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6-K Filing
Barclays (BCS) 6-KHalf-year Report
Filed: 28 Jul 21, 10:56am
BARCLAYS PLC | |
(Registrant) |
By: /s/ Garth Wright -------------------------------- | |
Garth Wright | |
Assistant Secretary |
Results Announcement | Page | |
Notes | 1 | |
Performance Highlights | 2 | |
Group Chief Executive Officer’s Review | 6 | |
Group Finance Director’s Review | 7 | |
Results by Business | ||
● | Barclays UK | 9 |
● | Barclays International | 11 |
● | Head Office | 16 |
Quarterly Results Summary | 17 | |
Quarterly Results by Business | 18 | |
Performance Management | ||
● | Margins and Balances | 24 |
Risk Management | ||
● | Risk Management and Principal Risks | 26 |
● | Credit Risk | 28 |
● | Market Risk | 49 |
● | Treasury and Capital Risk | 50 |
Statement of Directors’ Responsibilities | 65 | |
Independent Review Report to Barclays PLC | 66 | |
Condensed Consolidated Financial Statements | 67 | |
Financial Statement Notes | 78 | |
Appendix: Non-IFRS Performance Measures | 104 | |
Shareholder Information | 109 |
Income | Group income of £11.3bn down 3% versus prior year reflecting currency headwinds | ||
● | Barclays International income of £8.2bn, down 5% versus prior year | ||
Resilient income as the Group continues to benefit from diversified income streams | – | Corporate and Investment Bank (CIB) income of £6.6bn, down 5% with strong Equities and Investment Banking fees performance, up 38% and 27% respectively, whilst FICC was down 37% versus a strong H120 | |
– | Consumer, Cards and Payments (CC&P) income of £1.6bn, down 4% primarily reflecting lower interest earning US cards balances | ||
● | Barclays UK income of £3.2bn increased 1% reflecting strong mortgages performance with record net balance growth of £6.9bn, partially offset by lower interest earning UK cards balances and the effect of lower interest rates | ||
● | Excluding the impact of the 10% depreciation of average USD against GBP, Group income was up versus prior year | ||
Credit impairment | Group credit impairment net release of £0.7bn (H120: £3.7bn charge) | ||
Improved macroeconomic outlook and benign credit environment | ● | The net release included a reversal of £1.1bn in non-default charges, primarily reflecting the improved macroeconomic outlook. Excluding this reversal, the charge was £0.4bn, reflecting reduced unsecured lending balances and the benign credit environment | |
Costs | Group total operating expenses of £7.2bn up 10% versus prior year, resulting in a cost: income ratio of 64% (H120: 57%) | ||
Investing for income growth whilst taking structural cost actions | ● | Total operating expenses included structural cost actions of £321m (H120: £78m), primarily related to the real estate review in Q221, higher performance costs reflective of improved returns, and continued investment and business growth, partially offset by the benefit from the depreciation of average USD against GBP and efficiency savings | |
Capital / capital distributions | Common equity tier 1 (CET1) ratio of 15.1%, in line with December 2020 | ||
Announced increased capital distributions | ● | Half year dividend of 2.0p (H120: 0p) per share to be paid on 17 September 2021 | |
● | Completed £700m share buyback in April | ||
● | Intend to initiate a further share buyback of up to £500m, which would have an effect of 17bps on the CET1 ratio |
Q221 performance Robust performance, with profitability benefiting from a credit impairment net release and the upwards re-measurement of UK DTAs | Q221 Group profit before tax of £2.6bn (Q220: £0.4bn), RoTE of 18.1% (Q220: 0.7%) and EPS of 12.3p (Q220: 0.5p) | |
● | Q221 Group income of £5.4bn, up 1% versus prior year despite currency headwinds. Barclays International income of £3.8bn was down 5% versus prior year, reflecting CIB income of £3.0bn, down 10% versus prior year and CC&P income of £0.8bn, up 21% versus prior year driven by a valuation loss in 2020. Barclays UK income of £1.6bn was up 11% versus prior year | |
● | Q221 Group credit impairment net release of £0.8bn (Q220: £1.6bn charge), reflecting a reversal of £1.0bn in non-default charges, primarily reflecting the improved macroeconomic outlook. Excluding this reversal, the charge was £0.2bn, which is broadly aligned with prior quarter | |
● | Q221 Group total operating expenses of £3.7bn, up £0.3bn versus prior year, reflecting structural cost actions | |
● | Q221 attributable profit of £2.1bn (Q220: £0.1bn), which included an income statement tax benefit of £0.4bn on the upwards re-measurement of UK deferred tax assets (DTAs) | |
● | The CET1 ratio as at June 2021 was 15.1%, up 50bps in the quarter, driven by profits and lower Risk Weighted Assets (RWAs) |
Outlook Whilst the macroeconomic environment has improved, the outlook remains uncertain and subject to change depending on the evolution and persistence of the COVID-19 pandemic | Returns | |
● | Expect to deliver a RoTE above 10% in 2021 | |
Impairment | ||
● | The quarterly impairment run rate is expected to remain below historical levels in coming quarters given reduced unsecured lending balances and the improved macroeconomic outlook, acknowledging the continuing uncertainty | |
Costs | ||
● | FY21 costs, excluding structural cost actions and performance costs, are expected to be broadly in line with FY201 | |
● | Total full year 2021 costs are expected to be above 2020, due to higher structural cost actions, including a real estate charge in Q221, and higher performance costs, reflecting improved returns | |
Capital | ||
● | FY21 CET1 ratio is expected to remain above the target range of 13-14%, given the economic environment remains uncertain and capital headwinds in 2022, including the c.40bps impact from the reversal of software amortisation benefit from 1 January 2022 | |
Capital returns | ||
● | Barclays’ capital returns policy incorporates a progressive ordinary dividend, supplemented by additional cash returns, including share buybacks as and when appropriate | |
● | Dividends will continue to be paid semi-annually, with the half year dividend expected to represent, under normal circumstances, around one-third of the total dividend for the year | |
Targets | Continue to target the following over the medium term: | |
● | Returns: RoTE of greater than 10% | |
● | Cost efficiency: Cost: income ratio below 60% | |
● | Capital adequacy: CET1 ratio in the range of 13-14% |
1 | Group cost outlook is based on an average rate of 1.38 (USD/GBP) in H221 and subject to foreign currency movements. |
Barclays Group results for the half year ended | |||
30.06.21 | 30.06.20 | ||
£m | £m | % Change | |
Net interest income | 3,903 | 4,223 | (8) |
Net fee, commission and other income | 7,412 | 7,398 | |
Total income | 11,315 | 11,621 | (3) |
Credit impairment releases/(charges) | 742 | (3,738) | |
Net operating income | 12,057 | 7,883 | 53 |
Operating expenses | (7,132) | (6,563) | (9) |
Litigation and conduct | (99) | (30) | |
Total operating expenses | (7,231) | (6,593) | (10) |
Other net income/expenses | 153 | (18) | |
Profit before tax | 4,979 | 1,272 | |
Tax charge | (759) | (113) | |
Profit after tax | 4,220 | 1,159 | |
Non-controlling interests | (19) | (37) | 49 |
Other equity instrument holders | (389) | (427) | 9 |
Attributable profit | 3,812 | 695 | |
Performance measures | |||
Return on average tangible shareholders' equity | 16.4% | 2.9% | |
Average tangible shareholders' equity (£bn) | 46.5 | 48.6 | |
Cost: income ratio | 64% | 57% | |
Loan loss rate (bps) | — | 207 | |
Basic earnings per share | 22.2p | 4.0p | |
Dividend per share | 2.0p | — | |
Basic weighted average number of shares (m) | 17,140 | 17,294 | |
Period end number of shares (m) | 16,998 | 17,345 | |
Share buyback announced (£m) | 500 | — | |
Total payout equivalent per share | 4.9p | — | |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Balance sheet and capital management1 | £bn | £bn | £bn |
Loans and advances at amortised cost | 348.5 | 342.6 | 354.9 |
Loans and advances at amortised cost impairment coverage ratio | 1.8% | 2.4% | 2.5% |
Deposits at amortised cost | 500.9 | 481.0 | 466.9 |
Tangible net asset value per share | 281p | 269p | 284p |
Common equity tier 1 ratio | 15.1% | 15.1% | 14.2% |
Common equity tier 1 capital | 46.2 | 46.3 | 45.4 |
Risk weighted assets | 306.4 | 306.2 | 319.0 |
Average UK leverage ratio | 4.8% | 5.0% | 4.7% |
UK leverage ratio | 5.0% | 5.3% | 5.2% |
Funding and liquidity | |||
Group liquidity pool (£bn) | 291 | 266 | 298 |
Liquidity coverage ratio | 162% | 162% | 186% |
Loan: deposit ratio | 70% | 71% | 76% |
1 | Refer to pages 54 to 60 for further information on how capital, RWAs and leverage are calculated. |
1 | Period covering Q114 - Q221. Pre 2014 financials were not restated following re-segmentation in Q116. |
2 | Group cost outlook is based on an average rate of 1.38 (USD/GBP) in H221 and subject to foreign currency movements. |
● | Barclays delivered a profit before tax of £4,979m (H120: £1,272m), RoTE of 16.4% (H120: 2.9%), and EPS of 22.2p (H120: 4.0p). Profitability benefitted from a credit impairment net release and the upwards re-measurement of UK DTAs. The 10% depreciation of average USD against GBP adversely impacted income and profits and positively impacted total operating expenses |
● | Total income decreased to £11,315m (H120: £11,621m). Barclays UK income increased 1%. Barclays International income decreased 5%, with CIB income down 5% and CC&P income down 4%. Excluding the impact of the 10% depreciation of average USD against GBP, total income was up, reflecting the Group’s diversified income streams |
● | Credit impairment net release of £742m (H120: £3,738m charge) driven by an improved macroeconomic outlook used in the Q221 scenario refresh, lower unsecured lending balances and a benign credit environment. Barclays has maintained and refined management judgements in respect of customers and clients considered to be potentially more vulnerable as government and other support schemes start to reduce. The reduction in unsecured lending balances and growth in secured balances, with the mix impact contributing to a decrease in the Group’s loan coverage ratio to 1.8% (December 2020: 2.4%), with an unsecured loan coverage ratio at 10.2% (December 2020: 12.3%) and wholesale loan coverage ratio at 1.1% (December 2020: 1.5%) |
● | Total operating expenses increased 10% to £7,231m, due to structural cost actions of £321m primarily relating to the real estate review, higher performance costs that reflect improvement in returns, and continued investment and business growth, partially offset by efficiency savings. This resulted in a cost: income ratio of 64% (H120: 57%) |
● | The effective tax rate was 15.2% (H120: 8.9%). This reflects the £392m tax benefit recognised for the re-measurement of the Group’s UK DTAs as a result of the UK corporation tax rate increase from 19% to 25% from 1 April 2023 |
● | Attributable profit was £3,812m (H120: £695m) |
● | As a result of the share buyback completed in April, the period end number of shares was 16,998m (December 2020: 17,359m) |
● | Total assets increased to £1,376bn (December 2020: £1,350bn) primarily due to a £26bn increase in cash at central banks, a £19bn increase in trading portfolio assets due to increased activity and a £19bn increase in financial assets at fair value due to an increase in secured lending, partially offset by a £46bn decrease in derivative assets driven by an increase in major interest rate curves |
● | Tangible net asset value (TNAV) per share increased to 281p (December 2020: 269p) primarily reflecting 22.2p of EPS, partially offset by negative reserve movements |
● | The CET1 ratio remained stable at 15.1% (December 2020: 15.1%) | |
– | CET1 capital reduced by £0.1bn to £46.2bn (December 2020: £46.3bn) as profit before tax of £5.0bn was offset by the removal of temporary regulatory supporting measures introduced in 2020, dividends paid and foreseen and pensions deficit contribution payments. The £1.1bn release of non-defaulted credit impairment was more than offset by a reduction in IFRS 9 transitional relief which also decreased due to impairment migrations from stage 2 to stage 3 and the relief on the pre-2020 impairment charge reducing from 70% to 50% in 2021 | |
– | RWAs remained broadly stable at £306.4bn (December 2020: £306.2bn) primarily due to increased client and trading activity within CIB and growth in mortgages within Barclays UK, partially offset by lower consumer lending | |
● | The average UK leverage ratio decreased to 4.8% (December 2020: 5.0%). The average leverage exposure increased by £45.1bn to £1,192.0bn (December 2020: £1,146.9bn) largely driven by an increase in securities financing transactions (SFTs), trading portfolio assets (TPAs) and potential future exposure (PFE) on derivatives |
● | The liquidity pool was £291bn (December 2020: £266bn) and the liquidity coverage ratio remained significantly above the 100% regulatory requirement at 162% (December 2020: 162%), equivalent to a surplus of £108bn (December 2020: £99bn). The increase in the pool is driven by continued deposit growth, further borrowing from the Bank of England’s Term Funding Scheme with additional incentives for SMEs and a seasonal increase in short-term wholesale funding, which were partly offset by an increase in business funding consumption |
● | Wholesale funding outstanding, excluding repurchase agreements, was £158.7bn (December 2020: £145.0bn). The Group issued £5.9bn equivalent of minimum requirement for own funds and eligible liabilities (MREL) instruments from Barclays PLC (the Parent company) during the year. The Group is well advanced in its MREL issuance plans relative to the estimated 1 January 2022 requirement |
● | Barclays understands the importance of delivering attractive total cash returns to shareholders. Barclays is therefore committed to maintaining an appropriate balance between total cash returns to shareholders, investment in the business and maintaining a strong capital position. Going forward, Barclays intends to pay a progressive ordinary dividend, taking into account these objectives and the earnings outlook of the Group. It is also the Board’s intention to continue to supplement the ordinary dividends with additional cash returns, including share buybacks, to shareholders as and when appropriate |
● | Barclays will pay a half year dividend per share of 2.0p on 17 September 2021, and intends to initiate a share buyback of up to £500m which is expected to commence in Q321. This is in addition to the £700m share buyback completed in April |
● | The Board will assess the appropriate level and form of capital distributions as the year progresses |
● | Dividends will continue to be paid semi-annually, with the half year dividend expected to represent, under normal circumstances, around one-third of the total dividend for the year |
Barclays UK | Half year ended | Half year ended | |
30.06.21 | 30.06.20 | ||
Income statement information | £m | £m | % Change |
Net interest income | 2,586 | 2,637 | (2) |
Net fee, commission and other income | 613 | 534 | 15 |
Total income | 3,199 | 3,171 | 1 |
Credit impairment releases/(charges) | 443 | (1,064) | |
Net operating income | 3,642 | 2,107 | 73 |
Operating expenses | (2,114) | (2,041) | (4) |
Litigation and conduct | (22) | (11) | |
Total operating expenses | (2,136) | (2,052) | (4) |
Other net income | — | 13 | |
Profit before tax | 1,506 | 68 | |
Attributable profit | 1,019 | 52 | |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Balance sheet information | £bn | £bn | £bn |
Loans and advances to customers at amortised cost | 207.8 | 205.4 | 202.0 |
Total assets | 311.2 | 289.1 | 287.6 |
Customer deposits at amortised cost | 255.5 | 240.5 | 225.7 |
Loan: deposit ratio | 87% | 89% | 92% |
Risk weighted assets | 72.2 | 73.7 | 77.9 |
Period end allocated tangible equity | 9.9 | 9.7 | 10.3 |
Half year ended | Half year ended | ||
Key facts | 30.06.21 | 30.06.20 | |
Average loan to value of mortgage portfolio1 | 51% | 52% | |
Average loan to value of new mortgage lending1 | 69% | 68% | |
Number of branches | 755 | 904 | |
Mobile banking active customers | 9.4m | 8.7m | |
30 day arrears rate - Barclaycard Consumer UK | 1.4% | 2.0% | |
Performance measures | |||
Return on average allocated tangible equity | 20.6% | 1.0% | |
Average allocated tangible equity (£bn) | 9.9 | 10.2 | |
Cost: income ratio | 67% | 65% | |
Loan loss rate (bps) | — | 101 | |
Net interest margin | 2.54% | 2.69% |
1 | Average loan to value of mortgages is balance weighted and reflects both residential and buy-to-let (BTL) mortgage portfolios within the Home Loans portfolio. |
Analysis of Barclays UK | Half year ended | Half year ended | |
30.06.21 | 30.06.20 | ||
Analysis of total income | £m | £m | % Change |
Personal Banking | 1,910 | 1,794 | 6 |
Barclaycard Consumer UK | 605 | 803 | (25) |
Business Banking | 684 | 574 | 19 |
Total income | 3,199 | 3,171 | 1 |
Analysis of credit impairment releases/(charges) | |||
Personal Banking | 50 | (264) | |
Barclaycard Consumer UK | 398 | (697) | |
Business Banking | (5) | (103) | |
Total credit impairment releases/(charges) | 443 | (1,064) | |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Analysis of loans and advances to customers at amortised cost | £bn | £bn | £bn |
Personal Banking | 162.4 | 157.3 | 154.9 |
Barclaycard Consumer UK | 8.8 | 9.9 | 11.5 |
Business Banking | 36.6 | 38.2 | 35.6 |
Total loans and advances to customers at amortised cost | 207.8 | 205.4 | 202.0 |
Analysis of customer deposits at amortised cost | |||
Personal Banking | 191.0 | 179.7 | 169.6 |
Barclaycard Consumer UK | 0.1 | 0.1 | 0.1 |
Business Banking | 64.4 | 60.7 | 56.0 |
Total customer deposits at amortised cost | 255.5 | 240.5 | 225.7 |
● | Profit before tax increased to £1,506m (H120: £68m). RoTE was 20.6% (H120: 1.0%) reflecting materially lower credit impairment charges | |
● | Total income increased 1% to £3,199m. Net interest income reduced 2% to £2,586m with a net interest margin (NIM) of 2.54% (H120: 2.69%). Net fee, commission and other income increased 15% to £613m | |
– | Personal Banking income increased 6% to £1,910m, reflecting strong growth in mortgages alongside improved margins, balance growth in deposits and the non-recurrence of COVID-19 customer support actions, partially offset by deposit margin compression from lower interest rates and lower unsecured lending balances | |
– | Barclaycard Consumer UK income decreased 25% to £605m as reduced borrowing and continued payments by customers resulted in a lower level of interest earning lending (IEL) balances | |
– | Business Banking income increased 19% to £684m due to lending and deposit balance growth from £12.1bn of government scheme lending and the non-recurrence of COVID-19 and related customer support actions, partially offset by deposit margin compression from lower interest rates | |
● | Credit impairment net release of £443m (H120: £1,064m charge) was driven by an improved macroeconomic outlook used in the Q221 scenario refresh. The primary driver is a reduction in the anticipated peak of UK unemployment with the majority of this provision release in UK cards and personal loans. As at 30 June 2021, 30 and 90 day arrears rates in UK cards were 1.4% (H120: 2.0%) and 0.6% (H120: 1.0%) respectively | |
● | Total operating expenses increased 4% to £2,136m reflecting investment spend and higher operational and customer service costs, including ongoing financial assistance, partially offset by efficiency savings |
● | Loans and advances to customers at amortised cost increased 1% to £207.8bn predominantly from £6.9bn of mortgage growth following continued strong flow of new applications as well as strong customer retention, offset by a £1.8bn decrease in the Education, Social Housing and Local Authority (ESHLA) portfolio and £1.5bn lower unsecured lending balances, albeit loans and advances in Barclaycard Consumer UK stabilised in Q221 |
● | Customer deposits at amortised cost increased 6% to £255.5bn reflecting an increase of £11.3bn and £3.7bn in Personal Banking and Business Banking respectively, further strengthening the liquidity position and contributing to a loan: deposit ratio of 87% (December 2020: 89%) |
● | RWAs decreased to £72.2bn (December 2020: £73.7bn) driven by a reduction in unsecured lending and ESHLA, partially offset by growth in mortgages |
Barclays International | Half year ended | Half year ended | |
30.06.21 | 30.06.20 | ||
Income statement information | £m | £m | % Change |
Net interest income | 1,559 | 1,845 | (16) |
Net trading income | 3,389 | 4,020 | (16) |
Net fee, commission and other income | 3,270 | 2,789 | 17 |
Total income | 8,218 | 8,654 | (5) |
Credit impairment releases/(charges) | 293 | (2,619) | |
Net operating income | 8,511 | 6,035 | 41 |
Operating expenses | (4,606) | (4,405) | (5) |
Litigation and conduct | (84) | (11) | |
Total operating expenses | (4,690) | (4,416) | (6) |
