 110,981 | 110,307 | 161,047 | 113,885 | 113,095 | ||
| Secondary<br> liquidity | 80,051 | 80,023 | 80,023 | 55,997 | 55,969 | 55,969 | 61,230 | 61,200 | 61,200 | ||
| Total<br> liquidity value | 239,073 | 190,504 | 189,893 | 216,592 | 166,950 | 166,276 | 222,277 | 175,085 | 174,295 |
All values are in British Pounds.
| (1) | NatWest Group<br> includes the UK Domestic Liquidity Sub-Group (UK DoLSub), NatWest Markets Plc and other significant<br> operating subsidiaries that hold liquidity portfolios. These include RBSI Ltd and NWM N.V.<br> who hold managed portfolios that comply with local regulations that may differ from PRA rules. |
|---|---|
| (2) | NWH Group comprises<br> UK DoLSub and NatWest Bank Europe GmbH who hold managed portfolios that comply with local<br> regulations that may differ from PRA rules. |
| --- | --- |
| (3) | Multilateral<br> development bank abbreviated to MDB, public sector entities abbreviated to PSE and government<br> sponsored entities abbreviated to GSE. |
| --- | --- |
| (4) | Includes Level<br> 2A and Level 2B. |
| --- | --- |
| (5) | High-quality<br> liquid assets abbreviated to HQLA. |
| --- | --- |
Pension risk
On 8 August 2025, the Trustee of the Main section of the NatWest Group Pension Fund entered into a buy-in transaction with a third-party insurer for some of its liabilities. This is an insurance policy that gives the Fund protection against demographic and investment risks, so improves the security of member benefits. The transaction did not affect the 2025 statement of comprehensive income because the net pension asset was limited to zero due to the impact of the asset ceiling.
| **NatWest Group** - Form 6-K Q3 2025 | 33 |
| --- | --- |
Condensedconsolidated income statement
for the period ended 30 September 2025 (unaudited)
| **** | Nine months ended | **** | Quarter ended | |||
|---|---|---|---|---|---|---|
| 30 September | 30<br> September | 30 September | 30<br> June | 30<br> September | ||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||
| £m | m | £m | £m | £m | ||
| Interest<br> receivable | 19,155 | 18,734 | 6,482 | 6,358 | 6,444 | |
| Interest<br> payable | (9,767) | (10,427) | (3,214) | (3,264) | (3,545) | |
| Net interest income | 9,388 | 8,307 | 3,268 | 3,094 | 2,899 | |
| Fees<br> and commissions receivable | 2,412 | 2,378 | 804 | 806 | 811 | |
| Fees<br> and commissions payable | (552) | (529) | (184) | (179) | (181) | |
| Trading<br> income | 974 | 607 | 399 | 291 | 257 | |
| Other<br> operating income | 95 | 115 | 45 | (7) | (42) | |
| Non-interest income | 2,929 | 2,571 | 1,064 | 911 | 845 | |
| Total income | 12,317 | 10,878 | 4,332 | 4,005 | 3,744 | |
| Staff<br> costs | (3,193) | (3,112) | (1,064) | (1,060) | (965) | |
| Premises<br> and equipment | (906) | (863) | (319) | (293) | (284) | |
| Other<br> administrative expenses | (1,060) | (1,153) | (315) | (395) | (330) | |
| Depreciation<br> and amortisation | (855) | (754) | (298) | (291) | (246) | |
| Operating expenses | (6,014) | (5,882) | (1,996) | (2,039) | (1,825) | |
| Profit before impairment losses | 6,303 | 4,996 | 2,336 | 1,966 | 1,919 | |
| Impairment<br> losses | (535) | (293) | (153) | (193) | (245) | |
| Operating profit before tax | 5,768 | 4,703 | 2,183 | 1,773 | 1,674 | |
| Tax charge | (1,412) | (1,232) | (502) | (439) | (431) | |
| Profit from continuing operations | 4,356 | 3,471 | 1,681 | 1,334 | 1,243 | |
| Profit from discontinued operations, net of tax | - | 12 | - | - | 1 | |
| Profit for the period | 4,356 | 3,483 | 1,681 | 1,334 | 1,244 | |
| **** | **** | |||||
| Attributable to: | **** | **** | ||||
| Ordinary<br> shareholders | 4,086 | 3,271 | 1,598 | 1,236 | 1,172 | |
| Paid-in<br> equity holders | 268 | 202 | 82 | 96 | 73 | |
| Non-controlling<br> interests | 2 | 10 | 1 | 2 | (1) | |
| 4,356 | 3,483 | 1,681 | 1,334 | 1,244 | ||
| **** | **** | |||||
| **** | **** | |||||
| Earnings<br> per ordinary share - continuing operations | 50.7p | 38.2p | 19.8p | 15.3p | 14.1p | |
| Earnings<br> per ordinary share - discontinued operations | - | 0.1p | - | - | - | |
| Total<br> earnings per share attributable to ordinary shareholders - basic | 50.7p | 38.3p | 19.8p | 15.3p | 14.1p | |
| Earnings<br> per ordinary share - fully diluted continuing operations | 50.2p | 37.9p | 19.6p | 15.1p | 14.0p | |
| Earnings<br> per ordinary share - fully diluted discontinued operations | - | 0.1p | - | - | - | |
| Total<br> earnings per share attributable to ordinary shareholders - fully diluted | 50.2p | 38.0p | 19.6p | 15.1p | 14.0p |
All values are in British Pounds.
