UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE13a-16 OR15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of January, 2020
Commission File Number001-14928
SANTANDER UK PLC
(Translation of registrant’s name into English)
2 Triton Square, Regent’s
Place, London NW1 3AN, England
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form20-F or Form40-F.
Form20-F ☒ Form40-F ☐
Indicate by check mark if the registrant is submitting the Form6-K in paper as permitted by RegulationS-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form6-K in paper as permitted by RegulationS-T Rule 101(b)(7): ☐
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| SANTANDER UK PLC | ||||||
Dated: 31 January 2020 | By /s/ Katie Jackson-Turner | |||||
| Katie Jackson-Turner | ||||||
| Company Secretary | ||||||
Supplementary consolidated information for Santander UK plc and its controlled entities
Santander UK plc is the principal subsidiary of Santander UK Group Holdings plc.
Summarised consolidated income statement
| 2019 | 2018 | |||||||
| £m | £m | |||||||
Net interest income | 3,292 | 3,603 | ||||||
Non-interest income1 | 881 | 931 | ||||||
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Total operating income | 4,173 | 4,534 | ||||||
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Operating expenses before credit impairment losses, provisions and charges | (2,499 | ) | (2,579 | ) | ||||
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Credit impairment losses | (221 | ) | (153 | ) | ||||
Provisions for other liabilities and charges | (441 | ) | (257 | ) | ||||
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Total operating impairment losses, provisions and charges | (662 | ) | (410 | ) | ||||
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Profit before tax | 1,012 | 1,545 | ||||||
Tax on profit | (279 | ) | (399 | ) | ||||
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Profit after tax for the period | 733 | 1,146 | ||||||
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| Summary of segmental balance sheet assets and liabilities | ||||||||
| 31.12.19 | 31.12.18 | |||||||
| £bn | £bn | |||||||
Customer loans | ||||||||
Retail Banking | 180.4 | 172.8 | ||||||
Corporate & Commercial Banking | 16.3 | 17.7 | ||||||
Corporate & Investment Banking | 4.1 | 4.6 | ||||||
Corporate Centre | 4.2 | 4.5 | ||||||
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Total customer loans | 205.0 | 199.6 | ||||||
Other assets | 76.7 | 83.8 | ||||||
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Total assets | 281.7 | 283.4 | ||||||
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Customer deposits | ||||||||
Retail Banking | 145.1 | 142.1 | ||||||
Corporate & Commercial Banking | 18.2 | 17.6 | ||||||
Corporate & Investment Banking | 6.1 | 4.8 | ||||||
Corporate Centre | 2.3 | 2.8 | ||||||
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Total customer deposits | 171.7 | 167.3 | ||||||
Total wholesale funding | 65.2 | 70.8 | ||||||
Other liabilities | 28.7 | 29.3 | ||||||
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Total liabilities | 265.6 | 267.4 | ||||||
Shareholders’ equity | 15.9 | 15.8 | ||||||
Non-controlling interests | 0.2 | 0.2 | ||||||
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Total liabilities and equity | 281.7 | 283.4 | ||||||
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Summarised consolidated capital | ||||||||
| 31.12.19 | 31.12.18 | |||||||
| £bn | £bn | |||||||
Total qualifying regulatory capital | 15.8 | 15.9 | ||||||
Risk-weighted assets (RWAs) | 72.6 | 78.5 | ||||||
Total capital ratio | 21.7 | % | 20.3 | % | ||||
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The information in this Appendix is unaudited and does not constitute statutory accounts within the meaning of section 434 of the Companies Act 2006 or interim financial statements in accordance with International Accounting Standard 34 ‘Interim Financial Reporting’. The information in this Appendix has been prepared in accordance with Santander UK plc’s accounting policies described in its 2018 Annual Report on Form20-F for the year ended 31 December 2018 filed with the SEC on 11 March 2019, except as described below.
Changes to the results’ basis of presentation – application of IAS 12
| • | IAS 12 ‘Income Taxes’ amendment has been applied in these results. The amendment states that the income tax consequences arising from dividends on equity instruments should normally be recognised in the income statement, whereas they were previously classified as tax on other equity instruments and recognised in the statement of changes in equity. |
| • | This has been applied retrospectively, and consequently reduced the tax on profit by £42m for the year ended 31 December 2018. |
| 1. | Comprised of ‘Net fee and commission income’ and ‘Net trading and other income’. |
Notes
| • | Additional information about Banco Santander and Santander UKplc (Santander UK) |
Banco Santander (SAN SM, STD US, BNC LN) is a leading retail and commercial bank, based in Spain, with a meaningful market share in 10 core countries in Europe and the Americas. Banco Santander is among the world’s top banks by market capitalisation. Founded in 1857, Banco Santander has 144 million customers and over 200,000 employees at the close of September 2019. In September 2019, Banco Santander made attributable profit of EUR 3,732 million.
Santander UK is a financial services provider in the UK that offers a wide range of personal and commercial financial products and services. At 30 December 2019, the bank serves around 14 million active customers with c23,500 employees and operates through 616 branches (which includes 51 university branches). Santander UK is subject to the full supervision of the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) in the UK. Santander UK customers’ eligible deposits are protected by the Financial Services Compensation Scheme (FSCS) in the UK.
Banco Santander has a standard listing of its ordinary shares on the London Stock Exchange and Santander UK has preference shares listed on the London Stock Exchange.
Disclaimer
Santander UK plc (Santander UK) and Banco Santander caution that this announcement may contain forward-looking statements. Such forward-looking statements are found in various places throughout this announcement. Words such as “believes”, “anticipates”, “expects”, “intends”, “aims” and “plans” and other similar expressions are intended to identify forward-looking statements, but they are not the exclusive means of identifying such statements. Forward-looking statements include, without limitation, statements concerning our future business development and economic performance. These forward-looking statements are based on management’s current expectations, estimates and projections and both Santander UK and Banco Santander caution that these statements are not guarantees of future performance. We also caution readers that a number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements. We have identified certain of these factors in the forward looking statements on page 220 of the Santander UK 2018 Annual Report on Form20-F. Investors and others should carefully consider the foregoing factors and other uncertainties and events. Undue reliance should not be placed on forward-looking statements when making decisions with respect to Santander UK plc, Santander UK Group Holdings plc, Banco Santander and/or their securities. Such forward-looking statements speak only as of the date on which they are made, and we do not undertake any obligation to update or revise any of them, whether as a result of new information, future events or otherwise. Statements as to historical performance, historical share price or financial accretion are not intended to mean that future performance, future share price or future earnings for any period will necessarily match or exceed those of any prior quarter.
Santander UK is a frequent issuer in the debt capital markets and regularly meets with investors via formal roadshows and other ad hoc meetings. In line with Santander UK’s usual practice, over the coming quarter it expects to meet with investors globally to discuss this Quarterly Management Statement, the results contained herein and other matters relating to Santander UK.
Nothing in this announcement constitutes or should be construed as constituting a profit forecast.