Other net income | 22 | 10 | |
Profit before tax | 3,843 | 1,629 | |
Attributable profit | 2,698 | 997 | |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Balance sheet information | £bn | £bn | £bn |
Loans and advances at amortised cost | 121.9 | 122.7 | 138.1 |
Trading portfolio assets | 147.1 | 127.7 | 109.5 |
Derivative financial instrument assets | 255.4 | 301.8 | 306.8 |
Financial assets at fair value through the income statement | 190.4 | 170.7 | 154.3 |
Cash collateral and settlement balances | 108.5 | 97.5 | 130.8 |
Other assets | 223.5 | 221.4 | 236.3 |
Total assets | 1,046.8 | 1,041.8 | 1,075.8 |
Deposits at amortised cost | 245.4 | 240.5 | 241.2 |
Derivative financial instrument liabilities | 246.9 | 300.4 | 307.6 |
Loan: deposit ratio | 50% | 51% | 57% |
Risk weighted assets | 223.2 | 222.3 | 231.2 |
Period end allocated tangible equity | 31.8 | 30.2 | 31.6 |
Half year ended | Half year ended | ||
Performance measures | 30.06.21 | 30.06.20 | |
Return on average allocated tangible equity | 16.7% | 6.2% | |
Average allocated tangible equity (£bn) | 32.3 | 32.4 | |
Cost: income ratio | 57% | 51% | |
Loan loss rate (bps) | — | 368 | |
Net interest margin | 3.95% | 3.67% |
Analysis of Barclays International | |||
Corporate and Investment Bank | Half year ended | Half year ended | |
30.06.21 | 30.06.20 | ||
Income statement information | £m | £m | % Change |
Net interest income | 640 | 669 | (4) |
Net trading income | 3,411 | 4,043 | (16) |
Net fee, commission and other income | 2,522 | 2,221 | 14 |
Total income | 6,573 | 6,933 | (5) |
Credit impairment releases/(charges) | 272 | (1,320) | |
Net operating income | 6,845 | 5,613 | 22 |
Operating expenses | (3,509) | (3,370) | (4) |
Litigation and conduct | (2) | (3) | 33 |
Total operating expenses | (3,511) | (3,373) | (4) |
Other net income | 1 | 3 | (67) |
Profit before tax | 3,335 | 2,243 | 49 |
Attributable profit | 2,312 | 1,514 | 53 |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Balance sheet information | £bn | £bn | £bn |
Loans and advances at amortised cost | 91.0 | 92.4 | 104.9 |
Trading portfolio assets | 147.0 | 127.5 | 109.3 |
Derivative financial instrument assets | 255.3 | 301.7 | 306.7 |
Financial assets at fair value through the income statement | 190.3 | 170.4 | 153.7 |
Cash collateral and settlement balances | 107.7 | 96.7 | 129.7 |
Other assets | 192.5 | 194.9 | 205.5 |
Total assets | 983.8 | 983.6 | 1,009.8 |
Deposits at amortised cost | 178.2 | 175.2 | 173.9 |
Derivative financial instrument liabilities | 246.8 | 300.3 | 307.6 |
Risk weighted assets | 194.3 | 192.2 | 198.3 |
Half year ended | Half year ended | ||
Performance measures | 30.06.21 | 30.06.20 | |
Return on average allocated tangible equity | 16.3% | 11.0% | |
Average allocated tangible equity (£bn) | 28.3 | 27.7 | |
Cost: income ratio | 53% | 49% | |
Analysis of total income | £m | £m | % Change |
FICC | 2,099 | 3,326 | (37) |
Equities | 1,709 | 1,238 | 38 |
Global Markets1 | 3,808 | 4,564 | (17) |
Advisory | 381 | 239 | 59 |
Equity capital markets | 469 | 247 | 90 |
Debt capital markets | 882 | 881 | |
Investment Banking fees1 | 1,732 | 1,367 | 27 |
Corporate lending | 244 | 172 | 42 |
Transaction banking | 789 | 830 | (5) |
Corporate | 1,033 | 1,002 | 3 |
Total income | 6,573 | 6,933 | (5) |
1 | Previously labelled as “Markets” and “Banking fees”. |
Analysis of Barclays International | |||
Consumer, Cards and Payments | Half year ended | Half year ended | |
30.06.21 | 30.06.20 | ||
Income statement information | £m | £m | % Change |
Net interest income | 919 | 1,176 | (22) |
Net fee, commission, trading and other income | 726 | 545 | 33 |
Total income | 1,645 | 1,721 | (4) |
Credit impairment releases/(charges) | 21 | (1,299) | |
Net operating income | 1,666 | 422 | |
Operating expenses | (1,097) | (1,035) | (6) |
Litigation and conduct | (82) | (8) | |
Total operating expenses | (1,179) | (1,043) | (13) |
Other net income | 21 | 7 | |
Profit/(loss) before tax | 508 | (614) | |
Attributable profit/(loss) | 386 | (517) | |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Balance sheet information | £bn | £bn | £bn |
Loans and advances at amortised cost | 30.9 | 30.3 | 33.2 |
Total assets | 63.0 | 58.2 | 66.0 |
Deposits at amortised cost | 67.2 | 65.3 | 67.3 |
Risk weighted assets | 29.0 | 30.1 | 32.9 |
Half year ended | Half year ended | ||
Key facts | 30.06.21 | 30.06.20 | |
30 day arrears rate – Barclaycard US | 1.6% | 2.4% | |
US cards customer FICO score distribution | |||
<660 | 10% | 14% | |
>660 | 90% | 86% | |
Total number of Barclaycard payments clients | c.372,000 | c.368,000 | |
Value of payments processed (£bn)1 | 160 | 156 | |
Performance measures | |||
Return on average allocated tangible equity | 19.1% | (21.9)% | |
Average allocated tangible equity (£bn) | 4.0 | 4.7 | |
Cost: income ratio | 72% | 61% | |
Loan loss rate (bps) | — | 714 |
Half year ended | Half year ended | ||
30.06.21 | 30.06.20 | ||
Analysis of total income | £m | £m | % Change |
International Cards and Consumer Bank | 1,050 | 1,257 | (16) |
Private Bank | 393 | 362 | 9 |
Unified Payments | 202 | 102 | 98 |
Total income | 1,645 | 1,721 | (4) |
1 | Includes £129bn (H120: £124bn) of merchant acquiring payments. |
● | Profit before tax increased 136% to £3,843m with a RoTE of 16.7% (H120: 6.2%), reflecting a RoTE of 16.3% (H120: 11.0%) in CIB and 19.1% (H120: (21.9)%) in CC&P | ||
● | The 10% depreciation of average USD against GBP adversely impacted income and profits and positively impacted total operating expenses | ||
● | Total income decreased to £8,218m (H120: £8,654m) | ||
– | CIB income decreased 5% to £6,573m | ||
– | Global Markets income decreased 17% to £3,808m as a strong performance in Equities, representing the best ever first half of the year on a comparable basis1, was more than offset by FICC. Equities income increased 38% to £1,709m driven by derivatives, reflecting strong client activity, and financing through increased client balances. FICC income decreased 37% to £2,099m due to tighter spreads and the non-recurrence of H120 client activity levels | ||
– | Investment Banking fees income, representing the best ever first half of the year on a comparable basis1, increased 27% to £1,732m driven by a strong performance in Equity capital markets and Advisory reflecting an increase in the fee pool and an increased market share2 | ||
– | Within Corporate, Transaction banking income decreased 5% to £789m as deposit balance growth was more than offset by margin compression. Corporate lending income increased by 42% to £244m driven by the non-recurrence of losses on the mark-to-market of lending and related hedge positions partially offset by a current year write-off on a single name | ||
– | CC&P income decreased 4% to £1,645m | ||
– | International Cards and Consumer Bank income decreased 16% to £1,050m reflecting lower cards balances | ||
– | Private Bank income increased 9% to £393m, which included a gain on a property sale | ||
– | Unified Payments income increased 98% to £202m driven by the non-recurrence of a c.£100m valuation loss on Barclays’ preference shares in Visa Inc. resulting from the Q220 Supreme Court ruling concerning charges paid by merchants | ||
● | Credit impairment net release of £293m (H120: £2,619m charge) was driven by an improved macroeconomic outlook used in the Q221 scenario refresh | ||
– | CIB credit impairment net release of £272m (H120: £1,320m charge), supported by a benign credit risk environment and limited single name wholesale loan charges | ||
– | CC&P credit impairment net release of £21m (H120: £1,299m charge) partially driven by lower delinquencies and customer repayments. As at 30 June 2021, 30 and 90 day arrears in US cards were 1.6% (H120: 2.4%) and 0.9% (H120: 1.4%) respectively | ||
● | Total operating expenses increased 6% to £4,690m | ||
– | CIB total operating expenses increased 4% to £3,511m due to higher performance costs that reflected an improvement in returns | ||
– | CC&P total operating expenses increased 13% to £1,179m driven by the impact of higher investment spend, including marketing, and customer remediation costs related to a legacy portfolio |
● | Trading portfolio assets increased £19.4bn to £147.1bn due to increased activity |
● | Derivative financial instruments assets decreased £46.4bn and liabilities decreased £53.5bn to £255.4bn and £246.9bn respectively, driven by an increase in major interest rate curves |
● | Financial assets at fair value through the income statement increased £19.7bn to £190.4bn driven by increased secured lending |
● | Cash collateral and settlements balances increased £11.0bn to £108.5bn due to increased client activity |
● | Deposits at amortised cost increased £4.9bn to £245.4bn due to clients increasing liquidity |
● | RWAs increased to £223.2bn (December 2020: £222.3bn) primarily due to increased client and trading activity within CIB, partially offset by the depreciation of period end EUR and USD against GBP |
1 | Period covering Q114 – Q221. Pre 2014 financials were not restated following re-segmentation in Q116. |
2 | Data source: Dealogic for the period covering 1 January to 30 June 2021. |
Head Office | Half year ended | Half year ended | |
30.06.21 | 30.06.20 | ||
Income statement information | £m | £m | % Change |
Net interest income | (242) | (259) | 7 |
Net fee, commission and other income | 140 | 55 | |
Total income | (102) | (204) | 50 |
Credit impairment releases/(charges) | 6 | (55) | |
Net operating income | (96) | (259) | 63 |
Operating expenses | (412) | (117) | |
Litigation and conduct | 7 | (8) | |
Total operating expenses | (405) | (125) | |
Other net income/(expenses) | 131 | (41) | |
Loss before tax | (370) | (425) | 13 |
Attributable profit/(loss) | 95 | (354) | |
As at 30.06.21 | As at 31.12.20 | As at 30.06.20 | |
Balance sheet information | £bn | £bn | £bn |
Total assets | 18.3 | 18.6 | 21.7 |
Risk weighted assets | 11.1 | 10.2 | 9.9 |
Period end allocated tangible equity | 5.9 | 6.8 | 7.4 |
Half year ended | Half year ended | ||
Performance measures | 30.06.21 | 30.06.20 | |
Average allocated tangible equity (£bn) | 4.3 | 6.0 |
● | Loss before tax was £370m (H120: £425m) |
● | Total income was an expense of £102m (H120: £204m), which primarily reflected hedge accounting, funding costs on legacy capital instruments and treasury items, partially offset by mark-to-market gains on legacy investments |
● | Credit impairment net release of £6m (H120: £55m charge) was driven by an improved macroeconomic outlook used in the Q221 scenario refresh, resulting in a provision release for the Italian home loan portfolio |
● | Total operating expenses were £405m (H120: £125m), which included a charge of £266m relating to structural cost actions taken as part of the real estate review |
● | Other net income was £131m (H120: £41m expense) driven by a fair value gain in Barclays’ associate investment holding in the Business Growth Fund |
● | RWAs were £11.1bn (December 2020: £10.2bn) |
Barclays Group | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Income statement information | £m | £m | £m | £m | £m | £m | £m | £m | ||
Net interest income | 2,052 | 1,851 | 1,845 | 2,055 | 1,892 | 2,331 | 2,344 | 2,445 | ||
Net fee, commission and other income | 3,363 | 4,049 | 3,096 | 3,149 | 3,446 | 3,952 | 2,957 | 3,096 | ||
Total income | 5,415 | 5,900 | 4,941 | 5,204 | 5,338 | 6,283 | 5,301 | 5,541 | ||
Credit impairment releases/(charges) | 797 | (55) | (492) | (608) | (1,623) | (2,115) | (523) | (461) | ||
Net operating income | 6,212 | 5,845 | 4,449 | 4,596 | 3,715 | 4,168 | 4,778 | 5,080 | ||
Operating costs | (3,587) | (3,545) | (3,480) | (3,391) | (3,310) | (3,253) | (3,308) | (3,293) | ||
UK bank levy | — | — | (299) | — | — | — | (226) | — | ||
Litigation and conduct | (66) | (33) | (47) | (76) | (20) | (10) | (167) | (1,568) | ||
Total operating expenses | (3,653) | (3,578) | (3,826) | (3,467) | (3,330) | (3,263) | (3,701) | (4,861) | ||
Other net income/(expenses) | 21 | 132 | 23 | 18 | (26) | 8 | 20 | 27 | ||
Profit before tax | 2,580 | 2,399 | 646 | 1,147 | 359 | 913 | 1,097 | 246 | ||
Tax charge | (263) | (496) | (163) | (328) | (42) | (71) | (189) | (269) | ||
Profit/(loss) after tax | 2,317 | 1,903 | 483 | 819 | 317 | 842 | 908 | (23) | ||
Non-controlling interests | (15) | (4) | (37) | (4) | (21) | (16) | (42) | (4) | ||
Other equity instrument holders | (194) | (195) | (226) | (204) | (206) | (221) | (185) | (265) | ||
Attributable profit/(loss) | 2,108 | 1,704 | 220 | 611 | 90 | 605 | 681 | (292) | ||
Performance measures | ||||||||||
Return on average tangible shareholders' equity | 18.1% | 14.7% | 1.8% | 5.1% | 0.7% | 5.1% | 5.9% | (2.4)% | ||
Average tangible shareholders' equity (£bn) | 46.5 | 46.5 | 47.6 | 48.3 | 50.2 | 47.0 | 46.4 | 48.4 | ||
Cost: income ratio | 67% | 61% | 77% | 67% | 62% | 52% | 70% | 88% | ||
Loan loss rate (bps) | — | 6 | 56 | 69 | 179 | 223 | 60 | 52 | ||
Basic earnings/(loss) per share | 12.3p | 9.9p | 1.3p | 3.5p | 0.5p | 3.5p | 3.9p | (1.7)p | ||
Basic weighted average number of shares (m) | 17,140 | 17,293 | 17,300 | 17,298 | 17,294 | 17,278 | 17,200 | 17,192 | ||
Period end number of shares (m) | 16,998 | 17,223 | 17,359 | 17,353 | 17,345 | 17,332 | 17,322 | 17,269 | ||
Balance sheet and capital management1 | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Loans and advances at amortised cost | 348.5 | 345.8 | 342.6 | 344.4 | 354.9 | 374.1 | 339.1 | 345.1 | ||
Loans and advances at amortised cost impairment coverage ratio | 1.8% | 2.2% | 2.4% | 2.5% | 2.5% | 2.1% | 1.8% | 1.9% | ||
Total assets | 1,376.3 | 1,379.7 | 1,349.5 | 1,421.7 | 1,385.1 | 1,444.3 | 1,140.2 | 1,290.4 | ||
Deposits at amortised cost | 500.9 | 498.8 | 481.0 | 494.6 | 466.9 | 470.7 | 415.8 | 420.6 | ||
Tangible net asset value per share | 281p | 267p | 269p | 275p | 284p | 284p | 262p | 274p | ||
Common equity tier 1 ratio | 15.1% | 14.6% | 15.1% | 14.6% | 14.2% | 13.1% | 13.8% | 13.4% | ||
Common equity tier 1 capital | 46.2 | 45.9 | 46.3 | 45.5 | 45.4 | 42.5 | 40.8 | 41.9 | ||
Risk weighted assets | 306.4 | 313.4 | 306.2 | 310.7 | 319.0 | 325.6 | 295.1 | 313.3 | ||
Average UK leverage ratio | 4.8% | 4.9% | 5.0% | 5.1% | 4.7% | 4.5% | 4.5% | 4.6% | ||
Average UK leverage exposure | 1,192.0 | 1,174.9 | 1,146.9 | 1,111.1 | 1,148.7 | 1,176.2 | 1,142.8 | 1,171.2 | ||
UK leverage ratio | 5.0% | 5.0% | 5.3% | 5.2% | 5.2% | 4.5% | 5.1% | 4.8% | ||
UK leverage exposure | 1,153.6 | 1,145.4 | 1,090.9 | 1,095.1 | 1,071.1 | 1,178.7 | 1,007.7 | 1,099.8 | ||
Funding and liquidity | ||||||||||
Group liquidity pool (£bn) | 291 | 290 | 266 | 327 | 298 | 237 | 211 | 226 | ||
Liquidity coverage ratio | 162% | 161% | 162% | 181% | 186% | 155% | 160% | 151% | ||
Loan: deposit ratio | 70% | 69% | 71% | 70% | 76% | 79% | 82% | 82% |
1 | Refer to pages 54 to 60 for further information on how capital, RWAs and leverage are calculated. |
Barclays UK | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Income statement information | £m | £m | £m | £m | £m | £m | £m | £m | ||
Net interest income | 1,305 | 1,281 | 1,317 | 1,280 | 1,225 | 1,412 | 1,478 | 1,503 | ||
Net fee, commission and other income | 318 | 295 | 309 | 270 | 242 | 292 | 481 | 343 | ||
Total income | 1,623 | 1,576 | 1,626 | 1,550 | 1,467 | 1,704 | 1,959 | 1,846 | ||
Credit impairment releases/(charges) | 520 | (77) | (170) | (233) | (583) | (481) | (190) | (101) | ||
Net operating income | 2,143 | 1,499 | 1,456 | 1,317 | 884 | 1,223 | 1,769 | 1,745 | ||
Operating costs | (1,078) | (1,036) | (1,134) | (1,095) | (1,018) | (1,023) | (1,023) | (952) | ||
UK bank levy | — | — | (50) | — | — | — | (41) | — | ||
Litigation and conduct | (19) | (3) | 4 | (25) | (6) | (5) | (58) | (1,480) | ||
Total operating expenses | (1,097) | (1,039) | (1,180) | (1,120) | (1,024) | (1,028) | (1,122) | (2,432) | ||
Other net income/(expenses) | — | — | 6 | (1) | 13 | — | — | — | ||
Profit/(loss) before tax | 1,046 | 460 | 282 | 196 | (127) | 195 | 647 | (687) | ||
Attributable profit/(loss) | 721 | 298 | 160 | 113 | (123) | 175 | 438 | (907) | ||
Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Loans and advances to customers at amortised cost | 207.8 | 205.7 | 205.4 | 203.9 | 202.0 | 195.7 | 193.7 | 193.2 | ||
Total assets | 311.2 | 309.1 | 289.1 | 294.5 | 287.6 | 267.5 | 257.8 | 257.9 | ||
Customer deposits at amortised cost | 255.5 | 247.5 | 240.5 | 232.0 | 225.7 | 207.5 | 205.5 | 203.3 | ||
Loan: deposit ratio | 87% | 88% | 89% | 91% | 92% | 96% | 96% | 97% | ||
Risk weighted assets | 72.2 | 72.7 | 73.7 | 76.2 | 77.9 | 77.7 | 74.9 | 76.8 | ||
Period end allocated tangible equity | 9.9 | 10.0 | 9.7 | 10.0 | 10.3 | 10.3 | 10.3 | 10.4 | ||
Performance measures | ||||||||||
Return on average allocated tangible equity | 29.1% | 12.0% | 6.5% | 4.5% | (4.8)% | 6.9% | 17.0% | (34.9)% | ||
Average allocated tangible equity (£bn) | 9.9 | 9.9 | 9.8 | 10.1 | 10.3 | 10.1 | 10.3 | 10.4 | ||
Cost: income ratio | 68% | 66% | 73% | 72% | 70% | 60% | 57% | 132% | ||
Loan loss rate (bps) | — | 14 | 31 | 43 | 111 | 96 | 38 | 20 | ||
Net interest margin | 2.55% | 2.54% | 2.56% | 2.51% | 2.48% | 2.91% | 3.03% | 3.10% |
Analysis of Barclays UK | Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | ||
Analysis of total income | £m | £m | £m | £m | £m | £m | £m | £m | ||
Personal Banking | 987 | 923 | 895 | 833 | 826 | 968 | 1,064 | 1,035 | ||
Barclaycard Consumer UK | 290 | 315 | 354 | 362 | 367 | 436 | 533 | 472 | ||
Business Banking | 346 | 338 | 377 | 355 | 274 | 300 | 362 | 339 | ||
Total income | 1,623 | 1,576 | 1,626 | 1,550 | 1,467 | 1,704 | 1,959 | 1,846 | ||
Analysis of credit impairment releases/(charges) | ||||||||||
Personal Banking | 72 | (22) | (68) | (48) | (130) | (134) | (71) | (36) | ||
Barclaycard Consumer UK | 434 | (36) | (78) | (106) | (396) | (301) | (108) | (49) | ||
Business Banking | 14 | (19) | (24) | (79) | (57) | (46) | (11) | (16) | ||
Total credit impairment releases/(charges) | 520 | (77) | (170) | (233) | (583) | (481) | (190) | (101) | ||
Analysis of loans and advances to customers at amortised cost | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Personal Banking | 162.4 | 160.4 | 157.3 | 155.7 | 154.9 | 153.4 | 151.9 | 150.1 | ||
Barclaycard Consumer UK | 8.8 | 8.7 | 9.9 | 10.7 | 11.5 | 13.6 | 14.7 | 14.9 | ||
Business Banking | 36.6 | 36.6 | 38.2 | 37.5 | 35.6 | 28.7 | 27.1 | 28.2 | ||
Total loans and advances to customers at amortised cost | 207.8 | 205.7 | 205.4 | 203.9 | 202.0 | 195.7 | 193.7 | 193.2 | ||
Analysis of customer deposits at amortised cost | ||||||||||
Personal Banking | 191.0 | 186.0 | 179.7 | 173.2 | 169.6 | 161.4 | 159.2 | 157.9 | ||
Barclaycard Consumer UK | 0.1 | 0.1 | 0.1 | 0.1 | 0.1 | — | — | — | ||
Business Banking | 64.4 | 61.4 | 60.7 | 58.7 | 56.0 | 46.1 | 46.3 | 45.4 | ||
Total customer deposits at amortised cost | 255.5 | 247.5 | 240.5 | 232.0 | 225.7 | 207.5 | 205.5 | 203.3 |
Barclays International | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Income statement information | £m | £m | £m | £m | £m | £m | £m | £m | ||
Net interest income | 811 | 748 | 614 | 823 | 847 | 998 | 965 | 1,059 | ||
Net trading income | 1,455 | 1,934 | 1,372 | 1,528 | 1,660 | 2,360 | 929 | 1,110 | ||
Net fee, commission and other income | 1,553 | 1,717 | 1,500 | 1,430 | 1,503 | 1,286 | 1,558 | 1,581 | ||
Total income | 3,819 | 4,399 | 3,486 | 3,781 | 4,010 | 4,644 | 3,452 | 3,750 | ||
Credit impairment releases/(charges) | 271 | 22 | (291) | (370) | (1,010) | (1,609) | (329) | (352) | ||
Net operating income | 4,090 | 4,421 | 3,195 | 3,411 | 3,000 | 3,035 | 3,123 | 3,398 | ||
Operating costs | (2,168) | (2,438) | (2,133) | (2,227) | (2,186) | (2,219) | (2,240) | (2,282) | ||
UK bank levy | — | — | (240) | — | — | — | (174) | — | ||
Litigation and conduct | (63) | (21) | (9) | (28) | (11) | — | (86) | — | ||
Total operating expenses | (2,231) | (2,459) | (2,382) | (2,255) | (2,197) | (2,219) | (2,500) | (2,282) | ||
Other net income | 13 | 9 | 9 | 9 | 4 | 6 | 17 | 21 | ||
Profit before tax | 1,872 | 1,971 | 822 | 1,165 | 807 | 822 | 640 | 1,137 | ||
Attributable profit | 1,267 | 1,431 | 441 | 782 | 468 | 529 | 397 | 799 | ||
Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Loans and advances at amortised cost | 121.9 | 123.5 | 122.7 | 128.0 | 138.1 | 167.0 | 132.8 | 138.1 | ||
Trading portfolio assets | 147.1 | 131.1 | 127.7 | 122.3 | 109.5 | 101.6 | 113.3 | 119.4 | ||
Derivative financial instrument assets | 255.4 | 269.4 | 301.8 | 295.9 | 306.8 | 341.5 | 228.9 | 286.0 | ||
Financial assets at fair value through the income statement | 190.4 | 197.5 | 170.7 | 178.2 | 154.3 | 188.4 | 128.4 | 158.0 | ||
Cash collateral and settlement balances | 108.5 | 109.7 | 97.5 | 121.8 | 130.8 | 153.2 | 79.4 | 112.5 | ||
Other assets | 223.5 | 221.7 | 221.4 | 261.7 | 236.3 | 201.5 | 178.6 | 195.6 | ||
Total assets | 1,046.8 | 1,052.9 | 1,041.8 | 1,107.9 | 1,075.8 | 1,153.2 | 861.4 | 1,009.6 | ||
Deposits at amortised cost | 245.4 | 251.2 | 240.5 | 262.4 | 241.2 | 263.3 | 210.0 | 217.6 | ||