| **NatWest Group** - Form 6-K Q3 2025 | 34 |
| --- | --- |
Condensed consolidated statement of comprehensive income
for the period ended 30 September 2025 (unaudited)
| Nine months ended | Quarter ended | |||||
|---|---|---|---|---|---|---|
| 30 September | 30<br> September | 30 September | 30<br> June | 30<br> September | ||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||
| £m | m | £m | £m | £m | ||
| Profit<br> for the period | 4,356 | 3,483 | 1,681 | 1,334 | 1,244 | |
| Items that will not be reclassified subsequently to profit or loss: | ||||||
| Remeasurement<br> of retirement benefit schemes | 20 | (92) | 11 | 3 | (32) | |
| Changes<br> in fair value of financial liabilities designated at fair value through profit or loss (FVTPL) due to changes in credit risk | (11) | (25) | (10) | (5) | 1 | |
| FVOCI<br> financial assets | 54 | 16 | 5 | 35 | 49 | |
| Tax | (10) | 39 | (8) | (4) | (5) | |
| 53 | (62) | (2) | 29 | 13 | ||
| Items that will be reclassified subsequently to profit or loss when specific conditions are met: | ||||||
| FVOCI<br> financial assets | 76 | 21 | 13 | 29 | (20) | |
| Cash<br> flow hedges (1) | 778 | 732 | 120 | 475 | 611 | |
| Currency<br> translation | (18) | (119) | 77 | (65) | (77) | |
| Tax | (224) | (221) | (32) | (130) | (164) | |
| 612 | 413 | 178 | 309 | 350 | ||
| Other comprehensive income after tax | 665 | 351 | 176 | 338 | 363 | |
| Total comprehensive income for the period | 5,021 | 3,834 | 1,857 | 1,672 | 1,607 | |
| Attributable to: | ||||||
| Ordinary<br> shareholders | 4,751 | 3,622 | 1,774 | 1,574 | 1,535 | |
| Paid-in<br> equity holders | 268 | 202 | 82 | 96 | 73 | |
| Non-controlling<br> interests | 2 | 10 | 1 | 2 | (1) | |
| 5,021 | 3,834 | 1,857 | 1,672 | 1,607 |
All values are in British Pounds.
| (1) | Refer<br> to footnote 4 of the condensed consolidated statement of changes in equity. |
|---|
| **NatWest Group** - Form 6-K Q3 2025 | 35 |
| --- | --- |
Condensedconsolidated balance sheet
as at 30 September 2025 (unaudited)
| 30 September | 31<br> December | |
|---|---|---|
| 2025 | 2024 | |
| £m | £m | |
| Assets | ||
| Cash<br> and balances at central banks | 84,686 | 92,994 |
| Trading<br> assets | 56,856 | 48,917 |
| Derivatives | 61,119 | 78,406 |
| Settlement<br> balances | 12,331 | 2,085 |
| Loans<br> to banks - amortised cost | 8,005 | 6,030 |
| Loans<br> to customers - amortised cost | 415,274 | 400,326 |
| Other<br> financial assets | 71,595 | 63,243 |
| Intangible<br> assets | 7,477 | 7,588 |
| Other<br> assets | 8,292 | 8,396 |
| Total assets | 725,635 | 707,985 |
| Liabilities | ||
| Bank<br> deposits | 44,962 | 31,452 |
| Customer<br> deposits | 435,490 | 433,490 |
| Settlement<br> balances | 9,271 | 1,729 |
| Trading<br> liabilities | 58,402 | 54,714 |
| Derivatives | 54,114 | 72,082 |
| Other<br> financial liabilities | 67,634 | 61,087 |
| Subordinated<br> liabilities | 6,136 | 6,136 |
| Notes<br> in circulation | 3,340 | 3,316 |
| Other<br> liabilities | 3,905 | 4,601 |
| Total liabilities | 683,254 | 668,607 |
| Equity | ||
| Ordinary<br> shareholders' interests | 36,570 | 34,070 |
| Other<br> owners' interests | 5,792 | 5,280 |
| Owners'<br> equity | 42,362 | 39,350 |
| Non-controlling<br> interests | 19 | 28 |
| Total equity | 42,381 | 39,378 |
| Total liabilities and equity | 725,635 | 707,985 |
| **NatWest Group** - Form 6-K Q3 2025 | 36 |
| --- | --- |
Condensed consolidated statement of changes in equity
for the period ended 30 September 2025 (unaudited)
| Share **** | Other | Other reserves | Total | Non | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| capital and | Paid-in | statutory | Retained | Cash flow | Foreign | owners' | controlling | Total **** | |||
| share premium | equity | reserves (3) | earnings | Fair value | hedging (4,5) | exchange (6) | Merger | equity | **** interests | equity | |
| £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | |
| At 1 January 2025 | 10,133 | 5,280 | 2,350 | 11,426 | (103) | (1,443) | 826 | 10,881 | 39,350 | 28 | 39,378 |
| Profit<br> attributable to ordinary shareholders and other equity owners | |||||||||||
| -<br> continuing operations | 4,354 | 4,354 | 2 | 4,356 | |||||||
| -<br> discontinued operations | - | - | |||||||||
| Other comprehensive income | |||||||||||
| Realised gains in period<br> on FVOCI equity shares | 25 | (25) | - | - | |||||||
| Remeasurement of retirement<br> benefit schemes | 20 | 20 | 20 | ||||||||
| Changes<br> in fair value of credit in financial liabilities designated at FVTPL due to own credit risk | (11) | (11) | (11) | ||||||||
| Unrealised gains | 129 | 129 | 129 | ||||||||
| Amounts recognised<br> in equity | 17 | 17 | 17 | ||||||||
| Retranslation of net<br> assets | 43 | 43 | 43 | ||||||||
| Losses on hedges of<br> net assets | (90) | (90) | (90) | ||||||||
| Amount transferred<br> from equity to earnings (6) | 1 | 761 | 29 | 791 | 791 | ||||||
| Tax | (9) | (24) | (221) | 20 | (234) | (234) | |||||
| Total comprehensive income | - | - | - | 4,379 | 81 | 557 | 2 | - | 5,019 | 2 | 5,021 |
| Transactions with owners | |||||||||||
| Ordinary share dividends<br> paid | (2,018) | (2,018) | - | (2,018) | |||||||
| Redemption of paid-in<br> equity | (736) | (109) | (845) | (845) | |||||||
| Paid-in equity dividends | (268) | (268) | (268) | ||||||||
| Securities issued (2) | 1,248 | 1,248 | 1,248 | ||||||||
| Purchase of non-controlling<br> interest | (10) | (10) | (11) | (21) | |||||||
| Shares repurchased<br> during the period (1,7) | (62) | 62 | (304) | (304) | (304) | ||||||
| Employee share schemes | 76 | 76 | 76 | ||||||||
| Shares vested under<br> employee share schemes | 124 | **** | 124 | 124 | |||||||
| Share-based remuneration | (10) | (10) | (10) | ||||||||
| At 30 September 2025 | 10,071 | 5,792 | 2,536 | 13,162 | (22) | (886) | 828 | 10,881 | 42,362 | 19 | 42,381 |
For the notes to this table, refer to the following page.