Derivative financial instrument liabilities | 246.9 | 260.2 | 300.4 | 293.3 | 307.6 | 338.8 | 228.9 | 283.3 | ||
Loan: deposit ratio | 50% | 49% | 51% | 49% | 57% | 63% | 63% | 63% | ||
Risk weighted assets | 223.2 | 230.0 | 222.3 | 224.7 | 231.2 | 237.9 | 209.2 | 223.1 | ||
Period end allocated tangible equity | 31.8 | 32.7 | 30.2 | 30.5 | 31.6 | 33.1 | 29.6 | 31.4 | ||
Performance measures | ||||||||||
Return on average allocated tangible equity | 15.6% | 17.7% | 5.8% | 10.2% | 5.6% | 6.8% | 5.1% | 9.9% | ||
Average allocated tangible equity (£bn) | 32.4 | 32.3 | 30.5 | 30.6 | 33.5 | 31.2 | 30.9 | 32.2 | ||
Cost: income ratio | 58% | 56% | 68% | 60% | 55% | 48% | 72% | 61% | ||
Loan loss rate (bps) | — | (7) | 90 | 112 | 284 | 377 | 96 | 99 | ||
Net interest margin | 3.96% | 3.92% | 3.41% | 3.79% | 3.43% | 3.93% | 4.29% | 4.10% |
Analysis of Barclays International | ||||||||||
Corporate and Investment Bank | Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | ||
Income statement information | £m | £m | £m | £m | £m | £m | £m | £m | ||
Net interest income | 370 | 270 | 110 | 305 | 334 | 335 | 248 | 339 | ||
Net trading income | 1,494 | 1,917 | 1,397 | 1,535 | 1,812 | 2,231 | 951 | 1,126 | ||
Net fee, commission and other income | 1,115 | 1,407 | 1,131 | 1,065 | 1,170 | 1,051 | 1,115 | 1,152 | ||
Total income | 2,979 | 3,594 | 2,638 | 2,905 | 3,316 | 3,617 | 2,314 | 2,617 | ||
Credit impairment releases/(charges) | 229 | 43 | (52) | (187) | (596) | (724) | (30) | (31) | ||
Net operating income | 3,208 | 3,637 | 2,586 | 2,718 | 2,720 | 2,893 | 2,284 | 2,586 | ||
Operating costs | (1,623) | (1,886) | (1,603) | (1,716) | (1,680) | (1,690) | (1,691) | (1,712) | ||
UK bank levy | — | — | (226) | — | — | — | (156) | — | ||
Litigation and conduct | (1) | (1) | 2 | (3) | (3) | — | (79) | (4) | ||
Total operating expenses | (1,624) | (1,887) | (1,827) | (1,719) | (1,683) | (1,690) | (1,926) | (1,716) | ||
Other net income | — | 1 | 2 | 1 | 3 | — | 1 | 12 | ||
Profit before tax | 1,584 | 1,751 | 761 | 1,000 | 1,040 | 1,203 | 359 | 882 | ||
Attributable profit | 1,049 | 1,263 | 413 | 627 | 694 | 820 | 193 | 609 | ||
Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Loans and advances at amortised cost | 91.0 | 94.3 | 92.4 | 96.8 | 104.9 | 128.2 | 92.0 | 95.8 | ||
Trading portfolio assets | 147.0 | 130.9 | 127.5 | 122.2 | 109.3 | 101.5 | 113.3 | 119.3 | ||
Derivative financial instruments assets | 255.3 | 269.4 | 301.7 | 295.9 | 306.7 | 341.4 | 228.8 | 286.0 | ||
Financial assets at fair value through the income statement | 190.3 | 197.3 | 170.4 | 177.9 | 153.7 | 187.8 | 127.7 | 157.3 | ||
Cash collateral and settlement balances | 107.7 | 108.8 | 96.7 | 121.0 | 129.7 | 152.2 | 78.5 | 111.6 | ||
Other assets | 192.5 | 190.8 | 194.9 | 228.9 | 205.5 | 171.4 | 155.3 | 171.5 | ||
Total assets | 983.8 | 991.5 | 983.6 | 1,042.7 | 1,009.8 | 1,082.5 | 795.6 | 941.5 | ||
Deposits at amortised cost | 178.2 | 185.2 | 175.2 | 195.6 | 173.9 | 198.4 | 146.2 | 152.1 | ||
Derivative financial instrument liabilities | 246.8 | 260.2 | 300.3 | 293.2 | 307.6 | 338.7 | 228.9 | 283.2 | ||
Risk weighted assets | 194.3 | 201.3 | 192.2 | 193.3 | 198.3 | 201.7 | 171.5 | 184.9 | ||
Performance measures | ||||||||||
Return on average allocated tangible equity | 14.8% | 17.9% | 6.3% | 9.5% | 9.6% | 12.5% | 3.0% | 9.1% | ||
Average allocated tangible equity (£bn) | 28.4 | 28.2 | 26.3 | 26.4 | 29.0 | 26.2 | 25.8 | 26.9 | ||
Cost: income ratio | 55% | 53% | 69% | 59% | 51% | 47% | 83% | 66% | ||
Analysis of total income | £m | £m | £m | £m | £m | £m | £m | £m | ||
FICC | 895 | 1,204 | 812 | 1,000 | 1,468 | 1,858 | 726 | 816 | ||
Equities | 777 | 932 | 542 | 691 | 674 | 564 | 409 | 494 | ||
Global Markets1 | 1,672 | 2,136 | 1,354 | 1,691 | 2,142 | 2,422 | 1,135 | 1,310 | ||
Advisory | 218 | 163 | 232 | 90 | 84 | 155 | 202 | 221 | ||
Equity capital markets | 226 | 243 | 104 | 122 | 185 | 62 | 56 | 86 | ||
Debt capital markets | 429 | 453 | 418 | 398 | 463 | 418 | 322 | 381 | ||
Investment Banking fees1 | 873 | 859 | 754 | 610 | 732 | 635 | 580 | 688 | ||
Corporate lending | 38 | 206 | 186 | 232 | 61 | 111 | 202 | 195 | ||
Transaction banking | 396 | 393 | 344 | 372 | 381 | 449 | 397 | 424 | ||
Corporate | 434 | 599 | 530 | 604 | 442 | 560 | 599 | 619 | ||
Total income | 2,979 | 3,594 | 2,638 | 2,905 | 3,316 | 3,617 | 2,314 | 2,617 |
1 | Previously labelled as “Markets” and “Banking fees”. |
Analysis of Barclays International | ||||||||||
Consumer, Cards and Payments | Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | ||
Income statement information | £m | £m | £m | £m | £m | £m | £m | £m | ||
Net interest income | 441 | 478 | 504 | 518 | 513 | 663 | 717 | 720 | ||
Net fee, commission, trading and other income | 399 | 327 | 344 | 358 | 181 | 364 | 421 | 413 | ||
Total income | 840 | 805 | 848 | 876 | 694 | 1,027 | 1,138 | 1,133 | ||
Credit impairment releases/(charges) | 42 | (21) | (239) | (183) | (414) | (885) | (299) | (321) | ||
Net operating income | 882 | 784 | 609 | 693 | 280 | 142 | 839 | 812 | ||
Operating costs | (545) | (552) | (530) | (511) | (506) | (529) | (549) | (570) | ||
UK bank levy | — | — | (14) | — | — | — | (18) | — | ||
Litigation and conduct | (62) | (20) | (11) | (25) | (8) | — | (7) | 4 | ||
Total operating expenses | (607) | (572) | (555) | (536) | (514) | (529) | (574) | (566) | ||
Other net income | 13 | 8 | 7 | 8 | 1 | 6 | 16 | 9 | ||
Profit/(loss) before tax | 288 | 220 | 61 | 165 | (233) | (381) | 281 | 255 | ||
Attributable profit/(loss) | 218 | 168 | 28 | 155 | (226) | (291) | 204 | 190 | ||
Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Loans and advances at amortised cost | 30.9 | 29.2 | 30.3 | 31.2 | 33.2 | 38.8 | 40.8 | 42.3 | ||
Total assets | 63.0 | 61.4 | 58.2 | 65.2 | 66.0 | 70.7 | 65.8 | 68.1 | ||
Deposits at amortised cost | 67.2 | 66.0 | 65.3 | 66.8 | 67.3 | 64.9 | 63.8 | 65.5 | ||
Risk weighted assets | 29.0 | 28.8 | 30.1 | 31.4 | 32.9 | 36.2 | 37.7 | 38.2 | ||
Performance measures | ||||||||||
Return on average allocated tangible equity | 21.8% | 16.5% | 2.7% | 14.7% | (20.2)% | (23.5)% | 15.9% | 14.2% | ||
Average allocated tangible equity (£bn) | 4.0 | 4.1 | 4.2 | 4.2 | 4.5 | 5.0 | 5.1 | 5.3 | ||
Cost: income ratio | 72% | 71% | 65% | 61% | 74% | 52% | 50% | 50% | ||
Loan loss rate (bps) | — | 27 | 286 | 211 | 455 | 846 | 273 | 283 |
Head Office | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Income statement information | £m | £m | £m | £m | £m | £m | £m | £m | ||
Net interest income | (64) | (178) | (86) | (48) | (180) | (79) | (99) | (117) | ||
Net fee, commission and other income | 37 | 103 | (85) | (79) | 41 | 14 | (11) | 62 | ||
Total income | (27) | (75) | (171) | (127) | (139) | (65) | (110) | (55) | ||
Credit impairment releases/(charges) | 6 | — | (31) | (5) | (30) | (25) | (4) | (8) | ||
Net operating expenses | (21) | (75) | (202) | (132) | (169) | (90) | (114) | (63) | ||
Operating costs | (341) | (71) | (213) | (69) | (106) | (11) | (45) | (59) | ||
UK bank levy | — | — | (9) | — | — | — | (11) | — | ||
Litigation and conduct | 16 | (9) | (42) | (23) | (3) | (5) | (23) | (88) | ||
Total operating expenses | (325) | (80) | (264) | (92) | (109) | (16) | (79) | (147) | ||
Other net income/(expenses) | 8 | 123 | 8 | 10 | (43) | 2 | 3 | 6 | ||
Loss before tax | (338) | (32) | (458) | (214) | (321) | (104) | (190) | (204) | ||
Attributable profit/(loss) | 120 | (25) | (381) | (284) | (255) | (99) | (154) | (184) | ||
Balance sheet information | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | ||
Total assets | 18.3 | 17.7 | 18.6 | 19.3 | 21.7 | 23.6 | 21.0 | 22.9 | ||
Risk weighted assets | 11.1 | 10.7 | 10.2 | 9.8 | 9.9 | 10.0 | 11.0 | 13.4 | ||
Period end allocated tangible equity | 5.9 | 3.3 | 6.8 | 7.1 | 7.4 | 6.0 | 5.6 | 5.5 | ||
Performance measures | ||||||||||
Average allocated tangible equity (£bn) | 4.2 | 4.3 | 7.3 | 7.6 | 6.4 | 5.6 | 5.2 | 5.8 |
Margins and balances | ||||||
Half year ended 30.06.21 | Half year ended 30.06.20 | |||||
Net interest income | Average customer assets | Net interest margin | Net interest income | Average customer assets | Net interest margin | |
£m | £m | % | £m | £m | % | |
Barclays UK | 2,586 | 204,930 | 2.54 | 2,637 | 197,023 | 2.69 |
Barclays International1,2 | 1,518 | 77,413 | 3.95 | 1,848 | 101,286 | 3.67 |
Total Barclays UK and Barclays International | 4,104 | 282,343 | 2.93 | 4,485 | 298,309 | 3.02 |
Other3 | (201) | (262) | ||||
Total Barclays Group | 3,903 | 4,223 |
1 | Barclays International margins include IEL balances within the investment banking business. |
2 | Barclays amended the presentation of the premium paid for purchased financial guarantees which are embedded in notes it issues directly to the market in Q420 from net investment income to interest expense within net interest income. Had the equivalent H120 interest expense been recognised in net interest income, the Barclays International and Total Barclays UK and Barclays International NIMs would have been 3.57% and 2.99% respectively. |
3 | Other includes Head Office and non-lending related investment banking businesses not included in Barclays International margins. |
Quarterly analysis for Barclays UK and Barclays International | Net interest income | Average customer assets | Net interest margin |
Three months ended 30.06.21 | £m | £m | % |
Barclays UK | 1,305 | 205,168 | 2.55 |
Barclays International1 | 763 | 77,330 | 3.96 |
Total Barclays UK and Barclays International | 2,068 | 282,498 | 2.94 |
Three months ended 31.03.21 | |||
Barclays UK | 1,281 | 204,663 | 2.54 |
Barclays International1 | 755 | 78,230 | 3.92 |
Total Barclays UK and Barclays International | 2,036 | 282,893 | 2.92 |
Three months ended 31.12.20 | |||
Barclays UK | 1,317 | 204,315 | 2.56 |
Barclays International1,2 | 696 | 81,312 | 3.41 |
Total Barclays UK and Barclays International | 2,013 | 285,627 | 2.80 |
Three months ended 30.09.20 | |||
Barclays UK | 1,280 | 203,089 | 2.51 |
Barclays International1,2 | 838 | 88,032 | 3.79 |
Total Barclays UK and Barclays International | 2,118 | 291,121 | 2.89 |
Three months ended 30.06.20 | |||
Barclays UK | 1,225 | 199,039 | 2.48 |
Barclays International1,2 | 868 | 101,706 | 3.43 |
Total Barclays UK and Barclays International | 2,093 | 300,745 | 2.80 |
1 | Barclays International margins include IEL balances within the investment banking business. |
2 | The reclassification of expense of the premium paid for purchased financial guarantees from net investment income to net interest income was recognised in full in Q420 and resulted in a 0.48% reduction on the Q420 Barclays International NIM and 0.14% reduction on the Q420 Total Barclays UK and Barclays International NIM. Had the equivalent impact been reflected in the respective quarters, the Barclays International NIM would have been 3.33% in Q220, 3.68% in Q320 and 3.77% in Q420. Total Barclays UK and Barclays International NIMs would have been 2.77% in Q220, 2.86% in Q320 and 2.91% in Q420 respectively. |
● | Conduct risk: in undertaking actions to transition away from using certain reference rates (such as LIBOR) to new alternative RFRs, the Group faces conduct risks. These may lead to customer complaints, regulatory sanctions or reputational impact if the Group is considered to be (among other things) (i) undertaking market activities that are manipulative or create a false or misleading impression, (ii) misusing sensitive information or not identifying or appropriately managing or mitigating conflicts of interest, (iii) providing customers with inadequate advice, misleading information, unsuitable products or unacceptable service, (iv) not taking a consistent approach to remediation for customers in similar circumstances, (v) unduly delaying the communication and migration activities in relation to client exposure, leaving them insufficient time to prepare, or (vi) colluding or inappropriately sharing information with competitors |
● | Litigation risk: members of the Group may face legal proceedings, regulatory investigations and/or other actions or proceedings regarding (among other things) (i) the conduct risks identified above, (ii) the interpretation and enforceability of provisions in LIBOR-based contracts, and (iii) the Group’s preparation and readiness for the replacement of LIBOR with alternative RFRs |
● | Financial risk: the valuation of certain of the Group’s financial assets and liabilities may change. Moreover, transitioning to alternative RFRs may impact the ability of members of the Group to calculate and model amounts receivable by them on certain financial assets and determine the amounts payable on certain financial liabilities (such as debt securities issued by them) because currently alternative RFRs (such as the Sterling Overnight Index Average (SONIA) and the Secured Overnight Financing Rate (SOFR)) are look-back rates whereas term rates (such as LIBOR) allow borrowers to calculate at the start of any interest period exactly how much is payable at the end of such interest period. This may have a material adverse effect on the Group’s cash flows |
● | Pricing risk: changes to existing reference rates and indices, discontinuation of any reference rate or indices and transition to alternative RFRs may impact the pricing mechanisms used by the Group on certain transactions |
● | Operational risk: changes to existing reference rates and indices, discontinuation of any reference rate or index and transition to alternative RFRs may require changes to the Group’s IT systems, trade reporting infrastructure, operational processes, and controls. In addition, if any reference rate or index (such as LIBOR) is no longer available to calculate amounts payable, the Group may incur additional expenses in amending documentation for new and existing transactions and/or effecting the transition from the original reference rate or index to a new reference rate or index |
● | Accounting risk: an inability to apply hedge accounting in accordance with IAS 39 could lead to increased volatility in the Group’s financial results and performance |
Gross exposure | Impairment allowance | Net exposure | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |||
As at 30.06.21 | £m | £m | £m | £m | £m | £m | £m | £m | £m | |
Barclays UK | 158,587 | 23,576 | 2,715 | 184,878 | 313 | 1,035 | 944 | 2,292 | 182,586 | |
Barclays International | 23,286 | 2,886 | 1,760 | 27,932 | 575 | 781 | 1,004 | 2,360 | 25,572 | |
Head Office | 4,003 | 502 | 760 | 5,265 | 3 | 39 | 358 | 400 | 4,865 | |
Total Barclays Group retail | 185,876 | 26,964 | 5,235 | 218,075 | 891 | 1,855 | 2,306 | 5,052 | 213,023 | |
Barclays UK | 36,069 | 1,727 | 1,081 | 38,877 | 63 | 49 | 89 | 201 | 38,676 | |
Barclays International | 82,515 | 13,617 | 1,425 | 97,557 | 231 | 329 | 673 | 1,233 | 96,324 | |
Head Office | 522 | 3 | 32 | 557 | — | — | 31 | 31 | 526 | |
Total Barclays Group wholesale1 | 119,106 | 15,347 | 2,538 | 136,991 | 294 | 378 | 793 | 1,465 | 135,526 | |
Total loans and advances at amortised cost | 304,982 | 42,311 | 7,773 | 355,066 | 1,185 | 2,233 | 3,099 | 6,517 | 348,549 | |
Off-balance sheet loan commitments and financial guarantee contracts2 | 298,150 | 45,696 | 664 | 344,510 | 228 | 436 | 49 | 713 | 343,797 | |
Total3 | 603,132 | 88,007 | 8,437 | 699,576 | 1,413 | 2,669 | 3,148 | 7,230 | 692,346 | |
As at 30.06.21 | Half year ended 30.06.21 | |||||||||
Coverage ratio | Loan impairment release and loan loss rate | |||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Loan impairment release | Loan loss rate | |||||
% | % | % | % | £m | bps | |||||
Barclays UK | 0.2 | 4.4 | 34.8 | 1.2 | (259) | — | ||||
Barclays International | 2.5 | 27.1 | 57.0 | 8.4 | (19) | — | ||||
Head Office | 0.1 | 7.8 | 47.1 | 7.6 | (6) | — | ||||
Total Barclays Group retail | 0.5 | 6.9 | 44.0 | 2.3 | (284) | — | ||||
Barclays UK | 0.2 | 2.8 | 8.2 | 0.5 | (23) | — | ||||
Barclays International | 0.3 | 2.4 | 47.2 | 1.3 | (75) | — | ||||
Head Office | — | — | 96.9 | 5.6 | — | — | ||||
Total Barclays Group wholesale1 | 0.2 | 2.5 | 31.2 | 1.1 | (98) | — | ||||
Total loans and advances at amortised cost | 0.4 | 5.3 | 39.9 | 1.8 | (382) | — | ||||
Off-balance sheet loan commitments and financial guarantee contracts2 | 0.1 | 1.0 | 7.4 | 0.2 | (343) | |||||
Other financial assets subject to impairment3 | (17) | |||||||||
Total | 0.2 | 3.0 | 37.3 | 1.0 | (742) |
1 | Includes Wealth and Private Banking exposures measured on an individual basis, and excludes Business Banking exposures that are managed on a collective basis. The net impact is a difference in total exposure of £7,796m of balances reported as wholesale loans on page 29 in the Loans and advances at amortised cost by product disclosure. |
2 | Excludes loan commitments and financial guarantees of £21bn carried at fair value. |
3 | Other financial assets subject to impairment not included in the table above include cash collateral and settlement balances, financial assets at fair value through other comprehensive income and other assets. These have a total gross exposure of £186.0bn and impairment allowance of £114m. This comprises £9m ECL on £185.8bn Stage 1 assets, £3m on £58m Stage 2 fair value through other comprehensive income assets, cash collateral and settlement balances and £102m on £109m Stage 3 other assets. |
Gross exposure | Impairment allowance | Net exposure | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |||
As at 31.12.20 | £m | £m | £m | £m | £m | £m | £m | £m | £m | |
Barclays UK | 153,250 | 23,896 | 2,732 | 179,878 | 332 | 1,509 | 1,147 | 2,988 | 176,890 | |
Barclays International1 | 21,048 | 5,500 | 1,992 | 28,540 | 396 | 1,329 | 1,205 | 2,930 | 25,610 | |
Head Office | 4,267 | 720 | 844 | 5,831 | 4 | 51 | 380 | 435 | 5,396 | |
Total Barclays Group retail | 178,565 | 30,116 | 5,568 | 214,249 | 732 | 2,889 | 2,732 | 6,353 | 207,896 | |
Barclays UK | 31,918 | 4,325 | 1,126 | 37,369 | 13 | 129 | 116 | 258 | 37,111 | |
Barclays International1 | 79,911 | 16,565 | 2,270 | 98,746 | 288 | 546 | 859 | 1,693 | 97,053 | |
Head Office | 570 | — | 33 | 603 | — | — | 31 | 31 | 572 | |
Total Barclays Group wholesale2 | 112,399 | 20,890 | 3,429 | 136,718 | 301 | 675 | 1,006 | 1,982 | 134,736 | |
Total loans and advances at amortised cost | 290,964 | 51,006 | 8,997 | 350,967 | 1,033 | 3,564 | 3,738 | 8,335 | 342,632 | |
Off-balance sheet loan commitments and financial guarantee contracts3 | 289,939 | 52,891 | 2,330 | 345,160 | 256 | 758 | 50 | 1,064 | 344,096 | |
Total4 | 580,903 | 103,897 | 11,327 | 696,127 | 1,289 | 4,322 | 3,788 | 9,399 | 686,728 | |
As at 31.12.20 | Year ended 31.12.20 | |||||||||
Coverage ratio | Loan impairment charge and loan loss rate5 | |||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Loan impairment charge | Loan loss rate | |||||
% | % | % | % | £m | bps | |||||
Barclays UK | 0.2 | 6.3 | 42.0 | 1.7 | 1,070 | 59 | ||||
Barclays International1 | 1.9 | 24.2 | 60.5 | 10.3 | 1,680 | 589 | ||||
Head Office | 0.1 | 7.1 | 45.0 | 7.5 | 91 | 156 | ||||
Total Barclays Group retail | 0.4 | 9.6 | 49.1 | 3.0 | 2,841 | 133 | ||||
Barclays UK | — | 3.0 | 10.3 | 0.7 | 154 | 41 | ||||
Barclays International1 | 0.4 | 3.3 | 37.8 | 1.7 | 914 | 93 | ||||
Head Office | — | — | 93.9 | 5.1 | — | — | ||||
Total Barclays Group wholesale2 | 0.3 | 3.2 | 29.3 | 1.4 | 1,068 | 78 | ||||
Total loans and advances at amortised cost | 0.4 | 7.0 | 41.5 | 2.4 | 3,909 | 111 | ||||
Off-balance sheet loan commitments and financial guarantee contracts3 | 0.1 | 1.4 | 2.1 | 0.3 | 776 | |||||
Other financial assets subject to impairment4 | 153 | |||||||||
Total5 | 0.2 | 4.2 | 33.4 | 1.4 | 4,838 |
1 | Private Banking have refined the methodology to classify £5bn of their exposure between Wholesale and Retail during the year. |
2 | Includes Wealth and Private Banking exposures measured on an individual basis, and excludes Business Banking exposures that are managed on a collective basis. The net impact is a difference in total exposure of £7,551m of balances reported as wholesale loans on page 29 in the Loans and advances at amortised cost by product disclosure. |
3 | Excludes loan commitments and financial guarantees of £9.5bn carried at fair value. |
4 | Other financial assets subject to impairment not included in the table above include cash collateral and settlement balances, financial assets at fair value through other comprehensive income and other assets. These have a total gross exposure of £180.3bn and impairment allowance of £165m. This comprises £11m ECL on £175.7bn Stage 1 assets, £9m on £4.4bn Stage 2 fair value through other comprehensive income assets, other assets and cash collateral and settlement balances and £145m on £154m Stage 3 other assets. |
5 | The loan loss rate is 138 bps after applying the total impairment charge of £4,838m. |
Stage 2 | |||||||
As at 30.06.21 | Stage 1 | Not past due | <=30 days past due | >30 days past due | Total | Stage 3 | Total |
Gross exposure | £m | £m | £m | £m | £m | £m | £m |
Home loans | 144,103 | 17,991 | 1,666 | 823 | 20,480 | 2,235 | 166,818 |
Credit cards, unsecured loans and other retail lending | 34,537 | 5,642 | 300 | 209 | 6,151 | 2,773 | 43,461 |
Wholesale loans | 126,342 | 14,760 | 529 | 391 | 15,680 | 2,765 | 144,787 |
Total | 304,982 | 38,393 | 2,495 | 1,423 | 42,311 | 7,773 | 355,066 |
Impairment allowance | |||||||
Home loans | 15 | 56 | 6 | 7 | 69 | 389 | 473 |
Credit cards, unsecured loans and other retail lending | 834 | 1,547 | 100 | 120 | 1,767 | 1,852 | 4,453 |
Wholesale loans | 336 | 381 | 5 | 11 | 397 | 858 | 1,591 |
Total | 1,185 | 1,984 | 111 | 138 | 2,233 | 3,099 | 6,517 |
Net exposure | |||||||
Home loans | 144,088 | 17,935 | 1,660 | 816 | 20,411 | 1,846 | 166,345 |
Credit cards, unsecured loans and other retail lending | 33,703 | 4,095 | 200 | 89 | 4,384 | 921 | 39,008 |
Wholesale loans | 126,006 | 14,379 | 524 | 380 | 15,283 | 1,907 | 143,196 |
Total | 303,797 | 36,409 | 2,384 | 1,285 | 40,078 | 4,674 | 348,549 |
Coverage ratio | % | % | % | % | % | % | % |
Home loans | — | 0.3 | 0.4 | 0.9 | 0.3 | 17.4 | 0.3 |
Credit cards, unsecured loans and other retail lending | 2.4 | 27.4 | 33.3 | 57.4 | 28.7 | 66.8 | 10.2 |
Wholesale loans | 0.3 | 2.6 | 0.9 | 2.8 | 2.5 | 31.0 | 1.1 |
Total | 0.4 | 5.2 | 4.4 | 9.7 | 5.3 | 39.9 | 1.8 |
As at 31.12.20 | |||||||
Gross exposure | £m | £m | £m | £m | £m | £m | £m |
Home loans | 138,639 | 16,651 | 1,785 | 876 | 19,312 | 2,234 | 160,185 |
Credit cards, unsecured loans and other retail lending | 33,021 | 9,470 | 544 | 306 | 10,320 | 3,172 | 46,513 |
Wholesale loans | 119,304 | 19,501 | 1,097 | 776 | 21,374 | 3,591 | 144,269 |
Total | 290,964 | 45,622 | 3,426 | 1,958 | 51,006 | 8,997 | 350,967 |
Impairment allowance | |||||||
Home Loans | 33 | 57 | 13 | 14 | 84 | 421 | 538 |
Credit cards, unsecured loans and other retail lending | 680 | 2,382 | 180 | 207 | 2,769 | 2,251 | 5,700 |
Wholesale Loans | 320 | 650 | 50 | 11 | 711 | 1,066 | 2,097 |
Total | 1,033 | 3,089 | 243 | 232 | 3,564 | 3,738 | 8,335 |
Net exposure | |||||||
Home loans | 138,606 | 16,594 | 1,772 | 862 | 19,228 | 1,813 | 159,647 |
Credit cards, unsecured loans and other retail lending | 32,341 | 7,088 | 364 | 99 | 7,551 | 921 | 40,813 |
Wholesale loans | 118,984 | 18,851 | 1,047 | 765 | 20,663 | 2,525 | 142,172 |
Total | 289,931 | 42,533 | 3,183 | 1,726 | 47,442 | 5,259 | 342,632 |
Coverage ratio | % | % | % | % | % | % | % |
Home loans | — | 0.3 | 0.7 | 1.6 | 0.4 | 18.8 | 0.3 |
Credit cards, unsecured loans and other retail lending | 2.1 | 25.2 | 33.1 | 67.6 | 26.8 | 71.0 | 12.3 |
Wholesale loans | 0.3 | 3.3 | 4.6 | 1.4 | 3.3 | 29.7 | 1.5 |
Total | 0.4 | 6.8 | 7.1 | 11.8 | 7.0 | 41.5 | 2.4 |
Gross exposure | Impairment allowance | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | ||
As at 30.06.21 | £m | £m | £m | £m | £m | £m | £m | £m | |
Air travel | 305 | 322 | 21 | 648 | 3 | 13 | 18 | 34 | |
Hospitality and leisure | 4,019 | 1,907 | 298 | 6,224 | 48 | 68 | 49 | 165 | |
Oil and gas | 1,877 | 465 | 234 | 2,576 | 14 | 12 | 128 | 154 | |
Retail | 4,089 | 962 | 148 | 5,199 | 63 | 30 | 44 | 137 | |
Shipping | 485 | 220 | 12 | 717 | 5 | 35 | — | 40 | |
Transportation | 1,768 | 161 | 102 | 2,031 | 20 | 4 | 37 | 61 | |
Total | 12,543 | 4,037 | 815 | 17,395 | 153 | 162 | 276 | 591 | |
Total of Wholesale exposures | 10% | 26% | 29% | 12% | 45% | 41% | 32% | 37% | |
Gross exposure | Impairment allowance | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | ||
As at 31.12.20 | £m | £m | £m | £m | £m | £m | £m | £m | |
Air travel | 367 | 525 | 56 | 948 | 9 | 27 | 23 | 59 | |
Hospitality and leisure | 4,440 | 2,387 | 313 | 7,140 | 53 | 115 | 61 | 229 | |
Oil and gas | 1,754 | 854 | 465 | 3,073 | 31 | 27 | 140 | 198 | |
Retail | 3,907 | 1,153 | 283 | 5,343 | 78 | 51 | 108 | 237 | |
Shipping | 308 | 389 | 12 | 709 | 2 | 30 | 1 | 33 | |
Transportation | 1,148 | 253 | 125 | 1,526 | 19 | 10 | 57 | 86 | |
Total | 11,924 | 5,561 | 1,254 | 18,739 | 192 | 260 | 390 | 842 | |
Total of Wholesale exposures | 10% | 26% | 35% | 13% | 60% | 37% | 37% | 40% |
Loans and advances at amortised cost | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | |||||
Gross exposure | ECL | Gross exposure | ECL | Gross exposure | ECL | Gross exposure | ECL | |
Home loans | £m | £m | £m | £m | £m | £m | £m | £m |
As at 1 January 2021 | 138,639 | 33 | 19,312 | 84 | 2,234 | 421 | 160,185 | 538 |
Transfers from Stage 1 to Stage 2 | (6,369) | (2) | 6,369 | 2 | — | — | — | — |
Transfers from Stage 2 to Stage 1 | 3,615 | 21 | (3,615) | (21) | — | — | — | — |
Transfers to Stage 3 | (160) | — | (337) | (7) | 497 | 7 | — | — |
Transfers from Stage 3 | 21 | — | 119 | 3 | (140) | (3) | — | — |
Business activity in the year | 19,231 | 2 | 380 | 1 | — | — | 19,611 | 3 |
Changes to models used for calculation1 | — | — | — | (4) | — | 38 | — | 34 |
Net drawdowns, repayments, net re-measurement and movement due to exposure and risk parameter changes | (4,670) | (38) | (667) | 13 | (124) | (54) | (5,461) | (79) |
Final repayments | (6,204) | (1) | (1,081) | (2) | (220) | (8) | (7,505) | (11) |
Disposals | — | — | — | — | — | — | — | — |
Write-offs2 | — | — | — | — | (12) | (12) | (12) | (12) |
As at 30 June 20213 | 144,103 | 15 | 20,480 | 69 | 2,235 | 389 | 166,818 | 473 |
Credit cards, unsecured loans and other retail lending | ||||||||
As at 1 January 2021 | 33,021 | 680 | 10,320 | 2,769 | 3,172 | 2,251 | 46,513 | 5,700 |
Transfers from Stage 1 to Stage 2 | (1,590) | (72) | 1,590 | 72 | — | — | — | — |
Transfers from Stage 2 to Stage 1 | 4,376 | 1,080 | (4,376) | (1,080) | — | — | — | — |
Transfers to Stage 3 | (264) | (12) | (572) | (282) | 836 | 294 | — | — |
Transfers from Stage 3 | 30 | 25 | 38 | 14 | (68) | (39) | — | — |
Business activity in the year | 3,855 | 50 | 58 | 14 | 31 | 8 | 3,944 | 72 |
Changes to models used for calculation1 | — | (5) | — | (33) | — | 14 | — | (24) |
Net drawdowns, repayments, net re-measurement and movement due to exposure and risk parameter changes4 | (3,134) | (866) | (808) | 310 | (123) | 282 | (4,065) | (274) |
Final repayments | (1,757) | (46) | (99) | (17) | (140) | (50) | (1,996) | (113) |
Disposals5 | — | — | — | — | (101) | (74) | (101) | (74) |
Write-offs2 | — | — | — | — | (834) | (834) | (834) | (834) |
As at 30 June 20213 | 34,537 | 834 | 6,151 | 1,767 | 2,773 | 1,852 | 43,461 | 4,453 |
1 | Changes to models used for calculation include a £34m movement in Home loans, £24m in Credit cards, unsecured loans and other retail lending and £36m in Wholesale loans. These reflect methodology changes made during the year. Barclays continually review the output of models to determine accuracy of the ECL calculation including review of model monitoring, external benchmarking and experience of model operation over an extended period of time. This ensures that the models used continue to reflect the risks inherent across the businesses. |
2 | In H121, gross write-offs amounted to £1,001m (H120: £953m) and post write-off recoveries amounted to £31m (H120: £15m). Net write-offs represent gross write-offs less post write-off recoveries and amounted to £970m (H120: £938m). |
3 | Other financial assets subject to impairment not included in the table above include cash collateral and settlement balances, financial assets at fair value through other comprehensive income and other assets. These have a total gross exposure of £186.0bn (December 2020: £180.3bn) and impairment allowance of £114m (December 2020: £165m). This comprises £9m ECL (December 2020: £11m) on £185.8bn stage 1 assets (December 2020: £175.7bn), £3m (December 2020: £9m) on £58m stage 2 fair value through other comprehensive income assets, other assets and cash collateral and settlement balances (December 2020: £4.4bn) and £102m (December 2020: £145m) on £109m stage 3 other assets (December 2020: £154m). |
4 | Transfers and risk parameter changes include a £0.3bn net release in ECL arising from a reclassification of £2.2bn gross loans and advances from Stage 2 to Stage 1 in Credit cards, unsecured loans and other retail lending. The reclassification followed a review of back-testing of results which indicated that accuracy of origination probability of default characteristics require management adjustments to correct and was first established in Q220. |
5 | The £101m disposals reported within Credit cards, unsecured loans and other retail lending portfolio relates to debt sales undertaken during the year. The £1.7bn disposal reported within Wholesale loans includes a sale of £0.7bn debt securities as part of Group Treasury Operations and a £1.0bn sale of Barclays Asset Finance. |
Loans and advances at amortised cost | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | |||||
Gross exposure | ECL | Gross exposure | ECL | Gross exposure | ECL | Gross exposure | ECL | |
Wholesale loans | £m | £m | £m | £m | £m | £m | £m | £m |
As at 1 January 2021 | 119,304 | 320 | 21,374 | 711 | 3,591 | 1,066 | 144,269 | 2,097 |
Transfers from Stage 1 to Stage 2 | (4,636) | (12) | 4,636 | 12 | — | — | — | — |
Transfers from Stage 2 to Stage 1 | 8,410 | 188 | (8,410) | (188) | — | — | — | — |
Transfers to Stage 3 | (249) | (2) | (226) | (17) | 475 | 19 | — | — |
Transfers from Stage 3 | 515 | 14 | 376 | 13 | (891) | (27) | — | — |
Business activity in the year | 23,266 | 35 | 1,181 | 30 | 191 | 22 | 24,638 | 87 |
Changes to models used for calculation1 | — | (7) | — | (29) | — | — | — | (36) |
Net drawdowns, repayments, net re-measurement and movement due to exposure and risk parameter changes | 81 | (153) | (47) | (37) | (185) | (1) | (151) | (191) |
Final repayments | (18,854) | (39) | (3,042) | (95) | (203) | (33) | (22,099) | (167) |
Disposals2 | (1,495) | (8) | (162) | (3) | (58) | (33) | (1,715) | (44) |
Write-offs3 | — | — | — | — | (155) | (155) | (155) | (155) |
As at 30 June 20214 | 126,342 | 336 | 15,680 | 397 | 2,765 | 858 | 144,787 | 1,591 |
Reconciliation of ECL movement to impairment charge/(release) for the period | £m | |||||||
Home loans | (53) | |||||||
Credit cards, unsecured loans and other retail lending | (339) | |||||||
Wholesale loans | (307) | |||||||
ECL movement excluding assets derecognised due to disposals and write-offs | (699) | |||||||
Recoveries and reimbursements5 | 185 | |||||||
Exchange and other adjustments6 | 132 | |||||||
Impairment charge on loan commitments and other financial guarantees | (343) | |||||||
Impairment charge on other financial assets4 | (17) | |||||||
Income statement release for the period | (742) |
1 | Changes to models used for calculation include a £34m movement in Home Loans, £24m in Credit cards, unsecured loans and other retail lending and £36m in Wholesale loans. These reflect methodology changes made during the year. Barclays continually review the output of models to determine accuracy of the ECL calculation including review of model monitoring, external benchmarking and experience of model operation over an extended period of time. This ensures that the models used continue to reflect the risks inherent across the businesses. |
2 | The £101m disposals reported within Credit cards, unsecured loans and other retail lending portfolio relates to debt sales undertaken during the year. The £1.7bn disposal reported within Wholesale loans includes a sale of £0.7bn debt securities as part of Group Treasury Operations and a £1.0bn sale of Barclays Asset Finance. |
3 | In H121, gross write-offs amounted to £1,001m (H120: £953m) and post write-off recoveries amounted to £31m (H120: £15m). Net write-offs represent gross write-offs less post write-off recoveries and amounted to £970m (H120: £938m). |
4 | Other financial assets subject to impairment not included in the table above include cash collateral and settlement balances, financial assets at fair value through other comprehensive income and other assets. These have a total gross exposure of £186.0bn (December 2020: £180.3bn) and impairment allowance of £114m (December 2020: £165m). This comprises £9m ECL (December 2020: £11m) on £185.8bn stage 1 assets (December 2020: £175.7bn), £3m (December 2020: £9m) on £58m stage 2 fair value through other comprehensive income assets, other assets and cash collateral and settlement balances (December 2020: £4.4bn) and £102m (December 2020: £145m) on £109m stage 3 other assets (December 2020: £154m). |
5 | Recoveries and reimbursements includes a net loss in relation to reimbursements from financial guarantee contracts held with third parties of £216m (H120 gain: £279m) and post write off recoveries of £31m (H120: £15m). |
6 | Includes foreign exchange and interest and fees in suspense. |
Loan commitments and financial guarantees | ||||||||
Stage 1 | Stage 2 | Stage 3 | Total | |||||
Gross exposure | ECL | Gross exposure | ECL | Gross exposure | ECL | Gross exposure | ECL | |
Home loans | £m | £m | £m | £m | £m | £m | £m | £m |
As at 1 January 2021 | 11,861 | — | 516 | — | 5 | — | 12,382 | — |
Net transfers between stages | (74) | — | 71 | — | 3 | — | — | — |
Business activity in the year | 6,287 | — | 1 | — | — | — | 6,288 | — |
Net drawdowns, repayments, net re-measurement and movement due to exposure and risk parameter changes | (7,397) | — | (17) | — | (2) | — | (7,416) | — |
Limit management and final repayments | (238) | — | (22) | — | (3) | — | (263) | — |
As at 30 June 2021 | 10,439 | — | 549 | — | 3 | — | 10,991 | — |
Credit cards, unsecured loans and other retail lending | ||||||||
As at 1 January 2021 | 114,371 | 55 | 12,117 | 305 | 229 | 23 | 126,717 | 383 |
Net transfers between stages | 5,784 | 217 | (6,081) | (212) | 297 | (5) | — | — |
Business activity in the year | 3,378 | 1 | 32 | 1 | 1 | 1 | 3,411 | 3 |
Net drawdowns, repayments, net re-measurement and movement due to exposure and risk parameter changes | (1,005) | (215) | 114 | 63 | (248) | 4 | (1,139) | (148) |
Limit management and final repayments | (4,941) | (4) | (398) | (5) | (57) | (3) | (5,396) | (12) |
As at 30 June 2021 | 117,587 | 54 | 5,784 | 152 | 222 | 20 | 123,593 | 226 |
Wholesale loans | ||||||||
As at 1 January 2021 | 163,707 | 201 | 40,258 | 453 | 2,096 | 27 | 206,061 | 681 |
Net transfers between stages | 682 | 116 | 504 | (112) | (1,186) | (4) | — | — |
Business activity in the year | 37,211 | 28 | 2,915 | 89 | 12 | 9 | 40,138 | 126 |
Net drawdowns, repayments, net re-measurement and movement due to exposure and risk parameter changes | 1,603 | (146) | 680 | (63) | (28) | 2 | 2,255 | (207) |
Limit management and final repayments | (33,079) | (25) | (4,994) | (83) | (455) | (5) | (38,528) | (113) |
As at 30 June 2021 | 170,124 | 174 | 39,363 | 284 | 439 | 29 | 209,926 | 487 |
As at 30.06.21 | As at 31.12.20 | |||
Management adjustments to impairment allowances | Proportion of total impairment allowances | Management adjustments to impairment allowances | Proportion of total impairment allowances | |
£m | % | £m | % | |
Home loans | 83 | 17.5 | 131 | 24.3 |
Credit cards, unsecured loans and other retail lending | 1,145 | 24.5 | 1,234 | 20.3 |
Wholesale loans | 643 | 30.9 | 23 | 0.8 |
Total | 1,871 | 25.9 | 1,388 | 14.8 |
Impairment allowance pre management adjustments2 | Economic uncertainty adjustments | Other adjustments | Total impairment allowance | |
As at 30.06.21 | £m | £m | £m | £m |
Home loans | 390 | 41 | 42 | 473 |
Credit cards, unsecured loans and other retail lending | 3,534 | 1,398 | (253) | 4,679 |
Wholesale loans | 1,435 | 651 | (8) | 2,078 |
Total | 5,359 | 2,090 | (219) | 7,230 |
As at 31.12.20 | ||||
Home loans | 407 | 21 | 110 | 538 |
Credit cards, unsecured loans and other retail lending | 4,849 | 1,625 | (391) | 6,083 |
Wholesale loans | 2,755 | 421 | (398) | 2,778 |
Total | 8,011 | 2,067 | (679) | 9,399 |
1 | Positive values reflect an increase in impairment allowance. |
2 | Includes £4.3bn (December 2020: £6.8bn) of modelled ECL, £0.8bn (December 2020: £0.9bn) of individually assessed impairments and £0.3bn (December 2020: £0.3bn) ECL from non-modelled exposures. |
● | A £1.2bn adjustment has been applied to customers and clients considered potentially vulnerable to the withdrawal of government and other support schemes. In US consumer card portfolios, the populations identified are those who have higher potential risk indicators and in the UK we have specifically considered the impact of furlough schemes ending (equivalent to UK unemployment increasing to 7.2%). In wholesale portfolios, the populations identified are specific clients who may exhibit greater cross default risk between COVID-19 and other financing exposures, including clients with Bounce Back Loans in Business Banking, and those corporate sectors deemed more vulnerable to the economic impacts of COVID-19. This adjustment is split between credit cards and unsecured loans, £0.9bn, and wholesale loans, £0.3bn |
● | Expert judgement has been used to adjust the probability of default at portfolio level to pre-COVID-19 levels to reflect the impact of temporary support measures on underlying customer and client behaviour. Following a refinement to methodology, this has reduced to £0.5bn from £0.7bn in December 2020. A £(0.1)bn PMA to recognise government guarantees remains in place |
● | Macroeconomic variables which may be temporarily influenced by support measures have been adjusted at a portfolio level enabling the model to consume the economic stress. This is reduced to £0.5bn from £1.2bn at December 2020 as management judgements have been refined towards potentially vulnerable customers and clients as the pandemic evolves |
Baseline average macroeconomic variables used in the calculation of ECL | |||
2021 | 2022 | 2023 | |
As at 30.06.21 | % | % | % |
UK GDP1 | 4.9 | 5.6 | 2.3 |
UK unemployment2 | 5.8 | 5.7 | 5.1 |
UK HPI3 | (0.5) | 0.3 | 3.1 |
UK bank rate | 0.1 | 0.2 | 0.4 |
US GDP1 | 5.7 | 3.9 | 1.6 |
US unemployment4 | 5.6 | 4.5 | 4.4 |
US HPI5 | 3.9 | 3.5 | 3.5 |
US federal funds rate | 0.3 | 0.3 | 0.7 |
As at 31.12.20 | |||
UK GDP1 | 6.3 | 3.3 | 2.6 |
UK unemployment2 | 6.7 | 6.4 | 5.8 |
UK HPI3 | 2.4 | 2.3 | 5.0 |
UK bank rate | — | (0.1) | — |
US GDP1 | 3.9 | 3.1 | 2.9 |
US unemployment4 | 6.9 | 5.7 | 5.6 |
US HPI5 | 2.8 | 4.7 | 4.7 |
US federal funds rate | 0.3 | 0.3 | 0.3 |
1 | Average Real GDP seasonally adjusted change in year. |
2 | Average UK unemployment rate 16-year+. |
3 | Change in average yearly UK HPI = Halifax All Houses, All Buyers index, relative to prior year end. |
4 | Average US civilian unemployment rate 16-year+. |
5 | Change in average yearly US HPI = FHFA House Price Index, relative to prior year end. |
Downside 2 average economic variables used in the calculation of ECL | |||
2021 | 2022 | 2023 | |
As at 30.06.21 | % | % | % |
UK GDP1 | (1.7) | 2.0 | 5.2 |
UK unemployment2 | 7.3 | 8.2 | 6.6 |
UK HPI3 | (5.8) | (5.8) | 0.2 |
UK bank rate | 0.1 | — | — |
US GDP1 | 1.5 | 1.4 | 2.0 |
US unemployment4 | 8.7 | 11.0 | 9.3 |
US HPI5 | (4.9) | (3.0) | 1.1 |
US federal funds rate | 0.3 | 0.3 | 0.3 |
As at 31.12.20 | |||
UK GDP1 | (3.9) | 6.5 | 2.6 |
UK unemployment2 | 8.0 | 9.3 | 7.8 |
UK HPI3 | (13.6) | (10.8) | 0.5 |
UK bank rate | (0.2) | (0.2) | (0.1) |
US GDP1 | (2.4) | 3.6 | 2.1 |
US unemployment4 | 13.4 | 11.9 | 10.1 |
US HPI5 | (17.2) | (0.7) | 0.6 |
US federal funds rate | 0.3 | 0.3 | 0.3 |
1 | Average Real GDP seasonally adjusted change in year. |
2 | Average UK unemployment rate 16-year+. |
3 | Change in average yearly UK HPI = Halifax All Houses, All Buyers index, relative to prior year end. |
4 | Average US civilian unemployment rate 16-year+. |
5 | Change in average yearly US HPI = FHFA house price index, relative to prior year end. |
Downside 1 average economic variables used in the calculation of ECL | |||
2021 | 2022 | 2023 | |
As at 30.06.21 | % | % | % |
UK GDP1 | 0.6 | 4.4 | 4.2 |
UK unemployment2 | 6.4 | 6.6 | 5.6 |
UK HPI3 | (3.1) | (2.7) | 1.7 |
UK bank rate | 0.1 | 0.1 | 0.2 |
US GDP1 | 3.4 | 2.5 | 1.6 |
US unemployment4 | 7.4 | 7.9 | 6.1 |
US HPI5 | (0.5) | 0.2 | 2.3 |
US federal funds rate | 0.3 | 0.3 | 0.3 |
As at 31.12.20 | |||
UK GDP1 | 0.1 | 6.6 | 3.2 |
UK unemployment2 | 7.3 | 8.0 | 6.9 |
UK HPI3 | (6.7) | (3.5) | 1.7 |
UK bank rate | (0.1) | (0.1) | — |
US GDP1 | 0.4 | 3.6 | 2.3 |
US unemployment4 | 11.0 | 8.9 | 6.9 |
US HPI5 | (5.9) | 1.8 | 2.6 |
US federal funds rate | 0.3 | 0.3 | 0.3 |
1 | Average Real GDP seasonally adjusted change in year. |
2 | Average UK unemployment rate 16-year+. |
3 | Change in average yearly UK HPI = Halifax All Houses, All Buyers index, relative to prior year end. |
4 | Average US civilian unemployment rate 16-year+. |
5 | Change in average yearly US HPI = FHFA House Price Index, relative to prior year end. |
Upside 2 average economic variables used in the calculation of ECL | |||
2021 | 2022 | 2023 | |
As at 30.06.21 | % | % | % |
UK GDP1 | 6.8 | 9.4 | 4.0 |
UK unemployment2 | 5.5 | 4.9 | 4.4 |
UK HPI3 | 4.6 | 9.9 | 11.3 |
UK bank rate | 0.1 | 0.4 | 0.6 |
US GDP1 | 6.5 | 8.2 | 3.4 |
US unemployment4 | 5.3 | 3.8 | 3.8 |
US HPI5 | 6.5 | 8.0 | 7.3 |
US federal funds rate | 0.3 | 0.3 | 1.1 |
As at 31.12.20 | |||
UK GDP1 | 12.2 | 5.3 | 3.9 |