| **NatWest Group** - Form 6-K Q3 2025 | 37 |
| --- | --- |
Condensed consolidated statement of changes in equity for the period ended 30 September 2025 (unaudited) continued
| Share | Other | Other<br> reserves | Total | Non | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| capital<br> and | Paid-in | statutory | Retained | Cash<br> flow | Foreign | owners' | controlling | Total | ||||
| share<br> premium | equity | reserves<br> (3) | earnings | Fair<br> value | hedging<br> (4,5) | exchange | Merger | equity | interests | equity | ||
| £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | ||
| At 1 January 2024 | 10,844 | 3,890 | 2,004 | 10,645 | (49) | (1,899) | 841 | 10,881 | 37,157 | 31 | 37,188 | |
| Profit<br> attributable to ordinary shareholders | ||||||||||||
| and other equity owners | ||||||||||||
| -<br> continuing operations | 3,461 | 3,461 | 10 | 3,471 | ||||||||
| -<br> discontinued operations | 12 | 12 | - | 12 | ||||||||
| Other comprehensive income | ||||||||||||
| Realised<br> gains in period on FVOCI equity shares | 54 | (54) | - | - | ||||||||
| Remeasurement<br> of retirement benefit schemes | (92) | (92) | (92) | |||||||||
| Changes<br> in fair value of credit in financial liabilities designated at FVTPL due to own credit risk | (25) | (25) | (25) | |||||||||
| Unrealised<br> gains | 24 | 24 | 24 | |||||||||
| Amounts<br> recognised in equity | (442) | (442) | (442) | |||||||||
| Retranslation<br> of net assets | (283) | (283) | (283) | |||||||||
| Gains<br> on hedges of net assets | 122 | 122 | 122 | |||||||||
| Amount<br> transferred from equity to earnings | 13 | 1,174 | 42 | 1,229 | 1,229 | |||||||
| Tax | 25 | 9 | (198) | (18) | (182) | (182) | ||||||
| Total comprehensive income/(loss) | - | - | - | 3,435 | (8) | 534 | (137) | - | 3,824 | 10 | 3,834 | |
| Transactions with owners | ||||||||||||
| Ordinary<br> share dividends paid | (1,505) | (1,505) | - | (1,505) | ||||||||
| Paid-in<br> equity dividends | (202) | (202) | (202) | |||||||||
| Securities<br> issued (2) | 800 | 800 | 800 | |||||||||
| Shares<br> repurchased during the period (1,7) | (428) | 428 | (1,171) | (1,171) | (1,171) | |||||||
| Shares<br> vested under employee share schemes | 142 | (7) | 135 | 135 | ||||||||
| Own<br> shares acquired | (540) | (540) | (540) | |||||||||
| At 30 September 2024 | 10,416 | 4,690 | 2,034 | 11,195 | (57) | (1,365) | 704 | 10,881 | 38,498 | 41 | 38,539 | |
| (1) | As part of the On Market Share Buyback Programmes NatWest Group plc repurchased and cancelled 58.9 million shares (September 2024 – 173.3 million shares), of which one million shares were settled in October 2025. The total consideration of these shares excluding fees was 308.3 million (September 2024 – 450.9 million), of which 5.1 million were settled in October 2025. Included in the retained earnings reserve movement is 2.3 million shares which were repurchased and cancelled in December 2023, settled in January 2024 for a total consideration of 4.9 million. The nominal value of the share cancellations was transferred to the capital redemption reserve. | |||||||||||
| (2) | The issuance above is after netting of issuance fees of 2.8 million (September 2024 – 2.4 million), and the associated tax credit of 0.7 million (September 2024 – 0.7 million). | |||||||||||
| (3) | Other statutory reserves consist of Capital redemption reserves of 3,280 million (September 2024 - 2,935 million) and Own shares held reserves of (744) million (September 2024 – (901) million). | |||||||||||
| (4) | The change in the cash flow hedging reserve is driven by realised accrued interest transferred into the income statement and an increase in swap rates in the medium term tenors in the year, where the portfolio of swaps are net receive fixed from an interest rate risk perspective. | |||||||||||
| (5) | The amount transferred from equity to the income statement is mostly recorded within net interest income mainly within loans to banks and customers – amortised cost, balances at central banks, bank deposits and customer deposits. | |||||||||||
| (6) | Includes 29 million FX recycled to profit or loss upon redemption of paid-in equity and capital repatriation. | |||||||||||
| (7) | In June 2024, there was an agreement to buy 392.4 million ordinary shares of the Company from His Majesty’s Treasury (HM Treasury) at 316.2 pence per share for total consideration of 1.2 billion. NatWest Group cancelled 222.4 million of the purchased ordinary shares, amounting to 706.9 million excluding fees and held the remaining 170.0 million shares as Own Shares Held, amounting to 540.2 million excluding fees. The nominal value of the share cancellation was transferred to the capital redemption reserve. There were no repurchases in 2025. |
All values are in British Pounds.
| **NatWest Group** - Form 6-K Q3 2025 | 38 |
| --- | --- |
Notes
- Presentation of condensed consolidated financial statements
The condensed consolidated financial statements should be read in conjunction with NatWest Group plc’s 2024 Annual Report on Form 20-F. The accounting policies are the same as those applied in the consolidated financial statements.
The directors have prepared the condensed consolidated financial statements on a going concern basis after assessing the principal risks, forecasts, projections and other relevant evidence over the twelve months from the date they are approved.
- Litigation and regulatory matters
NatWest Group plc’s Interim Results 2025 on Form 6-K, issued on 25 July 2025, included disclosures about NatWest Group's litigation and regulatory matters in Note 14. Set out below are the material developments in those matters (which have been previously disclosed) since publication of the Interim Results 2025 on Form 6-K.
Litigation
London Interbank Offered Rate (LIBOR) and other rates litigation
NatWest Group plc and certain other members of NatWest Group, including NWM Plc, are defendants in a number of claims pending in the United States District Court for the Southern District of New York (SDNY) with respect to the setting of USD LIBOR. The complainants allege that certain members of NatWest Group and other panel banks violated various federal laws, including the US commodities and antitrust laws, and state statutory and common law, as well as contracts, by manipulating LIBOR and prices of LIBOR-based derivatives in various markets through various means.
The co-ordinated proceeding in the SDNY relating to USD LIBOR now includes one remaining class action, which is on behalf of persons who purchased LIBOR-linked instruments from defendants and bonds issued by defendants, as well as several non-class actions. On 25 September 2025, the SDNY granted summary judgment to the defendants on the issue of liability and dismissed all claims in both the class action and the non-class actions. The decision remains subject to appeal in the United States Court of Appeals for the Second Circuit (US Court of Appeals).
Two other IBOR-related class actions involving NWM Plc, concerning alleged manipulation of Euribor and Pound Sterling LIBOR, were previously dismissed by the SDNY for various reasons. However, on 22 August 2025, the US Court of Appeal reversed the SDNY’s decision in the Euribor case, reinstating claims against NWM Plc. That case will therefore return to the SDNY for further proceedings.
On 15 September 2025, the US Court of Appeals affirmed the SDNY’s dismissal of the Pound Sterling LIBOR case.
Foreign exchange litigation
NWM Plc, NWMSI and/or NatWest Group plc are defendants in several cases relating to NWM Plc’s foreign exchange (FX) business.
In May 2025, NWM Plc executed an agreement to settle the claim in the Federal Court of Australia, which the court approved in August 2025. The settlement amount is covered in full by an existing provision.
Odd lot corporate bond trading antitrust litigation
In July 2024, the US Court of Appeals vacated the SDNY's October 2021 dismissal of the class action antitrust complaint alleging that, from August 2006 onwards, various securities dealers, including NWMSI, conspired artificially to widen spreads for odd lots of corporate bonds bought or sold in the United States secondary market and to boycott electronic trading platforms that would have allegedly promoted pricing competition in the market for such bonds.
The appellate court held that the district judge who made the decision should not have been presiding over the case because a member of the judge’s family had owned stock in one of the defendants while the motion was pending.
On 2 September 2025, a different judge in the SDNY again dismissed the complaint in this action on the ground that the plaintiffs have failed to plead antitrust conspiracy. The plaintiffs did not appeal the decision within the time required for an appeal.
Offshoring VAT assessments
HMRC, as part of an industry-wide review, issued protective tax assessments in 2018 against NatWest Group plc totalling £143 million relating to unpaid VAT in respect of the UK branches of two NatWest Group companies registered in India for the period from 1 January 2014 until 31 December 2017 inclusive. NatWest Group formally requested reconsideration by HMRC of their assessments, and this process was completed in November 2020. HMRC upheld their original decision and, as a result, NatWest Group plc lodged an appeal with the Tax Tribunal and an application for judicial review with the High Court of Justice of England and Wales, both in December 2020.
In order to lodge the appeal with the Tax Tribunal, NatWest Group plc was required to pay amounts totalling £153 million (including statutory interest) to HMRC in December 2020 and May 2022. The appeal and the application for judicial review were previously stayed behind a separate case involving another bank.
NatWest Group plc was informed in late 2024 that the other bank had settled its case with HMRC by agreement. NatWest Group plc is progressing its appeal before the Tax Tribunal in its own name. NatWest Group plc will also continue to review next steps relevant to the judicial review.
| **NatWest Group** - Form 6-K Q3 2025 | 39 |
| --- | --- |
Notes continued
- Litigation and regulatory matters continued
The amount of £153 million continues to be recognised as an asset that NatWest Group plc expects to recover. Since 1 January 2018, NatWest Group plc has paid VAT on intra-group supplies from India-registered NatWest Group companies.
US Anti-Terrorism Act litigation
NWM N.V. and certain other financial institutions are defendants in several actions filed by a number of US nationals (or their estates, survivors, or heirs), most of whom are, or were, US military personnel who were killed or injured in attacks in Iraq between 2003 and 2011.
NWM Plc is also a defendant in some of these cases.
According to the plaintiffs’ allegations, the defendants are liable for damages arising from the attacks because they allegedly conspired with and/or aided and abetted Iran and certain Iranian banks to assist Iran in transferring money to Hezbollah and the Iraqi terror cells that committed the attacks, in violation of the US Anti-Terrorism Act, by agreeing to engage in ‘stripping’ of transactions initiated by the Iranian banks so that the Iranian nexus to the transactions would not be detected.
The first of these actions, alleging conspiracy claims but not aiding and abetting claims, was filed in the United States District Court for the Eastern District of New York in November 2014. In September 2019, the district court dismissed the case, finding that the claims were deficient for several reasons, including lack of sufficient allegations as to the alleged conspiracy and causation. In January 2023, the US Court of Appeals affirmed the district court’s dismissal of this case.
On 30 September 2025, the district court denied a motion by the plaintiffs to re-open the case to assert aiding and abetting claims that they previously did not assert. Another action, filed in the SDNY in 2017, which asserted both conspiracy and aiding and abetting claims, was dismissed by the SDNY in March 2019 on similar grounds as the first case, but remains subject to appeal to the US Court of Appeals.
Other follow-on actions that are substantially similar to those described above are pending in the same courts.
Regulatory matters
US investigations relating to fixed-income securities
In December 2021, NWM Plc pled guilty in the United States District Court for the District of Connecticut to one count of wire fraud and one count of securities fraud in connection with historical spoofing conduct by former employees in US Treasuries markets between January 2008 and May 2014 and, separately, during approximately three months in 2018. The 2018 trading occurred during the term of a non-prosecution agreement (NPA) between NWMSI and the United States Attorney's Office for the District of Connecticut (USAO CT), under which non-prosecution
conditioned on NWMSI and affiliated companies not engaging in criminal conduct during the term of the NPA. The relevant trading in 2018 was conducted by two NWM traders in Singapore and breached that NPA. The plea agreement reached with the US Department of Justice (DOJ) and the USAO CT resolved both the spoofing conduct and the breach of the NPA.