UK unemployment2 | 6.2 | 5.5 | 4.8 |
UK HPI3 | 6.6 | 10.4 | 10.8 |
UK bank rate | 0.1 | 0.3 | 0.3 |
US GDP1 | 7.1 | 4.6 | 4.0 |
US unemployment4 | 5.5 | 4.3 | 4.1 |
US HPI5 | 8.8 | 9.1 | 8.9 |
US federal funds rate | 0.3 | 0.4 | 0.6 |
1 | Average Real GDP seasonally adjusted change in year. |
2 | Average UK unemployment rate 16-year+. |
3 | Change in average yearly UK HPI = Halifax All Houses, All Buyers index, relative to prior year end. |
4 | Average US civilian unemployment rate 16-year+. |
5 | Change in average yearly US HPI = FHFA House Price Index, relative to prior year end. |
Upside 1 average economic variables used in the calculation of ECL | |||
2021 | 2022 | 2023 | |
As at 30.06.21 | % | % | % |
UK GDP1 | 5.9 | 7.3 | 3.0 |
UK unemployment2 | 5.6 | 5.2 | 4.7 |
UK HPI3 | 1.5 | 4.5 | 7.4 |
UK bank rate | 0.1 | 0.2 | 0.6 |
US GDP1 | 6.1 | 5.8 | 2.4 |
US unemployment4 | 5.5 | 4.2 | 4.2 |
US HPI5 | 6.2 | 6.8 | 5.7 |
US federal funds rate | 0.3 | 0.3 | 0.9 |
As at 31.12.20 | |||
UK GDP1 | 9.3 | 3.9 | 3.4 |
UK unemployment2 | 6.4 | 6.0 | 5.2 |
UK HPI3 | 4.6 | 6.1 | 6.1 |
UK bank rate | 0.1 | 0.1 | 0.3 |
US GDP1 | 5.5 | 4.0 | 3.7 |
US unemployment4 | 6.0 | 4.8 | 4.6 |
US HPI5 | 6.8 | 6.7 | 6.3 |
US federal funds rate | 0.3 | 0.3 | 0.5 |
1 | Average Real GDP seasonally adjusted change in year. |
2 | Average UK unemployment rate 16-year+. |
3 | Change in average yearly UK HPI = Halifax All Houses, All Buyers index, relative to prior year end. |
4 | Average US civilian unemployment rate 16-year+. |
5 | Change in average yearly US HPI = FHFA House Price Index, relative to prior year end. |
Scenario probability weighting | |||||
Upside 2 | Upside 1 | Baseline | Downside 1 | Downside 2 | |
% | % | % | % | % | |
As at 30.06.21 | |||||
Scenario probability weighting | 19.6 | 24.5 | 26.4 | 16.9 | 12.6 |
As at 31.12.20 | |||||
Scenario probability weighting | 20.2 | 24.2 | 24.7 | 15.5 | 15.4 |
Macroeconomic variables (specific bases)1 | |||||
Upside 2 | Upside 1 | Baseline | Downside 1 | Downside 2 | |
As at 30.06.21 | % | % | % | % | % |
UK GDP2 | 25.9 | 20.2 | 3.3 | (4.2) | (8.1) |
UK unemployment3 | 4.1 | 4.3 | 5.1 | 7.5 | 9.8 |
UK HPI4 | 48.2 | 25.5 | 1.6 | (5.8) | (11.8) |
UK bank rate3 | 0.1 | 0.1 | 0.4 | 0.3 | 0.1 |
US GDP2 | 23.7 | 18.3 | 2.8 | (0.2) | (3.2) |
US unemployment3 | 3.8 | 4.2 | 4.7 | 8.9 | 12.0 |
US HPI4 | 41.2 | 32.6 | 3.6 | (1.3) | (7.9) |
US federal funds rate3 | 0.3 | 0.3 | 0.8 | 1.5 | 0.8 |
As at 31.12.20 | |||||
UK GDP2 | 14.2 | 8.8 | 0.7 | (22.1) | (22.1) |
UK unemployment3 | 4.0 | 4.0 | 5.7 | 8.4 | 10.1 |
UK HPI4 | 48.2 | 30.8 | 3.6 | (4.5) | (18.3) |
UK bank rate3 | 0.1 | 0.1 | — | 0.6 | 0.6 |
US GDP2 | 15.7 | 12.8 | 1.6 | (10.6) | (10.6) |
US unemployment3 | 3.8 | 3.8 | 6.4 | 13.0 | 13.7 |
US HPI4 | 42.2 | 30.9 | 3.8 | (3.7) | (15.9) |
US federal funds rate3 | 0.1 | 0.1 | 0.3 | 1.3 | 1.3 |
1 | UK GDP = Real GDP growth seasonally adjusted; UK unemployment = UK unemployment rate 16-year+; UK HI = Halifax All Houses, All Buyers Index; US GDP = Real GDP growth seasonally adjusted; US unemployment = US civilian unemployment rate 16-year+; US HPI = FHFA House Price Index. 20 quarter period starts from Q121 (2020: Q120). |
2 | Maximum growth relative to Q420 (2020: Q419), based on 20 quarter period in Upside scenarios; 5-year yearly average Compound Annual Growth Rate (CAGR) in Baseline; minimum growth relative to Q420 (2020: Q419), based on 20 quarter period in Downside scenarios. |
3 | Lowest quarter in 20 quarter period in Upside scenarios; 5-year average in Baseline; highest quarter in 20 quarter period in Downside scenarios. |
4 | Maximum growth relative to Q420 (2020: Q419), based on 20 quarter period in Upside scenarios; 5-year quarter end CAGR in Baseline; minimum growth relative to Q420 (2020: Q419), based on 20 quarter period in Downside scenarios. |
Macroeconomic variables (5 year averages)1 | |||||
Upside 2 | Upside 1 | Baseline | Downside 1 | Downside 2 | |
As at 30.06.21 | % | % | % | % | % |
UK GDP2 | 5.2 | 4.2 | 3.3 | 2.6 | 1.8 |
UK unemployment3 | 4.6 | 4.8 | 5.1 | 5.7 | 6.5 |
UK HPI4 | 8.2 | 4.7 | 1.6 | — | (1.6) |
UK bank rate3 | 0.7 | 0.6 | 0.4 | 0.2 | — |
US GDP2 | 4.6 | 3.7 | 2.8 | 2.0 | 1.4 |
US unemployment3 | 4.1 | 4.4 | 4.7 | 6.3 | 8.5 |
US HPI4 | 7.1 | 5.8 | 3.6 | 1.6 | (0.4) |
US federal funds rate3 | 1.1 | 0.9 | 0.8 | 0.6 | 0.3 |
As at 31.12.20 | |||||
UK GDP2 | 2.5 | 1.6 | 0.7 | 0.1 | (0.9) |
UK unemployment3 | 5.0 | 5.3 | 5.7 | 6.5 | 7.2 |
UK HPI4 | 8.2 | 5.5 | 3.6 | (0.2) | (3.6) |
UK bank rate3 | 0.3 | 0.2 | — | — | (0.1) |
US GDP2 | 2.9 | 2.4 | 1.6 | 0.8 | 0.1 |
US unemployment3 | 5.3 | 5.7 | 6.4 | 8.3 | 10.4 |
US HPI4 | 7.3 | 5.5 | 3.8 | 0.8 | (3.0) |
US federal funds rate3 | 0.5 | 0.5 | 0.3 | 0.3 | 0.3 |
1 | UK GDP = Real GDP growth seasonally adjusted; UK unemployment = UK unemployment rate 16-year+; UK HPI = Halifax All Houses, All Buyers Index; US GDP = Real GDP growth seasonally adjusted; US unemployment = US civilian unemployment rate 16-year+; US HPI = FHFA House Price Index. |
2 | 5-year yearly average CAGR, starting 2020 (2020: 2019). |
3 | 5-year average. Period based on 20 quarters from Q121 (2020: Q120). |
4 | 5-year quarter end CAGR, starting Q420 (2020: Q419). |
Scenarios | ||||||
As at 30.06.21 | Weighted | Upside 2 | Upside 1 | Baseline | Downside 1 | Downside 2 |
Stage 1 Model Exposure (£m) | ||||||
Home loans | 131,134 | 133,584 | 132,343 | 130,694 | 128,711 | 126,953 |
Credit cards, unsecured loans and other retail lending | 44,014 | 45,185 | 44,809 | 44,307 | 42,383 | 39,252 |
Wholesale loans | 160,174 | 162,762 | 162,201 | 160,564 | 158,614 | 152,164 |
Stage 1 Model ECL (£m) | ||||||
Home loans | 4 | 2 | 3 | 4 | 6 | 8 |
Credit cards, unsecured loans and other retail lending | 379 | 269 | 288 | 324 | 456 | 486 |
Wholesale loans | 248 | 187 | 203 | 224 | 306 | 352 |
Stage 1 Coverage (%) | ||||||
Home loans | — | — | — | — | — | — |
Credit cards, unsecured loans and other retail lending | 0.9 | 0.6 | 0.6 | 0.7 | 1.1 | 1.2 |
Wholesale loans | 0.2 | 0.1 | 0.1 | 0.1 | 0.2 | 0.2 |
Stage 2 Model Exposure (£m) | ||||||
Home loans | 24,345 | 21,895 | 23,136 | 24,785 | 26,769 | 28,526 |
Credit cards, unsecured loans and other retail lending | 7,175 | 5,733 | 6,205 | 6,819 | 9,066 | 12,625 |
Wholesale loans | 33,666 | 31,077 | 31,639 | 33,276 | 35,225 | 41,676 |
Stage 2 Model ECL (£m) | ||||||
Home loans | 20 | 13 | 15 | 18 | 27 | 39 |
Credit cards, unsecured loans and other retail lending | 1,076 | 733 | 841 | 976 | 1,544 | 2,517 |
Wholesale loans | 773 | 594 | 646 | 709 | 939 | 1,342 |
Stage 2 Coverage (%) | ||||||
Home loans | 0.1 | 0.1 | 0.1 | 0.1 | 0.1 | 0.1 |
Credit cards, unsecured loans and other retail lending | 15.0 | 12.8 | 13.6 | 14.3 | 17.0 | 19.9 |
Wholesale loans | 2.3 | 1.9 | 2.0 | 2.1 | 2.7 | 3.2 |
Stage 3 Model Exposure (£m) | ||||||
Home loans | 1,829 | 1,829 | 1,829 | 1,829 | 1,829 | 1,829 |
Credit cards, unsecured loans and other retail lending | 2,374 | 2,374 | 2,374 | 2,374 | 2,374 | 2,374 |
Wholesale loans1 | 1,374 | 1,374 | 1,374 | 1,374 | 1,374 | 1,374 |
Stage 3 Model ECL (£m) | ||||||
Home loans | 324 | 307 | 315 | 325 | 337 | 352 |
Credit cards, unsecured loans and other retail lending | 1,878 | 1,850 | 1,864 | 1,875 | 1,905 | 1,920 |
Wholesale loans1 | 67 | 65 | 66 | 67 | 69 | 72 |
Stage 3 Coverage (%) | ||||||
Home loans | 17.7 | 16.8 | 17.2 | 17.8 | 18.4 | 19.2 |
Credit cards, unsecured loans and other retail lending | 79.1 | 77.9 | 78.5 | 79.0 | 80.2 | 80.9 |
Wholesale loans1 | 4.9 | 4.7 | 4.8 | 4.9 | 5.0 | 5.2 |
Total Model ECL (£m) | ||||||
Home loans | 348 | 322 | 333 | 347 | 370 | 399 |
Credit cards, unsecured loans and other retail lending | 3,333 | 2,852 | 2,993 | 3,175 | 3,905 | 4,923 |
Wholesale loans1 | 1,088 | 846 | 915 | 1,000 | 1,314 | 1,766 |
Total Model ECL | 4,769 | 4,020 | 4,241 | 4,522 | 5,589 | 7,088 |
1 | Material wholesale loan defaults are individually assessed across different recovery strategies. As a result, ECL of £783m is reported as individually assessed impairments in the table below. |
Reconciliation to total ECL | £m |
Total model ECL | 4,769 |
ECL from individually assessed impairments on stage 3 loans | 783 |
ECL from non-modelled and other management adjustments1 | 1,678 |
Total ECL | 7,230 |
1 | Includes £1.9bn post-model adjustments of which £0.4bn is included as part of total model ECL and £0.2bn ECL from non-modelled exposures. |
Scenarios | ||||||
As at 31.12.20 | Weighted | Upside 2 | Upside 1 | Baseline | Downside 1 | Downside 2 |
Stage 1 Model Exposure (£m) | ||||||
Home loans | 131,422 | 134,100 | 133,246 | 132,414 | 130,547 | 128,369 |
Credit cards, unsecured loans and other retail lending | 51,952 | 53,271 | 52,932 | 51,995 | 50,168 | 48,717 |
Wholesale loans | 149,099 | 155,812 | 154,578 | 152,141 | 144,646 | 131,415 |
Stage 1 Model ECL (£m) | ||||||
Home loans | 6 | 4 | 5 | 6 | 14 | 42 |
Credit cards, unsecured loans and other retail lending | 392 | 316 | 340 | 372 | 415 | 415 |
Wholesale loans | 262 | 242 | 258 | 249 | 278 | 290 |
Stage 1 Coverage (%) | ||||||
Home loans | — | — | — | — | — | — |
Credit cards, unsecured loans and other retail lending | 0.8 | 0.6 | 0.6 | 0.7 | 0.8 | 0.9 |
Wholesale loans | 0.2 | 0.2 | 0.2 | 0.2 | 0.2 | 0.2 |
Stage 2 Model Exposure (£m) | ||||||
Home loans | 19,180 | 16,502 | 17,356 | 18,188 | 20,055 | 22,233 |
Credit cards, unsecured loans and other retail lending | 13,399 | 10,572 | 11,579 | 13,176 | 16,477 | 19,322 |
Wholesale loans | 32,677 | 25,963 | 27,198 | 29,635 | 37,130 | 50,361 |
Stage 2 Model ECL (£m) | ||||||
Home loans | 37 | 31 | 32 | 33 | 42 | 63 |
Credit cards, unsecured loans and other retail lending | 2,207 | 1,618 | 1,837 | 2,138 | 2,865 | 3,564 |
Wholesale loans | 1,410 | 952 | 1,047 | 1,223 | 1,771 | 2,911 |
Stage 2 Coverage (%) | ||||||
Home loans | 0.2 | 0.2 | 0.2 | 0.2 | 0.2 | 0.3 |
Credit cards, unsecured loans and other retail lending | 16.5 | 15.3 | 15.9 | 16.2 | 17.4 | 18.4 |
Wholesale loans | 4.3 | 3.7 | 3.8 | 4.1 | 4.8 | 5.8 |
Stage 3 Model Exposure (£m) | ||||||
Home loans | 1,778 | 1,778 | 1,778 | 1,778 | 1,778 | 1,778 |
Credit cards, unsecured loans and other retail lending | 2,585 | 2,585 | 2,585 | 2,585 | 2,585 | 2,585 |
Wholesale loans1 | 2,211 | 2,211 | 2,211 | 2,211 | 2,211 | 2,211 |
Stage 3 Model ECL (£m) | ||||||
Home loans | 307 | 282 | 286 | 290 | 318 | 386 |
Credit cards, unsecured loans and other retail lending | 2,003 | 1,947 | 1,972 | 2,001 | 2,055 | 2,078 |
Wholesale loans1 | 146 | 128 | 134 | 141 | 157 | 184 |
Stage 3 Coverage (%) | ||||||
Home loans | 17.3 | 15.9 | 16.1 | 16.3 | 17.9 | 21.7 |
Credit cards, unsecured loans and other retail lending | 77.5 | 75.3 | 76.3 | 77.4 | 79.5 | 80.4 |
Wholesale loans1 | 6.6 | 5.8 | 6.1 | 6.4 | 7.1 | 8.3 |
Total Model ECL (£m) | ||||||
Home loans | 350 | 317 | 323 | 329 | 374 | 491 |
Credit cards, unsecured loans and other retail lending | 4,602 | 3,881 | 4,149 | 4,511 | 5,335 | 6,057 |
Wholesale loans1 | 1,818 | 1,322 | 1,439 | 1,613 | 2,206 | 3,385 |
Total Model ECL | 6,770 | 5,520 | 5,911 | 6,453 | 7,915 | 9,933 |
1 | Material wholesale loan defaults are individually assessed across different recovery strategies. As a result, ECL of £902m is reported as individually assessed impairments in the table below. |
Reconciliation to total ECL1 | £m |
Total model ECL | 6,770 |
ECL from individually assessed impairments on stage 3 loans | 902 |
ECL from non-modelled and other management adjustments | 1,727 |
Total ECL | 9,399 |
1 | Includes £1.4bn of post-model adjustments and £0.3bn ECL from non-modelled exposures. |
Home loans principal portfolios | Barclays UK | |
As at 30.06.21 | As at 31.12.20 | |
Gross loans and advances (£m) | 155,247 | 148,343 |
90 day arrears rate, excluding recovery book (%) | 0.1 | 0.2 |
Annualised gross charge-off rates - 180 days past due (%) | 0.6 | 0.6 |
Recovery book proportion of outstanding balances (%) | 0.6 | 0.6 |
Recovery book impairment coverage ratio (%) | 3.4 | 3.2 |
Average marked to market LTV | ||
Balance weighted % | 51.3 | 50.7 |
Valuation weighted % | 38.0 | 37.6 |
New lending | Half year ended 30.06.21 | Half year ended 30.06.20 |
New home loan bookings (£m) | 19,120 | 9,977 |
New home loan proportion > 90% LTV (%) | 0.9 | 3.7 |
Average LTV on new home loans: balance weighted (%) | 68.7 | 68.4 |
Average LTV on new home loans: valuation weighted (%) | 61.3 | 60.0 |
Home loans principal portfolios – distribution of balances by LTV1 | ||||||||||||
Distribution of balances | Distribution of impairment allowance | Coverage ratio | ||||||||||
Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | Stage 1 | Stage 2 | Stage 3 | Total | |
Barclays UK | % | % | % | % | % | % | % | % | % | % | % | % |
As at 30.06.21 | ||||||||||||
<=75% | 74.4 | 11.8 | 0.7 | 86.9 | 6.0 | 16.4 | 24.4 | 46.8 | — | 0.1 | 1.7 | — |
>75% and <=90% | 11.4 | 0.9 | — | 12.3 | 3.9 | 20.4 | 10.8 | 35.1 | — | 1.2 | 14.2 | 0.1 |
>90% and <=100% | 0.7 | — | — | 0.7 | 0.4 | 0.8 | 3.4 | 4.6 | — | 2.0 | 46.9 | 0.3 |
>100% | 0.1 | — | — | 0.1 | 0.2 | 2.9 | 10.4 | 13.5 | 0.2 | 8.1 | 83.5 | 9.0 |
As at 31.12.20 | ||||||||||||
<=75% | 75.7 | 11.6 | 0.6 | 87.9 | 17.9 | 15.0 | 19.0 | 51.9 | — | 0.1 | 1.8 | — |
>75% and <=90% | 10.8 | 0.8 | — | 11.6 | 9.7 | 14.8 | 7.6 | 32.1 | 0.1 | 1.2 | 16.0 | 0.2 |
>90% and <=100% | 0.4 | — | — | 0.4 | 0.8 | 1.5 | 2.2 | 4.5 | 0.1 | 2.6 | 35.7 | 0.7 |
>100% | 0.1 | — | — | 0.1 | 0.7 | 3.4 | 7.4 | 11.5 | 0.7 | 10.3 | 69.1 | 8.0 |
1 | Portfolio mark to market based on the most updated valuation including recovery book balances. Updated valuations reflect the application of the latest HPI available as at 30 June 2021. |
Principal portfolios | Gross exposure | 30 day arrears rate, excluding recovery book | 90 day arrears rate, excluding recovery book | Annualised gross write-off rate | Annualised net write-off rate |
As at 30.06.21 | £m | % | % | % | % |
Barclays UK | |||||
UK cards | 10,202 | 1.4 | 0.6 | 4.9 | 4.8 |
UK personal loans | 4,075 | 2.3 | 1.4 | 3.9 | 3.6 |
Barclays Partner Finance | 2,362 | 0.5 | 0.2 | 1.3 | 1.3 |
Barclays International | |||||
US cards | 15,895 | 1.6 | 0.9 | 5.6 | 5.4 |
Germany consumer lending | 3,398 | 1.5 | 0.7 | 0.9 | 0.8 |
As at 31.12.20 | |||||
Barclays UK | |||||
UK cards | 11,911 | 1.7 | 0.8 | 2.9 | 2.9 |
UK personal loans | 4,591 | 2.3 | 1.2 | 3.4 | 3.1 |
Barclays Partner Finance | 2,469 | 0.5 | 0.3 | 1.1 | 1.1 |
Barclays International | |||||
US cards | 16,845 | 2.5 | 1.4 | 5.6 | 5.6 |
Germany consumer lending | 3,458 | 1.9 | 0.8 | 1.2 | 1.1 |
Management VaR (95%) by asset class | |||||||||||
Half year ended 30.06.21 | Half year ended 31.12.20 | Half year ended 30.06.20 | |||||||||
Average | High | Low | Average | High | Low | Average | High | Low | |||
£m | £m | £m | £m | £m | £m | £m | £m | £m | |||
Credit risk | 18 | 30 | 9 | 19 | 23 | 15 | 22 | 38 | 10 | ||
Interest rate risk | 8 | 15 | 4 | 11 | 17 | 6 | 9 | 17 | 6 | ||
Equity risk | 10 | 15 | 6 | 10 | 16 | 7 | 15 | 35 | 6 | ||
Basis risk | 7 | 10 | 4 | 10 | 12 | 7 | 10 | 16 | 7 | ||
Spread risk | 4 | 6 | 3 | 5 | 7 | 4 | 5 | 9 | 3 | ||
Foreign exchange risk | 3 | 6 | 2 | 5 | 7 | 3 | 5 | 7 | 2 | ||
Commodity risk | — | 1 | — | 1 | 1 | — | 1 | 1 | — | ||
Inflation risk | 2 | 3 | 2 | 2 | 3 | 1 | 1 | 2 | 1 | ||
Diversification effect1 | (30) | n/a | n/a | (35) | n/a | n/a | (33) | n/a | n/a | ||
Total management VaR | 22 | 36 | 13 | 28 | 35 | 20 | 35 | 57 | 18 |
1 | Diversification effects recognise that forecast losses from different assets or businesses are unlikely to occur concurrently, hence the expected aggregate loss is lower than the sum of the expected losses from each area. Historical correlations between losses are taken into account in making these assessments. The high and low VaR figures reported for each category did not necessarily occur on the same day as the high and low VaR reported as a whole. Consequently, a diversification effect balance for the high and low VaR figures would not be meaningful and is therefore omitted from the above table. |
Liquidity coverage ratio | ||
As at 30.06.21 | As at 31.12.20 | |
£bn | £bn | |
Eligible liquidity buffer | 280 | 258 |
Net stress outflows | (172) | (159) |
Surplus | 108 | 99 |
Liquidity coverage ratio | 162% | 162% |
Composition of the Group liquidity pool | |||||
As at 30.06.21 | As at 31.12.20 | ||||
Liquidity pool | Liquidity pool of which CRD IV LCR eligible3 | Liquidity pool | |||
Cash | Level 1 | Level 2A | |||
£bn | £bn | £bn | £bn | £bn | |
Cash and deposits with central banks1 | 224 | 217 | — | — | 197 |
Government bonds2 | |||||
AAA to AA- | 39 | — | 30 | 1 | 31 |
A+ to A- | 6 | — | 1 | 5 | 13 |
BBB+ to BBB- | 2 | — | 2 | — | 1 |
Total government bonds | 47 | — | 33 | 6 | 45 |
Other | |||||
Government Guaranteed Issuers, PSEs and GSEs | 8 | — | 5 | 2 | 10 |
International Organisations and MDBs | 4 | — | 4 | — | 6 |
Covered bonds | 7 | — | 6 | 2 | 8 |
Other | 1 | — | — | — | — |
Total other | 20 | — | 15 | 4 | 24 |
Total as at 30 June 2021 | 291 | 217 | 48 | 10 | 266 |
Total as at 31 December 2020 | 266 | 192 | 55 | 11 |
1 | Includes cash held at central banks and surplus cash at central banks related to payment schemes. Over 98% (December 2020: over 98%) was placed with the Bank of England, US Federal Reserve, European Central Bank, Bank of Japan and Swiss National Bank. |
2 | Of which over 76% (December 2020: over 78%) comprised UK, US, French, German, Japanese, Swiss and Dutch securities. |
3 | The LCR eligible liquidity pool is adjusted for trapped liquidity and other regulatory deductions. It also incorporates other CRR (as amended by CRR II) qualifying assets that are not eligible under Barclays’ internal risk appetite. |
Deposit funding | |||||
As at 30.06.21 | As at 31.12.20 | ||||
Loans and advances at amortised cost | Deposits at amortised cost | Loan: deposit ratio1 | Loan: deposit ratio1 | ||
Funding of loans and advances | £bn | £bn | % | % | |
Barclays UK | 222 | 256 | 87 | 89 | |
Barclays International | 122 | 245 | 50 | 51 | |
Head Office | 5 | ||||
Barclays Group | 349 | 501 | 70 | 71 |
1 | The loan: deposit ratio is calculated as loans and advances at amortised cost divided by deposits at amortised cost. |
As at 30.06.21 | As at 31.12.20 | As at 30.06.21 | As at 31.12.20 | |||
Assets | £bn | £bn | Liabilities and equity | £bn | £bn | |
Loans and advances at amortised cost1 | 340 | 335 | Deposits at amortised cost | 501 | 481 | |
Group liquidity pool | 291 | 266 | <1 Year wholesale funding | 58 | 43 | |
>1 Year wholesale funding | 101 | 102 | ||||
Reverse repurchase agreements, trading portfolio assets, cash collateral and settlement balances | 419 | 376 | Repurchase agreements, trading portfolio liabilities, cash collateral and settlement balances | 362 | 324 | |
Derivative financial instruments | 257 | 302 | Derivative financial instruments | 247 | 301 | |
Other assets2 | 69 | 71 | Other liabilities | 39 | 32 | |
Equity | 68 | 67 | ||||
Total assets | 1,376 | 1,350 | Total liabilities and equity | 1,376 | 1,350 |
1 | Adjusted for liquidity pool debt securities reported at amortised cost of £9bn (December 2020: £8bn). |
2 | Other assets include fair value assets that are not part of reverse repurchase agreements or trading portfolio assets, and other asset categories. |
Maturity profile of wholesale funding1,2 | |||||||||||
<1 | 1-3 | 3-6 | 6-12 | <1 | 1-2 | 2-3 | 3-4 | 4-5 | >5 | ||
month | months | months | months | year | years | years | years | years | years | Total | |
£bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |
Barclays PLC (the Parent company) | |||||||||||
Senior unsecured (public benchmark) | — | 1.2 | — | 0.8 | 2.0 | 4.7 | 6.8 | 6.9 | 5.3 | 12.1 | 37.8 |
Senior unsecured (privately placed) | — | — | 0.1 | — | 0.1 | — | 0.3 | — | — | 0.5 | 0.9 |
Subordinated liabilities | — | — | — | — | — | — | — | 0.9 | 1.5 | 6.8 | 9.2 |
Barclays Bank PLC (including subsidiaries) | |||||||||||
Certificates of deposit and commercial paper | 3.7 | 8.0 | 8.9 | 8.9 | 29.5 | 0.4 | 0.1 | — | — | — | 30.0 |
Asset backed commercial paper | 2.1 | 3.2 | 0.3 | 0.1 | 5.7 | — | — | — | — | — | 5.7 |
Senior unsecured (public benchmark) | — | 0.1 | — | 1.3 | 1.4 | — | 1.0 | — | — | 0.5 | 2.9 |
Senior unsecured (privately placed)3 | 0.9 | 2.6 | 2.3 | 5.3 | 11.1 | 7.7 | 7.5 | 4.9 | 3.5 | 21.8 | 56.5 |
Covered Bonds | — | — | — | — | — | — | — | — | — | — | — |
Asset backed securities | — | — | 0.5 | 0.1 | 0.6 | 0.6 | 0.1 | 0.1 | 0.3 | 1.4 | 3.1 |
Subordinated liabilities | — | 0.4 | — | 1.0 | 1.4 | 1.1 | 0.1 | 0.1 | — | 0.9 | 3.6 |
Barclays Bank UK PLC (including subsidiaries) | |||||||||||
Certificates of deposit and commercial paper | 1.6 | 2.0 | 0.1 | 0.1 | 3.8 | — | — | — | — | — | 3.8 |
Senior unsecured (public benchmark) | — | — | — | — | — | — | — | — | — | 0.2 | 0.2 |
Covered Bonds | — | — | — | 2.2 | 2.2 | 1.7 | — | — | — | 1.1 | 5.0 |
Total as at 30 June 2021 | 8.3 | 17.5 | 12.2 | 19.8 | 57.8 | 16.2 | 15.9 | 12.9 | 10.6 | 45.3 | 158.7 |
Of which secured | 2.1 | 3.2 | 0.8 | 2.4 | 8.5 | 2.3 | 0.1 | 0.1 | 0.3 | 2.5 | 13.8 |
Of which unsecured | 6.2 | 14.3 | 11.4 | 17.4 | 49.3 | 13.9 | 15.8 | 12.8 | 10.3 | 42.8 | 144.9 |
Total as at 31 December 2020 | 5.7 | 15.4 | 9.5 | 12.1 | 42.7 | 15.6 | 16.7 | 12.3 | 10.2 | 47.5 | 145.0 |
Of which secured | 2.3 | 5.0 | 0.7 | 0.5 | 8.5 | 3.1 | 2.2 | 0.5 | 0.2 | 2.6 | 17.1 |
Of which unsecured | 3.4 | 10.4 | 8.8 | 11.6 | 34.2 | 12.5 | 14.5 | 11.8 | 10.0 | 44.9 | 127.9 |
1 | The composition of wholesale funds comprises the balance sheet reported financial liabilities at fair value, debt securities in issue and subordinated liabilities. It does not include participation in the central bank facilities reported within repurchase agreements and other similar secured borrowing. |
2 | Term funding comprises public benchmark and privately placed senior unsecured notes, covered bonds, asset-backed securities and subordinated debt where the original maturity of the instrument is more than 1 year. |
3 | Includes structured notes of £47.9bn, of which £10.2bn matures within one year. |
Barclays Bank PLC | Standard & Poor's | Moody's | Fitch |
Long-term | A / Positive | A1 / Stable | A+ / Stable |
Short-term | A-1 | P-1 | F1 |
Barclays Bank UK PLC | |||
Long-term | A / Positive | A1 / Stable | A+ / Stable |
Short-term | A-1 | P-1 | F1 |
Barclays PLC | |||
Long-term | BBB / Positive | Baa2 /Stable | A / Stable |
Short-term | A-2 | P-2 | F1 |
Capital ratios1,2,3 | As at 30.06.21 | As at 31.03.21 | As at 31.12.20 |
CET1 | 15.1% | 14.6% | 15.1% |
Tier 1 (T1) | 18.9% | 18.4% | 19.0% |
Total regulatory capital | 22.3% | 21.8% | 22.1% |
Capital resources | £m | £m | £m |
Total equity excluding non-controlling interests per the balance sheet | 67,052 | 65,105 | 65,797 |
Less: other equity instruments (recognised as AT1 capital) | (11,167) | (11,179) | (11,172) |
Adjustment to retained earnings for foreseeable ordinary share dividends | (510) | (303) | (174) |
Adjustment to retained earnings for foreseeable repurchase of shares | — | (439) | — |
Adjustment to retained earnings for foreseeable other equity coupons | (35) | (42) | (30) |
Other regulatory adjustments and deductions | |||
Additional value adjustments (PVA) | (1,447) | (1,496) | (1,146) |
Goodwill and intangible assets | (6,814) | (6,504) | (6,914) |
Deferred tax assets that rely on future profitability excluding temporary differences | (664) | (629) | (595) |
Fair value reserves related to gains or losses on cash flow hedges | (665) | (850) | (1,575) |
Gains or losses on liabilities at fair value resulting from own credit | 934 | 1,202 | 870 |
Defined benefit pension fund assets | (1,828) | (1,192) | (1,326) |
Direct and indirect holdings by an institution of own CET1 instruments | (50) | (50) | (50) |
Adjustment under IFRS 9 transitional arrangements | 1,331 | 2,285 | 2,556 |
Other regulatory adjustments | 88 | (4) | 55 |
CET1 capital | 46,225 | 45,904 | 46,296 |
AT1 capital | |||
Capital instruments and related share premium accounts | 11,167 | 11,179 | 11,172 |
Qualifying AT1 capital (including minority interests) issued by subsidiaries | 648 | 655 | 646 |
Other regulatory adjustments and deductions | (80) | (80) | (80) |
AT1 capital | 11,735 | 11,754 | 11,738 |
T1 capital | 57,960 | 57,658 | 58,034 |
T2 capital | |||
Capital instruments and related share premium accounts | 8,969 | 8,951 | 7,836 |
Qualifying T2 capital (including minority interests) issued by subsidiaries | 1,401 | 1,641 | 1,893 |
Credit risk adjustments (excess of impairment over expected losses) | 79 | 95 | 57 |
Other regulatory adjustments and deductions | (160) | (160) | (160) |
Total regulatory capital | 68,249 | 68,185 | 67,660 |
Total RWAs | 306,424 | 313,356 | 306,203 |
1 | CET1, T1 and T2 capital, and RWAs are calculated applying the transitional arrangements of the CRR as amended by CRR II. This includes IFRS 9 transitional arrangements and the grandfathering of CRR and CRR II non-compliant capital instruments. |
2 | The fully loaded CET1 ratio, as is relevant for assessing against the conversion trigger in Barclays PLC AT1 securities, was 14.7%, with £44.9bn of CET1 capital and £306.2bn of RWAs calculated without applying the transitional arrangements of the CRR as amended by CRR II. |
3 | The Group’s CET1 ratio, as is relevant for assessing against the conversion trigger in Barclays Bank PLC 7.625% Contingent Capital Notes, was 15.1%. For this calculation CET1 capital and RWAs are calculated applying the transitional arrangements under the CRR as amended by CRR II, including the IFRS 9 transitional arrangements. The benefit of the Financial Services Authority (FSA) October 2012 interpretation of the transitional provisions, relating to the implementation of CRD IV, expired in December 2017. |
Movement in CET1 capital | Three months ended 30.06.21 | Six months ended 30.06.21 |
£m | £m | |
Opening CET1 capital | 45,904 | 46,296 |
Profit for the period attributable to equity holders | 2,302 | 4,201 |
Own credit relating to derivative liabilities | 3 | 17 |
Ordinary share dividends paid and foreseen | (380) | (509) |
Purchased and foreseeable share repurchase | — | (700) |
Other equity coupons paid and foreseen | (187) | (394) |
Increase in retained regulatory capital generated from earnings | 1,738 | 2,615 |
Net impact of share schemes | 119 | (48) |
Fair value through other comprehensive income reserve | 70 | (250) |
Currency translation reserve | (17) | (495) |
Other reserves | 5 | (1) |
Increase / (decrease) in other qualifying reserves | 177 | (794) |
Pension remeasurements within reserves | 289 | 103 |
Defined benefit pension fund asset deduction | (636) | (502) |
Net impact of pensions | (347) | (399) |
Additional value adjustments (PVA) | 49 | (301) |
Goodwill and intangible assets | (310) | 100 |
Deferred tax assets that rely on future profitability excluding those arising from temporary differences | (35) | (69) |
Adjustment under IFRS 9 transitional arrangements | (954) | (1,225) |
Other regulatory adjustments | 3 | 2 |
Decrease in regulatory capital due to adjustments and deductions | (1,247) | (1,493) |
Closing CET1 capital | 46,225 | 46,225 |
● | A £0.3bn reduction in the fair value through other comprehensive income reserve driven by a decrease in the fair value of bonds due to increasing bond yields |
● | A 0.5bn decrease in the currency translation reserves driven by the depreciation of period end EUR and USD against GBP |
● | A £0.4bn decrease as a result of movements relating to pensions, largely due to deficit contribution payments of £0.35bn in April 2021 |
● | A £0.3bn increase in the PVA deduction due to the removal of temporary regulatory supporting measures applied to certain additional valuation adjustments |
● | A £1.2bn decrease in IFRS 9 transitional relief, after tax, primarily due to a credit impairment net release, impairment migrations from stage 2 to stage 3 and a decrease to the amount of relief applied to the pre-2020 impairment charge reducing to 50% in 2021 from 70% in 2020 |
RWAs by risk type and business | |||||||||||||
Credit risk | Counterparty credit risk | Market Risk | Operational risk | Total RWAs | |||||||||
STD | IRB | STD | IRB | Settlement Risk | CVA | STD | IMA | ||||||
As at 30.06.21 | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | |||
Barclays UK | 7,151 | 52,995 | 437 | — | — | 163 | 33 | — | 11,381 | 72,160 | |||
Corporate and Investment Bank | 26,406 | 71,540 | 15,343 | 18,973 | 101 | 2,668 | 17,761 | 18,010 | 23,453 | 194,255 | |||
Consumer, Cards and Payments | 19,218 | 2,509 | 158 | 40 | — | 29 | — | 55 | 6,948 | 28,957 | |||
Barclays International | 45,624 | 74,049 | 15,501 | 19,013 | 101 | 2,697 | 17,761 | 18,065 | 30,401 | 223,212 | |||
Head Office | 4,591 | 7,269 | — | — | — | — | — | — | (808) | 11,052 | |||
Barclays Group | 57,366 | 134,313 | 15,938 | 19,013 | 101 | 2,860 | 17,794 | 18,065 | 40,974 | 306,424 | |||
As at 30.03.21 | |||||||||||||
Barclays UK | 7,066 | 53,512 | 431 | — | — | 217 | 64 | — | 11,381 | 72,671 | |||
Corporate and Investment Bank | 25,832 | 75,854 | 13,781 | 19,218 | 102 | 2,452 | 16,479 | 24,083 | 23,452 | 201,253 | |||
Consumer, Cards and Payments | 18,621 | 2,875 | 178 | 41 | — | 28 | — | 59 | 6,949 | 28,751 | |||
Barclays International | 44,453 | 78,729 | 13,959 | 19,259 | 102 | 2,480 | 16,479 | 24,142 | 30,401 | 230,004 | |||
Head Office | 4,424 | 7,065 | — | — | — | — | — | — | (808) | 10,681 | |||
Barclays Group | 55,943 | 139,306 | 14,390 | 19,259 | 102 | 2,697 | 16,543 | 24,142 | 40,974 | 313,356 | |||
As at 31.12.20 | |||||||||||||
Barclays UK | 7,360 | 54,340 | 394 | — | — | 136 | 72 | — | 11,359 | 73,661 | |||
Corporate and Investment Bank | 24,660 | 73,792 | 12,047 | 20,280 | 246 | 2,351 | 13,123 | 22,363 | 23,343 | 192,205 | |||
Consumer, Cards and Payments | 19,754 | 3,041 | 177 | 45 | — | 31 | — | 71 | 6,996 | 30,115 | |||
Barclays International | 44,414 | 76,833 | 12,224 | 20,325 | 246 | 2,382 | 13,123 | 22,434 | 30,339 | 222,320 | |||
Head Office | 4,153 | 6,869 | — | — | — | — | — | — | (800) | 10,222 | |||
Barclays Group | 55,927 | 138,042 | 12,618 | 20,325 | 246 | 2,518 | 13,195 | 22,434 | 40,898 | 306,203 |
Movement analysis of RWAs | |||||
Credit risk | Counterparty credit risk | Market risk | Operational risk | Total RWAs | |
£m | £m | £m | £m | £m | |
Opening RWAs (as at 31.12.20) | 193,969 | 35,707 | 35,629 | 40,898 | 306,203 |
Book size | 378 | 1,698 | 1,519 | 76 | 3,671 |
Acquisitions and disposals | (874) | — | — | — | (874) |
Book quality | 1,074 | 277 | — | — | 1,351 |
Model updates | (1,070) | (186) | — | — | (1,256) |
Methodology and policy | (115) | 416 | (1,289) | — | (988) |
Foreign exchange movements1 | (1,683) | — | — | — | (1,683) |
Total RWA movements | (2,290) | 2,205 | 230 | 76 | 221 |
Closing RWAs (as at 30.06.21) | 191,679 | 37,912 | 35,859 | 40,974 | 306,424 |
1 | Foreign exchange movements does not include foreign exchange for counterparty credit risk or market risk. |
● | A £1.1bn increase in book quality is primarily due to reduction in credit quality |
● | A £1.1bn decrease in model updates primarily due to modelled risk weight recalibrations |
● | A £1.7bn decrease in FX is due to the depreciation of period end EUR and USD against GBP |
● | A £1.7bn increase in book size primarily due to an increase in trading activities across SFTs and derivatives |
● | A £1.5bn increase in book size primarily due to increased client and trading activities |
● | A £1.3bn decrease in methodology and policy is driven by a change in the historical look back period of the VaR model from two years to one year |
Leverage ratios1,2 | As at 30.06.21 | As at 31.03.21 | As at 31.12.20 |
£m | £m | £m | |
Average UK leverage ratio | 4.8% | 4.9% | 5.0% |
Average T1 capital3 | 57,280 | 57,040 | 57,069 |
Average UK leverage exposure | 1,191,986 | 1,174,887 | 1,146,919 |
UK leverage ratio | 5.0% | 5.0% | 5.3% |
CET1 capital | 46,225 | 45,904 | 46,296 |
AT1 capital | 11,087 | 11,099 | 11,092 |
T1 capital3 | 57,312 | 57,003 | 57,388 |
UK leverage exposure | 1,153,570 | 1,145,413 | 1,090,907 |
UK leverage exposure | |||
Accounting assets | |||
Derivative financial instruments | 256,636 | 270,717 | 302,446 |
Derivative cash collateral | 54,063 | 51,797 | 64,798 |
Securities financing transactions (SFTs) | 182,820 | 189,496 | 164,034 |
Loans and advances and other assets | 882,814 | 867,646 | 818,236 |
Total IFRS assets | 1,376,333 | 1,379,656 | 1,349,514 |
Regulatory consolidation adjustments | (1,406) | (1,926) | (1,144) |
Derivatives adjustments | |||
Derivatives netting | (229,123) | (242,857) | (272,275) |
Adjustments to collateral | (42,774) | (45,464) | (57,414) |
Net written credit protection | 16,730 | 16,814 | 14,986 |
Potential future exposure (PFE) on derivatives | 135,162 | 128,454 | 117,010 |
Total derivatives adjustments | (120,005) | (143,053) | (197,693) |
SFTs adjustments | 23,511 | 22,294 | 21,114 |
Regulatory deductions and other adjustments | (22,525) | (18,111) | (17,469) |
Weighted off-balance sheet commitments | 111,870 | 118,134 | 113,704 |
Qualifying central bank claims | (172,465) | (167,054) | (155,890) |
Settlement netting | (41,743) | (44,527) | (21,229) |
UK leverage exposure | 1,153,570 | 1,145,413 | 1,090,907 |
1 | Fully loaded average UK leverage ratio was 4.7%, with £55.5bn of T1 capital and £1,190.2bn of leverage exposure. Fully loaded UK leverage ratio was 4.9%, with £56.0bn of T1 capital and £1,152.2bn of leverage exposure. Fully loaded UK leverage ratios are calculated without applying the transitional arrangements of the CRR as amended by CRR II. |
2 | Capital and leverage measures are calculated applying the transitional arrangements of the CRR as amended by CRR II. |
3 | T1 capital is calculated in line with the PRA Handbook. |
1 | CRR leverage ratio as amended by CRR II. |
Own funds and eligible liabilities ratios1,2 | As a percentage of RWAs | As a percentage of CRR leverage exposure | |||||
As at 30.06.21 | As at 31.03.21 | As at 31.12.20 | As at 30.06.21 | As at 31.03.21 | As at 31.12.20 | ||
Total Barclays PLC (the Parent company) own funds and eligible liabilities | 33.7% | 32.1% | 32.7% | 7.7% | 7.6% | 8.0% | |
Total own funds and eligible liabilities, including eligible Barclays Bank PLC instruments | 34.4% | 32.8% | 33.6% | 7.9% | 7.8% | 8.2% | |
Own funds and eligible liabilities1,2 | As at 30.06.21 | As at 31.03.21 | As at 31.12.20 | ||||
£m | £m | £m | |||||
CET1 capital | 46,225 | 45,904 | 46,296 | ||||
AT1 capital instruments and related share premium accounts3 | 11,087 | 11,099 | 11,092 | ||||
T2 capital instruments and related share premium accounts3 | 8,888 | 8,886 | 7,733 | ||||
Eligible liabilities | 37,095 | 34,571 | 35,086 | ||||
Total Barclays PLC (the Parent company) own funds and eligible liabilities | 103,295 | 100,460 | 100,207 | ||||
Qualifying AT1 capital (including minority interests) issued by subsidiaries | 648 | 655 | 646 | ||||
Qualifying T2 capital (including minority interests) issued by subsidiaries | 1,401 | 1,641 | 1,893 | ||||
Total own funds and eligible liabilities, including eligible Barclays Bank PLC instruments | 105,344 | 102,756 | 102,746 | ||||
Total RWAs | 306,424 | 313,356 | 306,203 | ||||
Total CRR leverage exposure4 | 1,334,929 | 1,320,628 | 1,254,157 |
1 | CET1, T1 and T2 capital, and RWAs are calculated applying the transitional arrangements of the CRR as amended by CRR II. This includes IFRS 9 transitional arrangements and the grandfathering of CRR and CRR II non-compliant capital instruments. |
2 | The BoE has set external MREL based on the higher of RWAs and CRR or UK leverage exposures which could result in the binding measure changing in future periods. The 30 June 2021 Barclays PLC (the Parent company) own funds and eligible liabilities ratio as a percentage of the UK leverage exposure was 9.0% and as a percentage of the average UK leverage exposure was 8.7%. |
3 | Includes other AT1 capital regulatory adjustments and deductions of £80m (December 2020: £80m), and other T2 credit risk adjustments and deductions of £81m (December 2020: £103m). |
4 | Fully loaded CRR leverage exposure is calculated without applying the transitional arrangements of the CRR as amended by CRR II. |
● | an indication of important events that have occurred during the six months ended 30 June 2021 and their impact on the condensed consolidated interim financial statements, and a description of the principal risks and uncertainties for the remaining six months of the financial year |
● | any related party transactions in the six months ended 30 June 2021 that have materially affected the financial position or performance of Barclays during that period and any changes in the related party transactions described in the last Annual Report that could have a material effect on the financial position or performance of Barclays in the six months ended 30 June 2021 |
James E Staley | Tushar Morzaria | |
Group Chief Executive | Group Finance Director |
Chairman | Executive Directors | Non-Executive Directors |
Nigel Higgins | James E Staley Tushar Morzaria | Mike Ashley Tim Breedon CBE Mohamed A. El-Erian Dawn Fitzpatrick Mary Francis CBE Crawford Gillies Brian Gilvary Diane Schueneman Julia Wilson |
● | the condensed consolidated income statement and condensed consolidated statement of comprehensive income for the period then ended; |
● | the condensed consolidated balance sheet as at 30 June 2021; |
● | the condensed consolidated statement of changes in equity for the period then ended; |
● | the condensed consolidated cash flow statement for the period then ended; and |
● | the related explanatory notes. |
Condensed consolidated income statement (unaudited) | |||
Half year ended 30.06.21 | Half year ended 30.06.20 | ||
Notes1 | £m | £m | |
Interest and similar income | 5,279 | 6,437 | |
Interest and similar expense | (1,376) | (2,214) | |
Net interest income | 3,903 | 4,223 | |
Fee and commission income | 3 | 4,682 | 4,399 |
Fee and commission expense | 3 | (976) | (1,090) |
Net fee and commission income | 3 | 3,706 | 3,309 |
Net trading income | 3,482 | 4,198 | |
Net investment income | 152 | (136) | |
Other income | 72 | 27 | |
Total income | 11,315 | 11,621 | |
Credit impairment releases/(charges) | 742 | (3,738) | |
Net operating income | 12,057 | 7,883 | |
Staff costs | 4 | (4,334) | (4,053) |
Infrastructure, administration and general expenses | 5 | (2,798) | (2,510) |
Litigation and conduct | (99) | (30) | |
Operating expenses | (7,231) | (6,593) | |
Share of post-tax results of associates and joint ventures | 154 | (31) | |
Profit on disposal of subsidiaries, associates and joint ventures | (1) | 13 | |
Profit before tax | 4,979 | 1,272 | |
Tax charge | 6 | (759) | (113) |
Profit after tax | 4,220 | 1,159 | |
Attributable to: | |||
Equity holders of the parent | 3,812 | 695 | |
Other equity instrument holders | 389 | 427 | |
Total equity holders of the parent | 4,201 | 1,122 | |
Non-controlling interests | 7 | 19 | 37 |
Profit after tax | 4,220 | 1,159 | |
Earnings per share | p | p | |
Basic earnings per ordinary share | 8 | 22.2 | 4.0 |
Diluted earnings per ordinary share | 8 | 21.7 | 3.9 |
1 | For notes to the Financial Statements see pages 70 to 96. |
Condensed consolidated statement of comprehensive income (unaudited) | |||
Half year ended 30.06.21 | Half year ended 30.06.20 | ||
Notes1 | £m | £m | |
Profit after tax | 4,220 | 1,159 | |
Other comprehensive income/(loss) that may be recycled to profit or loss:2 | |||
Currency translation reserve | 19 | (495) | 1,220 |
Fair value through other comprehensive income reserve | 19 | (365) | 137 |
Cash flow hedging reserve | 19 | (911) | 912 |
Other | 19 | — | (6) |
Other comprehensive income that may be recycled to profit | (1,771) | 2,263 | |
Other comprehensive income/(loss) not recycled to profit or loss:2 | |||
Retirement benefit remeasurements | 16 | 103 | 645 |
Fair value through other comprehensive income reserve | 19 | 115 | (515) |
Own credit | 19 | (47) | 496 |
Other comprehensive income not recycled to profit | 171 | 626 | |
Other comprehensive income for the period | (1,600) | 2,889 | |
Total comprehensive income for the period | 2,620 | 4,048 | |
Attributable to: | |||
Equity holders of the parent | 2,601 | 4,011 | |
Non-controlling interests | 19 | 37 | |
Total comprehensive income for the period | 2,620 | 4,048 |
1 | For notes to the Financial Statements see pages 70 to 96. |
2 | Reported net of tax. |
Condensed consolidated balance sheet (unaudited) | |||
As at 30.06.21 | As at 31.12.20 | ||
Assets | Notes1 | £m | £m |
Cash and balances at central banks | 216,963 | 191,127 | |
Cash collateral and settlement balances | 111,921 | 101,367 | |
Loans and advances at amortised cost | 12 | 348,549 | 342,632 |
Reverse repurchase agreements and other similar secured lending | 4,459 | 9,031 | |
Trading portfolio assets | 147,239 | 127,950 | |
Financial assets at fair value through the income statement | 194,421 | 175,151 | |
Derivative financial instruments | 10 | 256,636 | 302,446 |
Financial assets at fair value through other comprehensive income | 73,260 | 78,688 | |
Investments in associates and joint ventures | 907 | 781 | |
Goodwill and intangible assets | 13 | 8,196 | 7,948 |
Property, plant and equipment | 3,581 | 4,036 | |
Current tax assets | 228 | 477 | |
Deferred tax assets | 6 | 3,771 | 3,444 |
Retirement benefit assets | 16 | 2,701 | 1,814 |
Other assets | 3,501 | 2,622 | |
Total assets | 1,376,333 | 1,349,514 | |
Liabilities | |||
Deposits at amortised cost | 12 | 500,895 | 481,036 |
Cash collateral and settlement balances | 101,923 | 85,423 | |
Repurchase agreements and other similar secured borrowing | 20,005 | 14,174 | |
Debt securities in issue | 90,733 | 75,796 | |
Subordinated Liabilities | 14 | 12,839 | 16,341 |
Trading portfolio liabilities | 56,986 | 47,405 | |
Financial liabilities designated at fair value | 264,164 | 249,765 | |
Derivative financial instruments | 10 | 247,034 | 300,775 |
Current tax liabilities | 592 | 645 | |
Deferred tax liabilities | 6 | 8 | 15 |
Retirement benefit liabilities | 16 | 338 | 291 |