The DOJ and USAO CT paused the monitorship in May 2025 and, following a review, determined that a monitorship was no longer necessary as a result of NWM’s notable progress in strengthening its compliance programme, certain of NWM’s remedial improvements, internal controls, and the status of implementation of Monitor recommendations, and that reporting by NWM to the DOJ and USAO CT on its continued compliance programme progress provided an appropriate degree of oversight. The court approved the amended plea agreement and extended NWM’s obligations under the plea agreement and probation until December 2026.
In the event that NWM Plc does not meet its obligations to the DOJ, this may lead to adverse consequences such as increased costs, findings that NWM Plc violated its probation term, and possible re-sentencing, amongst other consequences. Other material adverse collateral consequences may occur as a result of this matter, as further described in the Risk Factor relating to legal, regulatory and governmental actions and investigations set out on page 300 of the NatWest Group 2024 Annual Report on Form 20-F.
Review and investigation of treatment of tracker mortgage customers in Ulster Bank Ireland DAC
In December 2015, correspondence was received from the Central Bank of Ireland setting out an industry examination framework in respect of the sale of tracker mortgages from approximately 2001 until the end of 2015.
The redress and compensation process has now largely concluded, although a small number of cases remain outstanding relating to uncontactable customers.
Ulydien (formerly UBIDAC) customers have lodged tracker mortgage complaints with the Financial Services and Pensions Ombudsman (FSPO). UBIDAC challenged three FSPO adjudications in the Irish High Court. In June 2023, the High Court found in favour of the FSPO in all matters. UBIDAC appealed that decision to the Court of Appeal. In September 2024, the Court of Appeal allowed UBIDAC’s appeal and set aside certain findings of the FSPO. The Court of Appeal directed one aspect of the FSPO decisions to be remitted to the FSPO for its consideration following an oral hearing.
Decisions are awaited from the FSPO in respect of these cases.
- Post balance sheet events
As part of the ongoing on-market share buyback programme, NatWest Group plc has repurchased and cancelled a further 12.2 million shares since 30 September 2025 for a total consideration (excluding fees) of £65.99 million.
There have been no significant events between 30 September 2025 and the date of approval of this announcement which would require a change to, or additional disclosure, in the announcement.
| **NatWest Group** - Form 6-K Q3 2025 | 40 |
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Additional information
Other financial data
The following table shows NatWest Group’s issued and fully paid share capital, owners’ equity and indebtedness on a consolidated basis in accordance with IFRS as at 30 September 2025.
| As at 30 September<br><br> <br>2025 | |
|---|---|
| £m | |
| Share capital - allotted, called up and fully paid | |
| Ordinary shares of £1.0769 | 8,910 |
| Retained earnings and other reserves | 33,452 |
| Owners’ equity | 42,362 |
| NatWest Group indebtedness | |
| Trading liabilities - debt securities in issue | 231 |
| Other financial liabilities – debt securities in issue | 65,520 |
| Subordinated liabilities | 6,136 |
| Total indebtedness | 71,887 |
| Total capitalisation and indebtedness | 114,249 |
Under IFRS, certain preference shares are classified as debt and are included in subordinated liabilities in the table above.
The information contained in the table above has not changed materially since 30 September 2025.
| **NatWest Group** - Form 6-K Q3 2025 | 41 |
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Non-IFRS financial measures
NatWest Group prepares its financial statements in accordance with UK-adopted International Accounting Standards (IAS) and International Financial Reporting Standards (IFRS). This document contains a number of non-IFRS measures, or alternative performance measures, defined under the European Securities and Markets Authority (ESMA) guidance, or non-GAAP financial measures in accordance with the Securities and Exchange Commission (SEC) regulations. These measures are adjusted for notable and other defined items which management believes are not representative of the underlying performance of the business and which distort period-on-period comparison.
The non-IFRS measures provide users of the financial statements with a consistent basis for comparing business performance between financial periods and information on elements of performance that are one-off in nature. The non-IFRS measures also include a calculation of metrics that are used throughout the banking industry.
These non-IFRS measures are not a substitute for IFRS measures and a reconciliation to the closest IFRS measure is presented where appropriate.
| Measure | Description |
|---|---|
| Cost:income ratio (excl. litigation and conduct)<br><br> <br>****<br><br> <br>Refer to table 2. Cost:income ratio (excl. litigation and conduct)<br> on page 44. | The cost:income ratio (excl. litigation and conduct) is calculated as other operating expenses (operating expenses less litigation and conduct costs) divided by total income. Litigation and conduct costs are excluded as they are one-off in nature, difficult to forecast for Outlook purposes and distort period-on-period comparisons. |
| Customer deposits excluding central items<br><br> <br>****<br><br> <br>Refer to Segment performance on pages 14-18 for components of<br> calculation. | Customer<br> deposits excluding central items is calculated as total NatWest Group customer deposits excluding Central items & other customer<br> deposits. Central items & other includes Treasury repo activity. The<br> exclusion of Central items & other removes the volatility relating to Treasury repo activity and the reduction of deposits as<br> part of our withdrawal from the Republic of Ireland.<br><br> <br><br><br> <br>These<br> items may distort period-on-period comparisons and their removal gives the user of the financial statements a better understanding of<br> the movements in customer deposits. |
| Funded assets<br><br> <br>****<br><br> <br>Refer to Condensed consolidated balance sheet on page 36 for components<br> of calculation. | Funded<br>assets is calculated as total assets less derivative assets. This measure allows review of balance sheet trends exclusive of the volatility<br>associated with derivative fair values. |
| Loan:deposit ratio (excl. repos and reverse repos)<br><br> <br>****<br><br> <br>Refer to table 5. Loan:deposit ratio (excl. repos and reverse repos)<br> on page 45. | Loan:deposit ratio (excl. repos and reverse repos) is calculated as<br> net loans to customers – amortised cost excluding reverse repos divided by total customer deposits excluding repos. This metric<br> is used to assess liquidity.<br><br> <br><br><br> <br>The removal of repos and reverse repos reduces volatility and presents<br> the ratio on a basis that is comparable to UK peers. The nearest ratio using IFRS measures is loan:deposit ratio. This is calculated as<br> net loans to customers – amortised cost divided by customer deposits. |