Other liabilities | 10,928 | 8,662 | |
Provisions | 15 | 1,772 | 2,304 |
Total liabilities | 1,308,217 | 1,282,632 | |
Equity | |||
Called up share capital and share premium | 17 | 4,568 | 4,637 |
Other reserves | 19 | 2,856 | 4,461 |
Retained earnings | 48,461 | 45,527 | |
Shareholders' equity attributable to ordinary shareholders of the parent | 55,885 | 54,625 | |
Other equity instruments | 18 | 11,167 | 11,172 |
Total equity excluding non-controlling interests | 67,052 | 65,797 | |
Non-controlling interests | 7 | 1,064 | 1,085 |
Total equity | 68,116 | 66,882 | |
Total equity and liabilities | 1,376,333 | 1,349,514 |
1 | For notes to the Financial Statements see pages 70 to 96. |
Condensed consolidated statement of changes in equity (unaudited) | |||||||
Called up share capital and share premium1 | Other equity instruments1 | Other reserves1 | Retained earnings | Total | Non-controlling interests2 | Total equity | |
Half year ended 30.06.21 | £m | £m | £m | £m | £m | £m | £m |
Balance as at 1 January 2021 | 4,637 | 11,172 | 4,461 | 45,527 | 65,797 | 1,085 | 66,882 |
Profit after tax | — | 389 | — | 3,812 | 4,201 | 19 | 4,220 |
Currency translation movements | — | — | (495) | — | (495) | — | (495) |
Fair value through other comprehensive income reserve | — | — | (250) | — | (250) | — | (250) |
Cash flow hedges | — | — | (911) | — | (911) | — | (911) |
Retirement benefit remeasurements | — | — | — | 103 | 103 | — | 103 |
Own credit | — | — | (47) | — | (47) | — | (47) |
Total comprehensive income for the period | — | 389 | (1,703) | 3,915 | 2,601 | 19 | 2,620 |
Equity settled share schemes | 25 | — | — | 289 | 314 | — | 314 |
Other equity instruments coupon paid | — | (389) | — | — | (389) | — | (389) |
Vesting of employee share schemes | — | — | 4 | (397) | (393) | — | (393) |
Dividends paid | — | — | — | (173) | (173) | (16) | (189) |
Repurchase of shares | (94) | — | 94 | (700) | (700) | — | (700) |
Other movements | — | (5) | — | — | (5) | (24) | (29) |
Balance as at 30 June 2021 | 4,568 | 11,167 | 2,856 | 48,461 | 67,052 | 1,064 | 68,116 |
Half year ended 31.12.20 | |||||||
Balance as at 1 July 2020 | 4,620 | 10,871 | 6,996 | 45,817 | 68,304 | 1,237 | 69,541 |
Profit after tax | — | 430 | — | 831 | 1,261 | 41 | 1,302 |
Currency translation movements | — | — | (1,693) | — | (1,693) | — | (1,693) |
Fair value through other comprehensive income reserve | — | — | 570 | — | 570 | — | 570 |
Cash flow hedges | — | — | (339) | — | (339) | — | (339) |
Retirement benefit remeasurements | — | — | — | (756) | (756) | — | (756) |
Own credit | — | — | (1,077) | — | (1,077) | — | (1,077) |
Other | — | — | — | 11 | 11 | — | 11 |
Total comprehensive income for the period | — | 430 | (2,539) | 86 | (2,023) | 41 | (1,982) |
Equity settled share schemes | 17 | — | — | (300) | (283) | — | (283) |
Issue and exchange of other equity instruments | — | 311 | — | (55) | 256 | (158) | 98 |
Other equity instruments coupon paid | — | (430) | — | — | (430) | — | (430) |
Vesting of employee share schemes | — | — | 4 | (20) | (16) | — | (16) |
Dividends paid | — | — | — | — | — | (42) | (42) |
Other movements | — | (10) | — | (1) | (11) | 7 | (4) |
Balance as at 31 December 2020 | 4,637 | 11,172 | 4,461 | 45,527 | 65,797 | 1,085 | 66,882 |
1 | Details of share capital, other equity instruments and other reserves are shown on pages 85 to 86. |
2 | Details of non-controlling interests are shown on page 74. |
Condensed consolidated statement of changes in equity (unaudited) | |||||||
Called up share capital and share premium1 | Other equity instruments1 | Other reserves1 | Retained earnings | Total | Non-controlling interests2 | Total equity | |
Half year ended 30.06.20 | £m | £m | £m | £m | £m | £m | £m |
Balance as at 1 January 2020 | 4,594 | 10,871 | 4,760 | 44,204 | 64,429 | 1,231 | 65,660 |
Profit after tax | — | 427 | — | 695 | 1,122 | 37 | 1,159 |
Currency translation movements | — | — | 1,220 | — | 1,220 | — | 1,220 |
Fair value through other comprehensive income reserve | — | — | (378) | — | (378) | — | (378) |
Cash flow hedges | — | — | 912 | — | 912 | — | 912 |
Retirement benefit remeasurements | — | — | — | 645 | 645 | — | 645 |
Own credit | — | — | 496 | — | 496 | — | 496 |
Other | — | — | — | (6) | (6) | — | (6) |
Total comprehensive income for the period | — | 427 | 2,250 | 1,334 | 4,011 | 37 | 4,048 |
Equity settled share schemes | 26 | — | — | 603 | 629 | — | 629 |
Other equity instruments coupon paid | — | (427) | — | — | (427) | — | (427) |
Vesting of employee share schemes | — | — | (14) | (327) | (341) | — | (341) |
Dividends paid | — | — | — | — | — | (37) | (37) |
Other movements | — | — | — | 3 | 3 | 6 | 9 |
Balance as at 30 June 2020 | 4,620 | 10,871 | 6,996 | 45,817 | 68,304 | 1,237 | 69,541 |
1 | Details of share capital, other equity instruments and other reserves are shown on pages 85 to 86. |
2 | Details of non-controlling interests are shown on page 74. |
Condensed consolidated cash flow statement (unaudited) | ||
Half year ended 30.06.21 | Half year ended 30.06.201 | |
£m | £m | |
Profit before tax | 4,979 | 1,272 |
Adjustment for non-cash items2 | 6,900 | (1,431) |
Net increase in loans and advances at amortised cost2 | 432 | (12,868) |
Net increase in deposits at amortised cost | 19,859 | 51,126 |
Net increase in debt securities in issue | 13,041 | 24,183 |
Changes in other operating assets and liabilities3 | (5,559) | (6,770) |
Corporate income tax paid | (712) | (351) |
Net cash from operating activities | 38,940 | 55,161 |
Net cash from investing activities2 | (3,389) | (17,844) |
Net cash from financing activities | (2,562) | 3,133 |
Effect of exchange rates on cash and cash equivalents | (5,535) | 7,814 |
Net increase/(decrease) in cash and cash equivalents | 27,454 | 48,264 |
Cash and cash equivalents at beginning of the period3 | 210,142 | 166,613 |
Cash and cash equivalents at end of the period3 | 237,596 | 214,877 |
1 | H120 comparative figures have been restated to make the condensed cash flow statement more relevant following a review of the disclosure and the accounting policies applied that was undertaken in H220. Amendments, which were first applied in the Barclays PLC Annual Report 2020, have been made to the classification of cash collateral reported within cash and cash equivalents and to the presentation of items within net cash flows from operating and investing activities. Footnotes 2 and 3 below quantify the impact of the changes to the respective cash flow categories in H120 and provide further detail. |
2 | Movements in cash and cash equivalents relating to debt securities at amortised cost were previously shown within loans and advances at amortised cost in operating activities. These debt securities holdings are now considered to be part of the investing activity performed by the Group following a change in accounting policy and have been presented within investing activities in H121. Comparatives have been restated. The effect of this change was to reclassify £6,245m of net cash outflows from operating activities to investing activities in H120. |
3 | Cash and cash equivalents have been restated to exclude cash collateral and settlement balances, with the exception of balances that the Group holds at central banks related to payment schemes. The effect of this change decreased cash and cash equivalents by £28,301m as at 30 June 2020 and £16,774m as at 31 December 2019. As a result, net cash from operating activities decreased by £11,527m in H120, representing the net increase in the cash collateral and settlement balances line item in this period. |
Analysis of results by business | ||||
Barclays UK | Barclays International | Head Office | Barclays Group | |
Half year ended 30.06.21 | £m | £m | £m | £m |
Total income | 3,199 | 8,218 | (102) | 11,315 |
Credit impairment releases | 443 | 293 | 6 | 742 |
Net operating income/(expenses) | 3,642 | 8,511 | (96) | 12,057 |
Operating expenses | (2,114) | (4,606) | (412) | (7,132) |
Litigation and conduct | (22) | (84) | 7 | (99) |
Total operating expenses | (2,136) | (4,690) | (405) | (7,231) |
Other net income1 | — | 22 | 131 | 153 |
Profit/(loss) before tax | 1,506 | 3,843 | (370) | 4,979 |
As at 30.06.21 | £bn | £bn | £bn | £bn |
Total assets | 311.2 | 1,046.8 | 18.3 | 1,376.3 |
Barclays UK | Barclays International | Head Office | Barclays Group | |
Half year ended 30.06.20 | £m | £m | £m | £m |
Total income | 3,171 | 8,654 | (204) | 11,621 |
Credit impairment charges | (1,064) | (2,619) | (55) | (3,738) |
Net operating income/(expenses) | 2,107 | 6,035 | (259) | 7,883 |
Operating expenses | (2,041) | (4,405) | (117) | (6,563) |
Litigation and conduct | (11) | (11) | (8) | (30) |
Total operating expenses | (2,052) | (4,416) | (125) | (6,593) |
Other net income/(expenses)1 | 13 | 10 | (41) | (18) |
Profit/(loss) before tax | 68 | 1,629 | (425) | 1,272 |
As at 31.12.20 | £bn | £bn | £bn | £bn |
Total assets | 289.1 | 1,041.8 | 18.6 | 1,349.5 |
1 | Other net income/(expenses) represents the share of post-tax results of associates and joint ventures, profit (or loss) on disposal of subsidiaries, associates and joint ventures and gains on acquisitions. |
Split of income by geographic region1 | ||
Half year ended 30.06.21 | Half year ended 30.06.20 | |
£m | £m | |
United Kingdom | 5,895 | 5,989 |
Europe | 1,222 | 1,199 |
Americas | 3,608 | 3,776 |
Africa and Middle East | 20 | 20 |
Asia | 570 | 637 |
Total | 11,315 | 11,621 |
1 | The geographical analysis is based on the location of the office where the transactions are recorded. |
Barclays UK | Barclays International | Head Office | Total | |
Half year ended 30.06.21 | £m | £m | £m | £m |
Fee type | ||||
Transactional | 408 | 1,181 | — | 1,589 |
Advisory | 83 | 459 | 1 | 543 |
Brokerage and execution | 109 | 553 | — | 662 |
Underwriting and syndication | — | 1,715 | — | 1,715 |
Other | 35 | 73 | 3 | 111 |
Total revenue from contracts with customers | 635 | 3,981 | 4 | 4,620 |
Other non-contract fee income | — | 62 | — | 62 |
Fee and commission income | 635 | 4,043 | 4 | 4,682 |
Fee and commission expense | (108) | (861) | (7) | (976) |
Net fee and commission income | 527 | 3,182 | (3) | 3,706 |
Barclays UK | Barclays International | Head Office | Total | |
Half year ended 30.06.20 | £m | £m | £m | £m |
Fee type | ||||
Transactional | 386 | 1,157 | — | 1,543 |
Advisory | 79 | 306 | 1 | 386 |
Brokerage and execution | 102 | 685 | — | 787 |
Underwriting and syndication | — | 1,468 | — | 1,468 |
Other | 38 | 115 | 2 | 155 |
Total revenue from contracts with customers | 605 | 3,731 | 3 | 4,339 |
Other non-contract fee income | — | 60 | — | 60 |
Fee and commission income | 605 | 3,791 | 3 | 4,399 |
Fee and commission expense | (148) | (940) | (2) | (1,090) |
Net fee and commission income | 457 | 2,851 | 1 | 3,309 |
Half year ended 30.06.21 | Half year ended 30.06.20 | |
Compensation costs | £m | £m |
Upfront bonus charge | 824 | 476 |
Deferred bonus charge | 262 | 269 |
Other incentives | 6 | 4 |
Performance costs | 1,092 | 749 |
Salaries | 2,117 | 2,153 |
Social security costs | 336 | 317 |
Post-retirement benefits | 275 | 268 |
Other compensation costs | 223 | 254 |
Total compensation costs | 4,043 | 3,741 |
Other resourcing costs | ||
Outsourcing | 171 | 175 |
Redundancy and restructuring | 23 | 39 |
Temporary staff costs | 55 | 58 |
Other | 42 | 40 |
Total other resourcing costs | 291 | 312 |
Total staff costs | 4,334 | 4,053 |
Barclays Group compensation costs as a % of total income | 35.7 | 32.2 |
Half year ended 30.06.21 | Half year ended 30.06.20 | |
Infrastructure costs | £m | £m |
Property and equipment | 709 | 757 |
Depreciation and amortisation | 832 | 751 |
Lease payments | 20 | 26 |
Impairment of property, equipment and intangible assets | 304 | 32 |
Total infrastructure costs | 1,865 | 1,566 |
Administration and general expenses | ||
Consultancy, legal and professional fees | 262 | 270 |
Marketing and advertising | 163 | 158 |
Other administration and general expenses | 508 | 516 |
Total administration and general expenses | 933 | 944 |
Total infrastructure, administration and general expenses | 2,798 | 2,510 |
As at 30.06.21 | As at 31.12.20 | |
Deferred tax assets and liabilities | £m | £m |
USA | 1,908 | 2,049 |
UK | 1,380 | 886 |
Other territories | 483 | 509 |
Deferred tax assets | 3,771 | 3,444 |
Deferred tax liabilities | (8) | (15) |
Analysis of deferred tax assets | ||
Temporary differences | 2,972 | 2,709 |
Tax losses | 799 | 735 |
Deferred tax assets | 3,771 | 3,444 |
Profit attributable to non-controlling interests | Equity attributable to non-controlling interests | ||||
Half year ended 30.06.21 | Half year ended 30.06.20 | As at 30.06.21 | As at 31.12.20 | ||
£m | £m | £m | £m | ||
Barclays Bank PLC issued: | |||||
- Preference shares | 13 | 28 | 529 | 529 | |
- Upper T2 instruments | 3 | 9 | 533 | 533 | |
Other non-controlling interests | 3 | — | 2 | 23 | |
Total | 19 | 37 | 1,064 | 1,085 |
Half year ended 30.06.21 | Half year ended 30.06.20 | |
£m | £m | |
Profit attributable to ordinary equity holders of the parent | 3,812 | 695 |
m | m | |
Basic weighted average number of shares in issue | 17,140 | 17,294 |
Number of potential ordinary shares | 467 | 319 |
Diluted weighted average number of shares | 17,607 | 17,613 |
p | p | |
Basic earnings per ordinary share | 22.2 | 4.0 |
Diluted earnings per ordinary share | 21.7 | 3.9 |
Half year ended 30.06.21 | Half year ended 30.06.20 | |||
Per share | Total | Per share | Total | |
Dividends paid during the period | p | £m | p | £m |
Full year dividend paid during period | 1.0 | 173 | — | — |
Contract notional amount | Fair value | |||
Assets | Liabilities | |||
As at 30.06.21 | £m | £m | £m | |
Foreign exchange derivatives | 5,654,026 | 66,963 | (64,194) | |
Interest rate derivatives | 37,888,009 | 134,734 | (123,436) | |
Credit derivatives | 920,030 | 5,469 | (5,960) | |
Equity and stock index and commodity derivatives | 1,541,007 | 48,530 | (52,444) | |
Derivative assets/(liabilities) held for trading | 46,003,072 | 255,696 | (246,034) | |
Derivatives in hedge accounting relationships | ||||
Derivatives designated as cash flow hedges | 91,278 | 806 | — | |
Derivatives designated as fair value hedges | 107,879 | 128 | (993) | |
Derivatives designated as hedges of net investments | 1,595 | 6 | (7) | |
Derivative assets/(liabilities) designated in hedge accounting relationships | 200,752 | 940 | (1,000) | |
Total recognised derivative assets/(liabilities) | 46,203,824 | 256,636 | (247,034) | |
As at 31.12.20 | ||||
Foreign exchange derivatives | 5,554,037 | 84,739 | (84,381) | |
Interest rate derivatives | 35,257,371 | 172,144 | (162,402) | |
Credit derivatives | 847,845 | 4,605 | (5,004) | |
Equity and stock index and commodity derivatives | 1,510,718 | 40,392 | (48,008) | |
Derivative assets/(liabilities) held for trading | 43,169,971 | 301,880 | (299,795) | |
Derivatives in hedge accounting relationships | ||||
Derivatives designated as cash flow hedges | 74,437 | 386 | — | |
Derivatives designated as fair value hedges | 114,556 | 155 | (980) | |
Derivatives designated as hedges of net investments | 791 | 25 | — | |
Derivative assets/(liabilities) designated in hedge accounting relationships | 189,784 | 566 | (980) | |
Total recognised derivative assets/(liabilities) | 43,359,755 | 302,446 | (300,775) |
Valuation technique using | ||||
Quoted market prices | Observable inputs | Significant unobservable inputs | ||
(Level 1) | (Level 2) | (Level 3) | Total | |
As at 30.06.21 | £m | £m | £m | £m |
Trading portfolio assets | 73,405 | 71,282 | 2,552 | 147,239 |
Financial assets at fair value through the income statement | 1,229 | 185,415 | 7,777 | 194,421 |
Derivative financial instruments | 11,643 | 241,336 | 3,657 | 256,636 |
Financial assets at fair value through other comprehensive income | 21,375 | 51,837 | 48 | 73,260 |
Investment property | — | — | 8 | 8 |
Total assets | 107,652 | 549,870 | 14,042 | 671,564 |
Trading portfolio liabilities | (30,911) | (26,058) | (17) | (56,986) |
Financial liabilities designated at fair value | (142) | (263,710) | (312) | (264,164) |
Derivative financial instruments | (11,227) | (230,207) | (5,600) | (247,034) |
Total liabilities | (42,280) | (519,975) | (5,929) | (568,184) |
As at 31.12.20 | ||||
Trading portfolio assets | 60,671 | 65,416 | 1,863 | 127,950 |
Financial assets at fair value through the income statement | 4,503 | 162,142 | 8,506 | 175,151 |
Derivative financial instruments | 9,155 | 288,822 | 4,469 | 302,446 |
Financial assets at fair value through other comprehensive income | 19,792 | 58,743 | 153 | 78,688 |
Investment property | — | — | 10 | 10 |
Total assets | 94,121 | 575,123 | 15,001 | 684,245 |
Trading portfolio liabilities | (24,391) | (22,986) | (28) | (47,405) |
Financial liabilities designated at fair value | (159) | (249,251) | (355) | (249,765) |
Derivative financial instruments | (8,762) | (285,774) | (6,239) | (300,775) |
Total liabilities | (33,312) | (558,011) | (6,622) | (597,945) |
As at 30.06.21 | As at 31.12.20 | |||
Assets | Liabilities | Assets | Liabilities | |
£m | £m | £m | £m | |
Interest rate derivatives | 916 | (1,269) | 1,613 | (1,615) |
Foreign exchange derivatives | 151 | (129) | 144 | (143) |
Credit derivatives | 100 | (364) | 196 | (351) |
Equity derivatives | 2,490 | (3,838) | 2,498 | (4,112) |
Commodity derivatives | — | — | 18 | (18) |
Corporate debt | 981 | (38) | 698 | (3) |
Reverse repurchase and repurchase agreements | — | (161) | — | (174) |
Non-asset backed loans | 6,338 | — | 6,394 | — |
Asset backed securities | 562 | — | 767 | (24) |
Equity cash products | 402 | — | 542 | — |
Private equity investments | 979 | (16) | 873 | (14) |
Other1 | 1,123 | (114) | 1,258 | (168) |
Total | 14,042 | (5,929) | 15,001 | (6,622) |
1 | Other includes commercial real estate loans, funds and fund-linked products, asset backed loans, issued debt, commercial paper, government sponsored debt and investment property. |
Level 3 movement analysis | |||||||||||
As at 01.01.21 | Purchases | Sales | Issues | Settle- ments | Total gains and losses in the period recognised in the income statement | Total gains or losses recognised in OCI | Transfers | As at 30.06.21 | |||
Trading income | Other income | In | Out | ||||||||
£m | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | |
Corporate debt | 151 | 305 | (87) | — | — | 25 | — | — | 40 | (11) | 423 |
Non-asset backed loans | 709 | 620 | (131) | — | (84) | 13 | — | — | 124 | (106) | 1,145 |
Asset backed securities | 686 | 112 | (294) | — | — | (10) | — | — | 43 | (48) | 489 |
Equity cash products | 214 | 13 | (17) | — | — | 32 | — | — | 29 | (9) | 262 |
Other | 103 | 21 | — | — | (51) | (1) | — | — | 162 | (1) | 233 |
Trading portfolio assets | 1,863 | 1,071 | (529) | — | (135) | 59 | — | — | 398 | (175) | 2,552 |
Non-asset backed loans | 5,580 | 698 | (299) | — | (687) | (119) | — | — | 69 | (48) | 5,194 |
Equity cash products | 326 | 160 | (194) | — | — | (171) | 18 | — | 1 | — | 140 |
Private equity investments | 874 | 106 | (9) | — | (8) | (5) | 92 | — | — | (71) | 979 |
Other | 1,726 | 2,291 | (2,389) | — | (162) | (19) | 1 | — | 16 | — | 1,464 |
Financial assets at fair value through the income statement | 8,506 | 3,255 | (2,891) | — | (857) | (314) | 111 | — | 86 | (119) | 7,777 |
Non-asset backed loans | 106 | — | — | — | — | — | — | — | — | (106) | — |
Asset backed securities | 47 | 4 | — | — | (5) | — | — | 2 | — | — | 48 |
Assets at fair value through other comprehensive income | 153 | 4 | — | — | (5) | — | — | 2 | — | (106) | 48 |
Investment property | 10 | — | (2) | — | — | — | — | — | — | — | 8 |
— | — | ||||||||||
Trading portfolio liabilities | (28) | (3) | 14 | — | — | (7) | — | — | — | 7 | (17) |
Financial liabilities designated at fair value | (355) | — | — | — | 98 | 7 | (2) | — | (78) | 18 | (312) |
Interest rate derivatives | (2) | 9 | — | — | 33 | (121) | 4 | — | 21 | (297) | (353) |
Foreign exchange derivatives | 1 | — | — | — | 58 | (6) | — | — | 3 | (34) | 22 |
Credit derivatives | (155) | (117) | 2 | — | (5) | 12 | (1) | — | 1 | (1) | (264) |
Equity derivatives | (1,614) | (315) | (1) | — | (32) | (221) | (1) | — | 28 | 808 | (1,348) |
Net derivative financial instruments1 | (1,770) | (423) | 1 | — | 54 | (336) | 2 | — | 53 | 476 | (1,943) |
Total | 8,379 | 3,904 | (3,407) | — | (845) | (591) | 111 | 2 | 459 | 101 | 8,113 |
1 | Derivative financial instruments are represented on a net basis. On a gross basis, derivative financial assets were £3,657m and derivative financial liabilities were £5,600m. |
Level 3 movement analysis | |||||||||||
As at 01.01.20 | Purchases | Sales | Issues | Settle- ments | Total gains and losses in the period recognised in the income statement | Total gains or losses recognised in OCI | Transfers | As at 30.06.20 | |||
Trading income | Other income | In | Out | ||||||||
£m | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | |
Corporate debt | 120 | 25 | — | — | — | (26) | — | — | 4 | (17) | 106 |