| NatWest Group Return on Tangible Equity<br><br> <br>****<br><br> <br>Refer to table 7. NatWest Group Return on Tangible Equity on page 46. | NatWest Group Return on Tangible Equity comprises annualised profit or loss for the period attributable to ordinary shareholders divided by average tangible equity. Average tangible equity is average total equity excluding average non-controlling interests, average other owners’ equity and average intangible assets. This measure shows the return NatWest Group generates on tangible equity deployed. It is used to determine relative performance of banks and used widely across the sector, although different banks may calculate the rate differently. The nearest ratio using IFRS measures is return on equity - this comprises profit attributable to ordinary shareholders divided by average total equity. |
| **NatWest Group** - Form 6-K Q3 2025 | 42 |
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Non-IFRS financial measures continued
| Measure | Description |
|---|---|
| Net interest margin and average interest earning assets<br><br> <br><br><br> <br>Refer to Segment performance on pages 14-18 for components of<br> calculation. | Net interest margin is net interest income, as a percentage of average<br> interest earning assets (IEA).<br><br> <br><br><br> <br>Average IEA are average IEA of the banking business of NatWest Group<br> and primarily consists of cash and balances at central banks, loans to banks – amortised cost, loans to customers – amortised<br> cost and other financial assets. It excludes trading balances and assets in treasury repurchase agreements that have not been derecognised.<br> Average IEA shows the average asset base generating interest over the period. |
| Net loans to customers excluding central items<br><br> <br><br><br> <br>Refer to Segment performance on pages 14-18 for components of<br> calculation. | Net loans to customers excluding central items is calculated as total<br> NatWest Group net loans to customers excluding Central items & other net loans to customers. Central items & other includes<br> Treasury reverse repo activity. The exclusion of Central items & other removes the volatility relating to Treasury reverse repo<br> activity and the reduction of loans to customers as part of our withdrawal from the Republic of Ireland.<br><br> <br><br><br> <br>This allows for better period-on-period comparisons and gives the user<br> of the financial statements a better understanding of the movements in net loans to customers. |
| Operating expenses excluding litigation and conduct<br><br> <br><br><br> <br>Refer to table 4. Operating expenses excluding litigation and conduct<br> on page 45. | The management analysis of operating expenses shows litigation and conduct costs separately. These amounts are included within staff costs and other administrative expenses in the statutory analysis. Other operating expenses excludes litigation and conduct costs, which are more volatile and may distort period-on-period comparisons. |
| Segment return on equity<br><br> <br><br><br> <br>Refer to table 8. Segment return on equity on page 46. | Segment return on equity comprises segmental operating profit or loss, adjusted for paid-in equity and tax, divided by average notional equity. Average RWAe is defined as average segmental RWAs incorporating the effect of capital deductions. This is multiplied by an allocated equity factor for each segment to calculate the average notional equity. This measure shows the return generated by operating segments on equity deployed. |
| Tangible net asset value (TNAV) per ordinary share<br><br> <br>****<br><br> <br>Refer to table 3. Tangible net asset value (TNAV) per ordinary share<br> on page 44. | TNAV per ordinary share is calculated as tangible equity divided by the number of ordinary shares in issue. This is a measure used by external analysts in valuing the bank and allows for comparison with other per ordinary share metrics including the share price. The nearest ratio using IFRS measures is: net asset value (NAV) per ordinary share - this comprises ordinary shareholders’ interests divided by the number of ordinary shares in issue. |
| Total combined assets and liabilities (CAL) – Private Banking & Wealth Management<br><br> <br><br><br> <br>Refer to table 6. Total combined assets and liabilities (CAL) –<br> Private Banking & Wealth Management on page 45. | CAL refers to customer deposits, net loans to customers – amortised<br> cost and AUMA. To avoid double counting, investment cash is deducted as it is reported within customer deposits and AUMA.<br><br> <br><br><br> <br>The components of CAL are key drivers of income and provide a measure<br> of growth and strength of the business on a comparable basis. |
| Total income excluding notable items<br><br> <br><br><br> <br>Refer to table 1. Total income excluding notable items on page 44. | Total income excluding notable items is calculated as total income less notable items. The exclusion of notable items aims to remove the impact of one-offs and other items which may distort period-on-period comparisons. |
| **NatWest Group -** Form 6-K Q3 2025 | 43 | |
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Non-IFRS financial measures continued
1. Total income excludingnotable items
| Nine months ended | Quarter ended | |||||
|---|---|---|---|---|---|---|
| 30 September | 30<br> September | 30 September | 30<br> June | 30<br> September | ||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||
| £m | m | £m | £m | £m | ||
| Continuing operations | ||||||
| Total<br> income | 12,317 | 10,878 | 4,332 | 4,005 | 3,744 | |
| Less<br> notable items: | ||||||
| Commercial & Institutional | ||||||
| Own credit adjustments (OCA) | 3 | (5) | - | (3) | 2 | |
| Central items & other | ||||||
| Share of associate profits/(losses) for Business Growth<br> Fund | 55 | 22 | 41 | (1) | 11 | |
| Interest and foreign exchange management derivatives not<br> in hedge accounting relationships | 168 | 131 | 162 | (1) | 5 | |
| Foreign exchange recycling losses | (37) | (46) | (37) | - | (46) | |
| 189 | 102 | 166 | (5) | (28) | ||
| Total income excluding notable items | 12,128 | 10,776 | 4,166 | 4,010 | 3,772 |
All values are in British Pounds.
2. Cost:income ratio (excl.litigation and conduct)
| Nine months ended | Quarter ended | |||||
|---|---|---|---|---|---|---|
| 30 September | 30<br> September | 30 September | 30<br> June | 30<br> September | ||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||
| £m | m | £m | £m | £m | ||
| Continuing operations | ||||||
| Operating<br> expenses | 6,014 | 5,882 | 1,996 | 2,039 | 1,825 | |
| Less<br> litigation and conduct costs | (130) | (142) | (12) | (74) | (41) | |
| Other<br> operating expenses | 5,884 | 5,740 | 1,984 | 1,965 | 1,784 | |
| Total<br> income | 12,317 | 10,878 | 4,332 | 4,005 | 3,744 | |
| Cost:income<br> ratio | 48.8% | 54.1% | 46.1% | 50.9% | 48.7% | |
| Cost:income<br> ratio (excl. litigation and conduct) | 47.8% | 52.8% | 45.8% | 49.1% | 47.6% |
All values are in British Pounds.
3. Tangible net asset value(TNAV) per ordinary share
| As at | |||
|---|---|---|---|
| 30 September | 30<br> June | 31<br> December | |
| 2025 | 2025 | 2024 | |
| Ordinary shareholders' interests (£m) | 36,570 | 35,929 | 34,070 |
| Less intangible assets (£m) | (7,477) | (7,513) | (7,588) |
| Tangible equity (£m) | 29,093 | 28,416 | 26,482 |
| Ordinary shares in issue (millions) (1) | 8,031 | 8,088 | 8,043 |
| NAV per ordinary share (pence) | 455p | 444p | 424p |
| TNAV per ordinary share (pence) | 362p | 351p | 329p |
| (1) | The number of ordinary shares in issue excludes own shares held. | ||
| --- | --- |
| **NatWest Group -** Form 6-K Q3 2025 | 44 | |
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Non-IFRS financial measures continued
4.Operating expenses excluding litigation and conduct
| Nine months ended | Quarter ended | |||||
|---|---|---|---|---|---|---|
| 30 September | 30<br> September | 30 September | 30<br> June | 30<br> September | ||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||
| £m | m | £m | £m | £m | ||
| Other operating expenses | ||||||
| Staff expenses | 3,144 | 3,060 | 1,045 | 1,044 | 947 | |
| Premises and equipment | 902 | 863 | 318 | 293 | 284 | |
| Other administrative<br> expenses | 983 | 1,063 | 323 | 337 | 307 | |
| Depreciation<br> and amortisation | 855 | 754 | 298 | 291 | 246 | |
| Total<br> other operating expenses | 5,884 | 5,740 | 1,984 | 1,965 | 1,784 | |
| Litigation and conduct costs | ||||||
| Staff expenses | 49 | 52 | 19 | 16 | 18 | |
| Premises and equipment | 4 | - | 1 | - | - | |
| Other<br> administrative expenses | 77 | 90 | (8) | 58 | 23 | |
| Total<br> litigation and conduct costs | 130 | 142 | 12 | 74 | 41 | |
| Total operating expenses | 6,014 | 5,882 | 1,996 | 2,039 | 1,825 | |
| Operating expenses excluding litigation and conduct | 5,884 | 5,740 | 1,984 | 1,965 | 1,784 |
All values are in British Pounds.
5. Loan:deposit ratio (excl.repos and reverse repos)
| As at | |||
|---|---|---|---|
| 30 September | 30<br> June | 31<br> December | |
| 2025 | 2025 | 2024 | |
| £m | £m | £m | |
| Loans to customers - amortised cost | 415,274 | 407,135 | 400,326 |
| Less reverse repos | (33,604) | (30,400) | (34,846) |
| Loans to customers - amortised cost (excl. reverse repos) | 381,670 | 376,735 | 365,480 |
| Customer deposits | 435,490 | 436,756 | 433,490 |
| Less repos | (1,412) | (988) | (1,363) |
| Customer deposits (excl. repos) | 434,078 | 435,768 | 432,127 |
| Loan:deposit ratio (%) | 95% | 93% | 92% |
| Loan:deposit ratio (excl. repos and reverse repos) (%) | 88% | 86% | 85% |
6. Total combined assetsand liabilities (CAL) – Private Banking & Wealth Management
| As at | |||
|---|---|---|---|
| 30 September | 30<br> June | 31<br> December | |
| 2025 | 2025 | 2024 | |
| £bn | £bn | £bn | |
| Net loans to customers (amortised cost) | 18.8 | 18.6 | 18.2 |
| Customer deposits | 40.6 | 41.3 | 42.4 |
| Assets under management and administration (AUMA) | 56.0 | 51.8 | 48.9 |
| Less investment cash included in both customer deposits and AUMA | (1.2) | (1.3) | (1.1) |
| Total combined assets and liabilities (CAL) | 114.2 | 110.4 | 108.4 |
| **NatWest Group -** Form 6-K Q3 2025 | 45 | |
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Non-IFRS financial measures continued
7. NatWest Group Returnon Tangible Equity
| Nine months ended and as at | Quarter ended and as at | |||||
|---|---|---|---|---|---|---|
| 30 September | 30<br> September | 30 September | 30<br> June | 30<br> September | ||
| 2025 | 2024 | 2025 | 2025 | 2024 | ||
| £m | m | £m | £m | £m | ||
| Profit attributable<br> to ordinary shareholders | 4,086 | 3,271 | 1,598 | 1,236 | 1,172 | |
| Annualised profit attributable<br> to ordinary shareholders | 5,448 | 4,361 | 6,392 | 4,944 | 4,688 | |
| Average total equity | 41,043 | 37,707 | 41,667 | 41,474 | 37,960 | |
| Adjustment<br> for average other owners' equity and intangible assets | (13,175) | (12,040) | (12,954) | (13,529) | (12,375) | |
| Adjusted<br> total tangible equity | 27,868 | 25,667 | 28,713 | 27,945 | 25,585 | |
| Return on equity | 13.3% | 11.6% | 15.3% | 11.9% | 12.3% | |
| Return<br> on Tangible Equity | 19.5% | 17.0% | 22.3% | 17.7% | 18.3% |
All values are in British Pounds.