Non-asset backed loans | 974 | 1,926 | (740) | — | (4) | (111) | — | — | 97 | (320) | 1,822 |
Asset backed securities | 656 | 249 | (224) | — | (76) | (12) | — | — | 41 | (11) | 623 |
Equity cash products | 392 | 2 | (4) | — | — | (67) | — | — | 28 | (4) | 347 |
Other | 122 | 48 | — | — | — | 2 | — | — | 8 | — | 180 |
Trading portfolio assets | 2,264 | 2,250 | (968) | — | (80) | (214) | — | — | 178 | (352) | 3,078 |
Non-asset backed loans | 5,494 | 1,050 | (270) | — | (410) | 381 | — | — | — | (58) | 6,187 |
Equity cash products | 835 | 14 | — | — | — | (22) | (28) | — | — | — | 799 |
Private equity investments | 900 | 19 | (6) | — | (2) | 2 | (44) | — | 23 | (12) | 880 |
Other | 1,271 | 1,870 | (2,017) | — | (18) | (8) | 64 | — | 24 | — | 1,186 |
Financial assets at fair value through the income statement | 8,500 | 2,953 | (2,293) | — | (430) | 353 | (8) | — | 47 | (70) | 9,052 |
Non-asset backed loans | 343 | 79 | — | — | (157) | — | — | (3) | — | — | 262 |
Asset backed securities | 86 | — | (1) | — | — | 1 | — | (1) | — | — | 85 |
Assets at fair value through other comprehensive income | 429 | 79 | (1) | — | (157) | 1 | — | (4) | — | — | 347 |
Investment property | 13 | — | (1) | — | — | — | (2) | — | 2 | (2) | 10 |
Trading portfolio liabilities | — | — | — | — | — | — | — | — | — | — | — |
Financial liabilities designated at fair value | (362) | — | 1 | (3) | — | (10) | 2 | — | (22) | 25 | (369) |
Interest rate derivatives | (206) | 18 | — | — | 10 | 268 | 1 | — | 300 | (10) | 381 |
Foreign exchange derivatives | (7) | — | — | — | (12) | 89 | — | — | 5 | (8) | 67 |
Credit derivatives | 198 | (258) | 11 | — | (376) | 151 | 1 | — | 2 | 8 | (263) |
Equity derivatives | (819) | (448) | (1) | — | 17 | (90) | — | — | (5) | (23) | (1,369) |
Net derivative financial instruments1 | (834) | (688) | 10 | — | (361) | 418 | 2 | — | 302 | (33) | (1,184) |
Total | 10,010 | 4,594 | (3,252) | (3) | (1,028) | 548 | (6) | (4) | 507 | (432) | 10,934 |
1 | Derivative financial instruments are represented on a net basis. On a gross basis, derivative financial assets were £7,748m and derivative financial liabilities were £8,932m. |
Half year ended 30.06.21 | Half year ended 30.06.20 | |||||||
Income statement | Other compre hensive income | Total | Income statement | Other compre hensive income | Total | |||
Trading income | Other income | Trading income | Other income | |||||
£m | £m | £m | £m | £m | £m | £m | £m | |
Trading portfolio assets | 35 | — | — | 35 | (177) | — | — | (177) |
Financial assets at fair value through the income statement | (201) | 114 | — | (87) | 397 | (53) | — | 344 |
Financial assets at fair value through other comprehensive income | — | — | — | — | — | — | (2) | (2) |
Investment properties | — | — | — | — | — | (2) | — | (2) |
Trading portfolio liabilities | (6) | — | — | (6) | — | — | — | — |
Financial liabilities designated at fair value | 7 | — | — | 7 | (16) | (1) | — | (17) |
Net derivative financial instruments | (367) | — | — | (367) | 248 | — | — | 248 |
Non-current assets/liabilities held for sale | — | — | — | — | ||||
Total | (532) | 114 | — | (418) | 452 | (56) | (2) | 394 |
Sensitivity analysis of valuations using unobservable inputs | ||||||||
As at 30.06.21 | As at 31.12.20 | |||||||
Favourable changes | Unfavourable changes | Favourable changes | Unfavourable changes | |||||
Income statement | Equity | Income statement | Equity | Income statement | Equity | Income statement | Equity | |
£m | £m | £m | £m | £m | £m | £m | £m | |
Interest rate derivatives | 52 | — | (83) | — | 82 | — | (123) | — |
Foreign exchange derivatives | 6 | — | (10) | — | 6 | — | (11) | — |
Credit derivatives | 53 | — | (44) | — | 55 | — | (44) | — |
Equity derivatives | 185 | — | (193) | — | 174 | — | (179) | — |
Commodity derivatives | 2 | — | (2) | — | 2 | — | (2) | — |
Corporate debt | 22 | — | (16) | — | 16 | — | (14) | — |
Non-asset backed loans | 202 | — | (310) | — | 190 | 3 | (409) | (3) |
Equity cash products | 130 | — | (119) | — | 158 | — | (141) | — |
Private equity investments | 223 | — | (198) | — | 199 | — | (227) | — |
Other1 | 18 | — | (18) | — | 21 | — | (21) | — |
Total | 893 | — | (993) | — | 903 | 3 | (1,171) | (3) |
1 | Other includes commercial real estate loans, funds and fund-linked products, asset backed loans, issued debt, commercial paper, government sponsored debt and investment property. |
As at 30.06.21 | As at 31.12.20 | |
£m | £m | |
Exit price adjustments derived from market bid-offer spreads | (500) | (493) |
Uncollateralised derivative funding | (80) | (115) |
Derivative credit valuation adjustments | (210) | (268) |
Derivative debit valuation adjustments | 91 | 113 |
● | Exit price adjustments derived from market bid-offer spreads increased by £7m to £500m |
● | Uncollateralised derivative funding decreased by £35m to £80m as a result of tightening input funding spreads |
● | Derivative credit valuation adjustments decreased by £58m to £210m as a result of tightening input counterparty credit spreads |
● | Derivative debit valuation adjustments decreased by £22m to £91m as a result of tightening input Barclays Bank PLC credit spreads |
As at 30.06.21 | As at 31.12.20 | |||
Carrying amount | Fair value | Carrying amount | Fair value | |
Financial assets | £m | £m | £m | £m |
Loans and advances at amortised cost | 348,549 | 347,733 | 342,632 | 340,516 |
Reverse repurchase agreements and other similar secured lending | 4,459 | 4,459 | 9,031 | 9,031 |
Financial liabilities | ||||
Deposits at amortised cost | (500,895) | (500,933) | (481,036) | (481,106) |
Repurchase agreements and other similar secured borrowing | (20,005) | (20,005) | (14,174) | (14,174) |
Debt securities in issue | (90,733) | (92,746) | (75,796) | (77,813) |
Subordinated liabilities | (12,839) | (13,434) | (16,341) | (16,918) |
As at 30.06.21 | As at 31.12.20 | |
£m | £m | |
Loans and advances at amortised cost to banks | 11,032 | 8,900 |
Loans and advances at amortised cost to customers | 309,194 | 309,927 |
Debt securities at amortised cost | 28,323 | 23,805 |
Total loans and advances at amortised cost | 348,549 | 342,632 |
Deposits at amortised cost from banks | 17,165 | 17,343 |
Deposits at amortised cost from customers | 483,730 | 463,693 |
Total deposits at amortised cost | 500,895 | 481,036 |
As at 30.06.21 | As at 31.12.20 | |||||
Goodwill | Intangibles | Total | Goodwill | Intangibles | Total | |
£m | £m | £m | £m | £m | £m | |
Barclays UK | 3,560 | 1,570 | 5,130 | 3,560 | 1,618 | 5,178 |
Barclays International | 286 | 2,735 | 3,021 | 289 | 2,435 | 2,724 |
Head Office | 42 | 3 | 45 | 42 | 4 | 46 |
Total | 3,888 | 4,308 | 8,196 | 3,891 | 4,057 | 7,948 |
Half year ended 30.06.21 | Year ended 31.12.20 | |
£m | £m | |
Opening balance as at 1 January | 16,341 | 18,156 |
Issuances | 1,734 | 1,438 |
Redemptions | (4,534) | (3,464) |
Other | (702) | 211 |
Closing balance | 12,839 | 16,341 |
As at 30.06.21 | As at 31.12.20 | |
£m | £m | |
Customer redress | 449 | 497 |
Legal, competition and regulatory matters | 223 | 268 |
Redundancy and restructuring | 88 | 158 |
Undrawn contractually committed facilities and guarantees | 713 | 1,064 |
Onerous contracts | 14 | 28 |
Sundry provisions | 285 | 289 |
Total | 1,772 | 2,304 |
Ordinary share capital | Share premium | Total share capital and share premium | |
Half year ended 30.06.21 | £m | £m | £m |
Opening balance as at 1 January | 4,340 | 297 | 4,637 |
Issue of shares under employee share schemes | 3 | 22 | 25 |
Repurchase of shares | (94) | — | (94) |
Closing balance | 4,249 | 319 | 4,568 |
Half year ended 30.06.21 | Year ended 31.12.20 | |
£m | £m | |
Opening balance as at 1 January | 11,172 | 10,871 |
Issuances | — | 1,142 |
Redemptions | — | (831) |
Securities held by the Group | (5) | (10) |
Closing balance | 11,167 | 11,172 |
As at 30.06.21 | As at 31.12.20 | |
£m | £m | |
Currency translation reserve | 2,376 | 2,871 |
Fair value through other comprehensive income reserve | (245) | 5 |
Cash flow hedging reserve | 664 | 1,575 |
Own credit reserve | (1,001) | (954) |
Other reserves and treasury shares | 1,062 | 964 |
Total | 2,856 | 4,461 |
As at 30.06.21 | As at 31.12.20 | |
Contingent liabilities | £m | £m |
Guarantees and letters of credit pledged as collateral security | 13,519 | 15,665 |
Performance guarantees, acceptances and endorsements | 5,679 | 5,944 |
Total | 19,198 | 21,609 |
Commitments | ||
Documentary credits and other short-term trade related transactions | 1,017 | 1,086 |
Standby facilities, credit lines and other commitments | 345,281 | 331,963 |
Total | 346,298 | 333,049 |
As at 30.06.21 | As at 31.12.20 | |
Assets | £m | £m |
Investment in subsidiaries | 58,828 | 58,886 |
Loans and advances to subsidiaries | 23,295 | 24,710 |
Financial assets at fair value through the income statement | 21,046 | 17,521 |
Derivative financial instruments | 2 | 7 |
Other assets | 19 | 65 |
Total assets | 103,190 | 101,189 |
Liabilities | ||
Deposits at amortised cost | 476 | 482 |
Cash collateral and settlement balances | — | — |
Debt securities in issue | 26,663 | 28,428 |
Subordinated liabilities | 9,170 | 7,724 |
Financial liabilities designated at fair value | 12,130 | 9,507 |
Other liabilities | 135 | 176 |
Total liabilities | 48,574 | 46,317 |
Equity | ||
Called up share capital | 4,249 | 4,340 |
Share premium account | 319 | 297 |
Other equity instruments | 11,169 | 11,169 |
Other reserves | 488 | 394 |
Retained earnings | 38,391 | 38,672 |
Total equity | 54,616 | 54,872 |
Total liabilities and equity | 103,190 | 101,189 |
Measure | Definition |
Loan: deposit ratio | Loans and advances at amortised cost divided by deposits at amortised cost. The components of the calculation have been included on page 50. |
Period end allocated tangible equity | Allocated tangible equity is calculated as 13.5% (2020: 13.0%) of RWAs for each business, adjusted for capital deductions, excluding goodwill and intangible assets, reflecting the assumptions the Group uses for capital planning purposes. Head Office allocated tangible equity represents the difference between the Group’s tangible shareholders’ equity and the amounts allocated to businesses. |
Average tangible shareholders’ equity | Calculated as the average of the previous month’s period end tangible equity and the current month’s period end tangible equity. The average tangible shareholders’ equity for the period is the average of the monthly averages within that period. |
Average allocated tangible equity | Calculated as the average of the previous month’s period end allocated tangible equity and the current month’s period end allocated tangible equity. The average allocated tangible equity for the period is the average of the monthly averages within that period. |
Return on average tangible shareholders’ equity | Annualised profit after tax attributable to ordinary equity holders of the parent, as a proportion of average shareholders’ equity excluding non-controlling interests and other equity instruments adjusted for the deduction of intangible assets and goodwill. The components of the calculation have been included on page 98 to 100. |
Return on average allocated tangible equity | Annualised profit after tax attributable to ordinary equity holders of the parent, as a proportion of average allocated tangible equity. The components of the calculation have been included on page 98 to 101. |
Cost: income ratio | Total operating expenses divided by total income. |
Loan loss rate | Quoted in basis points and represents total annualised impairment charges divided by gross loans and advances held at amortised cost at the balance sheet date. The components of the calculation have been included on page 27. Quoted as zero across the current reporting period due to credit impairment net release. |
Net interest margin | Annualised net interest income divided by the sum of average customer assets. The components of the calculation have been included on pages 23 to 24. |
Tangible net asset value per share | Calculated by dividing shareholders’ equity, excluding non-controlling interests and other equity instruments, less goodwill and intangible assets, by the number of issued ordinary shares. The components of the calculation have been included on page 102. |
Profit/(loss) attributable to ordinary equity holders of the parent | Average tangible equity | Return on average tangible equity | |||
Half year ended 30.06.21 | £m | £bn | % | ||
Barclays UK | 1,019 | 9.9 | 20.6 | ||
Corporate and Investment Bank | 2,312 | 28.3 | 16.3 | ||
Consumer, Cards and Payments | 386 | 4.0 | 19.1 | ||
Barclays International | 2,698 | 32.3 | 16.7 | ||
Head Office | 95 | 4.3 | n/m | ||
Barclays Group | 3,812 | 46.5 | 16.4 | ||
Half year ended 30.06.20 | |||||
Barclays UK | 52 | 10.2 | 1.0 | ||
Corporate and Investment Bank | 1,514 | 27.7 | 11.0 | ||
Consumer, Cards and Payments | (517) | 4.7 | (21.9) | ||
Barclays International | 997 | 32.4 | 6.2 | ||
Head Office | (354) | 6.0 | n/m | ||
Barclays Group | 695 | 48.6 | 2.9 |
Half year ended 30.06.21 | ||||||
Barclays UK | Corporate and Investment Bank | Consumer, Cards and Payments | Barclays International | Head Office | Barclays Group | |
Return on average tangible shareholders' equity | £m | £m | £m | £m | £m | £m |
Attributable profit | 1,019 | 2,312 | 386 | 2,698 | 95 | 3,812 |
£bn | £bn | £bn | £bn | £bn | £bn | |
Average shareholders' equity | 13.5 | 28.3 | 4.6 | 32.9 | 8.0 | 54.4 |
Average goodwill and intangibles | (3.6) | — | (0.6) | (0.6) | (3.7) | (7.9) |
Average tangible shareholders' equity | 9.9 | 28.3 | 4.0 | 32.3 | 4.3 | 46.5 |
Return on average tangible shareholders' equity | 20.6% | 16.3% | 19.1% | 16.7% | n/m | 16.4% |
Half year ended 30.06.20 | ||||||
Barclays UK | Corporate and Investment Bank | Consumer, Cards and Payments | Barclays International | Head Office | Barclays Group | |
Return on average tangible shareholders' equity | £m | £m | £m | £m | £m | £m |
Attributable profit/(loss) | 52 | 1,514 | (517) | 997 | (354) | 695 |
£bn | £bn | £bn | £bn | £bn | £bn | |
Average shareholders' equity | 13.8 | 27.7 | 5.4 | 33.1 | 9.9 | 56.8 |
Average goodwill and intangibles | (3.6) | — | (0.7) | (0.7) | (3.9) | (8.2) |
Average tangible shareholders' equity | 10.2 | 27.7 | 4.7 | 32.4 | 6.0 | 48.6 |
Return on average tangible shareholders' equity | 1.0% | 11.0% | (21.9)% | 6.2% | n/m | 2.9% |
Barclays Group | ||||||||||
Return on average tangible shareholders' equity | Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | ||
£m | £m | £m | £m | £m | £m | £m | £m | |||
Attributable profit/(loss) | 2,108 | 1,704 | 220 | 611 | 90 | 605 | 681 | (292) | ||
£bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |||
Average shareholders' equity | 54.4 | 54.4 | 55.7 | 56.4 | 58.4 | 55.2 | 54.5 | 56.4 | ||
Average goodwill and intangibles | (7.9) | (7.9) | (8.1) | (8.1) | (8.2) | (8.2) | (8.1) | (8.0) | ||
Average tangible shareholders' equity | 46.5 | 46.5 | 47.6 | 48.3 | 50.2 | 47.0 | 46.4 | 48.4 | ||
Return on average tangible shareholders' equity | 18.1% | 14.7% | 1.8% | 5.1% | 0.7% | 5.1% | 5.9% | (2.4)% |
Barclays UK | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Return on average allocated tangible equity | £m | £m | £m | £m | £m | £m | £m | £m | ||
Attributable profit/(loss) | 721 | 298 | 160 | 113 | (123) | 175 | 438 | (907) | ||
£bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |||
Average allocated equity | 13.5 | 13.5 | 13.4 | 13.7 | 13.9 | 13.7 | 13.8 | 13.9 | ||
Average goodwill and intangibles | (3.6) | (3.6) | (3.6) | (3.6) | (3.6) | (3.6) | (3.5) | (3.5) | ||
Average allocated tangible equity | 9.9 | 9.9 | 9.8 | 10.1 | 10.3 | 10.1 | 10.3 | 10.4 | ||
Return on average allocated tangible equity | 29.1% | 12.0% | 6.5% | 4.5% | (4.8)% | 6.9% | 17.0% | (34.9)% |
Barclays International | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Return on average allocated tangible equity | £m | £m | £m | £m | £m | £m | £m | £m | ||
Attributable profit | 1,267 | 1,431 | 441 | 782 | 468 | 529 | 397 | 799 | ||
£bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |||
Average allocated equity | 33.0 | 32.8 | 31.1 | 31.2 | 34.2 | 31.9 | 31.9 | 33.3 | ||
Average goodwill and intangibles | (0.6) | (0.5) | (0.6) | (0.6) | (0.7) | (0.7) | (1.0) | (1.1) | ||
Average allocated tangible equity | 32.4 | 32.3 | 30.5 | 30.6 | 33.5 | 31.2 | 30.9 | 32.2 | ||
Return on average allocated tangible equity | 15.6% | 17.7% | 5.8% | 10.2% | 5.6% | 6.8% | 5.1% | 9.9% |
Corporate and Investment Bank | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Return on average allocated tangible equity | £m | £m | £m | £m | £m | £m | £m | £m | ||
Attributable profit | 1,049 | 1,263 | 413 | 627 | 694 | 820 | 193 | 609 | ||
£bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |||
Average allocated equity | 28.4 | 28.2 | 26.3 | 26.4 | 29.1 | 26.2 | 25.9 | 26.9 | ||
Average goodwill and intangibles | — | — | — | — | (0.1) | — | (0.1) | — | ||
Average allocated tangible equity | 28.4 | 28.2 | 26.3 | 26.4 | 29.0 | 26.2 | 25.8 | 26.9 | ||
Return on average allocated tangible equity | 14.8% | 17.9% | 6.3% | 9.5% | 9.6% | 12.5% | 3.0% | 9.1% |
Consumer, Cards and Payments | ||||||||||
Q221 | Q121 | Q420 | Q320 | Q220 | Q120 | Q419 | Q319 | |||
Return on average allocated tangible equity | £m | £m | £m | £m | £m | £m | £m | £m | ||
Attributable profit/(loss) | 218 | 168 | 28 | 155 | (226) | (291) | 204 | 190 | ||
£bn | £bn | £bn | £bn | £bn | £bn | £bn | £bn | |||
Average allocated equity | 4.6 | 4.6 | 4.8 | 4.8 | 5.1 | 5.7 | 6.0 | 6.4 | ||
Average goodwill and intangibles | (0.6) | (0.5) | (0.6) | (0.6) | (0.6) | (0.7) | (0.9) | (1.1) | ||
Average allocated tangible equity | 4.0 | 4.1 | 4.2 | 4.2 | 4.5 | 5.0 | 5.1 | 5.3 | ||
Return on average allocated tangible equity | 21.8% | 16.5% | 2.7% | 14.7% | (20.2)% | (23.5)% | 15.9% | 14.2% |
Tangible net asset value per share | As at 30.06.21 | As at 31.12.20 | As at 30.06.20 |
£m | £m | £m | |
Total equity excluding non-controlling interests | 67,052 | 65,797 | 68,304 |
Other equity instruments | (11,167) | (11,172) | (10,871) |
Goodwill and intangibles | (8,196) | (7,948) | (8,163) |
Tangible shareholders' equity attributable to ordinary shareholders of the parent | 47,689 | 46,677 | 49,270 |
m | m | m | |
Shares in issue | 16,998 | 17,359 | 17,345 |
p | p | p | |
Tangible net asset value per share | 281 | 269 | 284 |
Results timetable1 | Date | |||||
Ex-dividend date | 12 August 2021 | |||||
Dividend record date | 13 August 2021 | |||||
Cut off time of 5:00pm (UK time) for the receipt of Dividend Re-investment Programme (DRIP) Application Form | 27 August 2021 | |||||
Dividend payment date | 17 September 2021 | |||||
Q321 Results Announcement | 21 October 2021 | |||||
For qualifying US and Canadian resident ADR holders, the half year dividend of 2.0p per ordinary share becomes 8.0p per ADS (representing four shares). The ex-dividend, dividend record and dividend payment dates for ADR holders are as shown above. | ||||||
% Change3 | ||||||
Exchange rates2 | 30.06.21 | 31.12.20 | 30.06.20 | 31.12.20 | 30.06.20 | |
Period end - USD/GBP | 1.38 | 1.37 | 1.24 | 1% | 11% | |
6 month average - USD/GBP | 1.39 | 1.31 | 1.26 | 6% | 10% | |
3 month average - USD/GBP | 1.40 | 1.32 | 1.24 | 6% | 13% | |
Period end - EUR/GBP | 1.17 | 1.12 | 1.10 | 4% | 6% | |
6 month average - EUR/GBP | 1.15 | 1.11 | 1.14 | 4% | 1% | |
3 month average - EUR/GBP | 1.16 | 1.11 | 1.13 | 5% | 3% | |
Share price data | ||||||
Barclays PLC (p) | 171.12 | 146.68 | 114.42 | |||
Barclays PLC number of shares (m) | 16,998 | 17,359 | 17,345 | |||
For further information please contact | ||||||
Investor relations | Media relations | |||||
Chris Manners +44 (0) 20 7773 2136 | Tom Hoskin +44 (0) 20 7116 4755 | |||||
More information on Barclays can be found on our website: home.barclays. | ||||||
Registered office | ||||||
1 Churchill Place, London, E14 5HP, United Kingdom. Tel: +44 (0) 20 7116 1000. Company number: 48839. | ||||||
Registrar | ||||||
Equiniti, Aspect House, Spencer Road, Lancing, West Sussex, BN99 6DA, United Kingdom. | ||||||
Tel: 0371 384 20554 from the UK or +44 121 415 7004 from overseas. | ||||||
American Depositary Receipts (ADRs) | ||||||
Shareowner Services | ||||||
StockTransfer@equiniti.com | ||||||
Tel: +1 800 990 1135 (toll free in US and Canada), +1 651 453 2128 (outside the US and Canada) | ||||||
Shareowner Services, PO Box 64504, St Paul, MN 55164-0504, USA. | ||||||
Delivery of ADR certificates and overnight mail | ||||||
Shareowner Services, 1110 Centre Pointe Curve, Suite 101, Mendota Heights, MN 55120, USA. | ||||||
Qualifying US and Canadian resident ADR holders should contact Shareowner Services for further details regarding the DRIP |
1 | Note that these dates are provisional and subject to change. |
2 | The average rates shown above are derived from daily spot rates during the year. |
3 | The change is the impact to GBP reported information. |
4 | Lines open 8.30am to 5.30pm (UK time), Monday to Friday, excluding UK public holidays in England and Wales. |