8. Segment return on equity
| Nine months ended 30 September 2025 | Nine<br> months ended 30 September 2024 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Private Banking | Private<br> Banking | ||||||||||
| Retail | **** & Wealth | Commercial **** | Retail | &<br> Wealth | Commercial | ||||||
| Banking | Management | & Institutional | Banking | Management | &<br> Institutional | ||||||
| Operating<br> profit (£m) | 2,335 | 287 | 3,025 | 1,754 | 189 | 2,724 | |||||
| Paid-in<br> equity cost allocation (£m) | (75) | (13) | (181) | (56) | (13) | (130) | |||||
| Adjustment<br> for tax (£m) | (633) | (77) | (711) | (475) | (49) | (649) | |||||
| Adjusted<br> attributable profit (£m) | 1,627 | 197 | 2,133 | 1,223 | 127 | 1,946 | |||||
| Annualised<br> adjusted attributable profit (£m) | 2,170 | 263 | 2,844 | 1,630 | 169 | 2,594 | |||||
| Average<br> RWAe (£bn) | 68.7 | 11.3 | 107.8 | 62.7 | 11.1 | 108.0 | |||||
| Equity<br> factor | 12.8% | 11.1% | 13.9% | 13.4% | 11.2% | 13.8% | |||||
| Average<br> notional equity (£bn) | 8.8 | 1.3 | 15.0 | 8.4 | 1.2 | 14.9 | |||||
| Return<br> on equity (%) | 24.7% | 21.0% | 19.0% | 19.4% | 13.6% | 17.4% | |||||
| Quarter ended 30 September 2025 | Quarter<br> ended 30 June 2025 | Quarter<br> ended 30 September 2024 | |||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Private Banking | Private<br> Banking | Private<br> Banking | |||||||||
| Retail | & Wealth | Commercial **** | Retail | &<br> Wealth | Commercial | Retail | &<br> Wealth | Commercial | |||
| Banking | Management | & Institutional | Banking | Management | &<br> Institutional | Banking | Management | &<br> Institutional | |||
| Operating<br> profit (£m) | 850 | 108 | 1,041 | 735 | 102 | 964 | 656 | 90 | 1,017 | ||
| Paid-in<br> equity cost allocation (£m) | (26) | (5) | (52) | (26) | (4) | (66) | (22) | (5) | (47) | ||
| Adjustment<br> for tax (£m) | (231) | (29) | (247) | (199) | (27) | (225) | (178) | (24) | (243) | ||
| Adjusted<br> attributable profit (£m) | 593 | 74 | 742 | 510 | 71 | 673 | 456 | 61 | 728 | ||
| Annualised<br> adjusted attributable profit (£m) | 2,373 | 297 | 2,967 | 2,042 | 282 | 2,694 | 1,826 | 245 | 2,910 | ||
| Average<br> RWAe (£bn) | 70.2 | 11.4 | 108.2 | 68.9 | 11.3 | 108.3 | 63.8 | 11.1 | 106.0 | ||
| Equity<br> factor | 12.8% | 11.1% | 13.9% | 12.8% | 11.1% | 13.9% | 13.4% | 11.2% | 13.8% | ||
| Average<br> notional equity (£bn) | 9.0 | 1.3 | 15.0 | 8.8 | 1.3 | 15.1 | 8.5 | 1.2 | 14.6 | ||
| Return<br> on equity (%) | 26.4% | 23.4% | 19.7% | 23.2% | 22.5% | 17.9% | 21.4% | 19.7% | 19.9% |
| **NatWest Group -** Form 6-K Q3 2025 | 46 | |
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Performancemeasures not defined under IFRS
The table below summarises other performance measures used by NatWest Group, not defined under IFRS, and therefore a reconciliation to the nearest IFRS measure is not applicable.
| Measure | Description |
|---|---|
| AUMA | AUMA comprises both assets under management (AUM) and assets under administration (AUA) serviced through the Private Banking & Wealth Management segment. AUM comprise assets where the investment management is undertaken by Private Banking & Wealth Management on behalf of Private Banking & Wealth Management, Retail Banking and Commercial & Institutional customers. AUA comprise i) third party assets held on an execution-only basis in custody by Private Banking & Wealth Management, Retail Banking and Commercial & Institutional for their customers, for which the execution services are supported by Private Banking & Wealth Management ii) AUA of Cushon, acquired on 1 June 2023, which are supported by Private Banking & Wealth Management and held and managed by third parties. This measure is tracked and reported as the amount of funds that we manage or administer, and directly impacts the level of investment income that we receive. |
| AUMA income | AUMA income includes investment income which reflects an ongoing fee as percentage of assets and transactional income related to investment services comprised of one-off fees for advice services, trading and exchange services, protection and alternative investing services. AUMA is a core driver of non-interest income, especially with respect to ongoing investment income and this measure provides a means of reporting the income earned on AUMA. |
| AUMA net flows | AUMA net flows represents assets under management (AUM net flows) and assets under administration (AUA net flows). AUMA net flows is reported and tracked to monitor the business performance of new business inflows and management of existing client withdrawals across Private Banking & Wealth Management, Retail Banking and Commercial & Institutional. |
| Capital generation pre-distributions | Capital generation pre-distributions refers to the change in the CET1 ratio in the period, before distributions to ordinary shareholders. It reflects the capital generated through business activities and all other movements, including attributable profit for the period, impacts from acquisitions and disposals, and risk-weighted asset (RWA) changes, prior to the deduction of ordinary shareholder distributions such as ordinary dividends and share buybacks. It is used to show the capital generated in the period that is available for deployment in the business and distribution to shareholders. |
| Climate and transition finance | The climate and transition finance target enables NatWest Group to quantify the level of financing and facilitation provided by NatWest Group that could support customers in achieving their climate and/or transition ambitions, through lending and underwriting activities. The climate and transition finance framework, available on the NatWest Group website, underpins the target to provide £200 billion in climate and transition finance between 1 July 2025 and the end of 2030. |
| Loan impairment rate | Loan impairment rate is the annualised loan impairment charge divided by gross customer loans. This measure is used to assess the credit quality of the loan book. |
| Third party rates | Third party customer asset rate is calculated as annualised interest receivable on third-party loans to customers as a percentage of third-party loans to customers. This excludes assets of disposal groups, intragroup items, loans to banks and liquid asset portfolios. Third party customer funding rate reflects interest payable or receivable on third-party customer deposits, including interest bearing and non- interest bearing customer deposits. Intragroup items, bank deposits, debt securities in issue and subordinated liabilities are excluded for customer funding rate calculation. |
| Wholesale funding | Wholesale funding comprises deposits by banks (excluding repos), debt securities in issue and subordinated liabilities. Funding risk is the risk of not maintaining a diversified, stable and cost-effective funding base. The disclosure of wholesale funding highlights the extent of our diversification and how we mitigate funding risk. |
Legal Entity Identifier: 2138005O9XJIJN4JPN90
| **NatWest Group -** Form 6-K Q3 2025 | 47 | |
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SIGNATURE
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 authorised.
NatWest Group plc
Registrant
/s/ Katie Murray
Group Chief Financial Officer
24 October 2025