XML 315 R15.htm IDEA: XBRL DOCUMENT
v3.22.4

Segmental analysis | 12 Months Ended
--- | ---
Dec. 31, 2022
Segmental analysis |
Segmental analysis | 4 Segmental analysis NatWest Group analyses its performance between the different operating segments of the Group as required by IFRS 8, Operating segments. The presentation is consistent with internal financial reporting and how senior management assesses the performance of each operating segment. Changes in reportable segments: Two changes to reportable segments have been made: On 27 January 2022, NatWest Group announced that a new business segment, Commercial & Institutional, would be created, bringing together the Commercial, NatWest Markets and RBSI businesses to form a single business segment, with common management and objectives, to best support our customers across the full non-personal customer lifecycle. Following good progress with respect to the phased withdrawal from the Republic of Ireland, announced in February 2021,Ulster Bank RoI continuing operations are now included in Central items & other. Comparatives have been re-presented. The re-presentation of operating segments does not change the consolidated financial results of NatWest Group. Reportable operating segments: The business is organised into the following reportable segments: Retail Banking, Private Banking, Commercial & Institutional, and Central items & other. Retail Banking serves personal customers in the UK and includes Ulster Bank customers in Northern Ireland. Private Banking serves UK connected high-net-worth individuals and their business interests. Commercial & Institutional brings together our Commercial Banking, NatWest Markets and RBS International businesses, to support our customers across the full non-personal customer lifecycle, both domestically and internationally. Our Markets offering helps our customers manage financial risks across different geographies, while our International offering provides full-service banking operations in the Channel Islands, Isle of Man, Gibraltar and Luxembourg. Central items & other includes corporate functions, such as NatWest Group Treasury, finance, risk management, compliance, legal, communications and human resources. Central functions manages NatWest Group capital resources and NatWest Group-wide regulatory projects and provides services to the reportable segments. Balances in relation to litigation issues and the international private banking business are included in Central items in the relevant periods. Ulster Bank RoI is no longer an operating segment and its continuing operations now form part of Central items & other. Allocation of central balance sheet items NatWest Group allocates all central costs relating to Services and Functions to the business using appropriate drivers; these are reported as indirect costs in the segmental income statements. Assets and risk-weighted assets held centrally, mainly relating to NatWest Group Treasury, are allocated to the business using appropriate drivers. ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Central | ​ | ​
​ | ​ | Retail | ​ | Private | ​ | Commercial & | ​ | items | ​ | ​
​ |  | Banking |  | Banking |  | Institutional |  | & other |  | Total
2022 |  | £m |  | £m |  | £m |  | £m |  | £m
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Net interest income |  | 5,224 |  | 777 |  | 4,171 |  | (330) |  | 9,842
Net fees and commissions |  | 422 |  | 250 |  | 1,580 |  | 40 |  | 2,292
Other non-interest income |  | — |  | 29 |  | 662 |  | 331 |  | 1,022
Total income |  | 5,646 |  | 1,056 |  | 6,413 |  | 41 |  | 13,156
Depreciation and amortisation |  | — |  | — |  | (161) |  | (672) |  | (833)
Other operating expenses |  | (2,593) |  | (622) |  | (3,583) |  | (56) |  | (6,854)
Impairment (losses)/releases |  | (229) |  | 2 |  | (122) |  | 12 |  | (337)
Operating profit/(loss) |  | 2,824 |  | 436 |  | 2,547 |  | (675) |  | 5,132
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2021(1) |  | ​ |  | ​ |  | ​ |  | ​ |  | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Net interest income |  | 4,074 |  | 480 |  | 2,974 |  | 7 |  | 7,535
Net fees and commissions |  | 377 |  | 258 |  | 1,440 |  | 45 |  | 2,120
Other non-interest income |  | (6) |  | 78 |  | 424 |  | 278 |  | 774
Total income |  | 4,445 |  | 816 |  | 4,838 |  | 330 |  | 10,429
Depreciation and amortisation |  | (85) |  | — |  | (173) |  | (665) |  | (923)
Other operating expenses |  | (2,428) |  | (520) |  | (3,584) |  | (303) |  | (6,835)
Impairment releases/(losses) |  | 36 |  | 54 |  | 1,160 |  | (77) |  | 1,173
Operating profit/(loss) |  | 1,968 |  | 350 |  | 2,241 |  | (715) |  | 3,844
​ 4 Segmental analysis continued ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Central | ​ | ​
​ | ​ | Retail | ​ | Private | ​ | Commercial & | ​ | items | ​ | ​
​ | ​ | Banking | ​ | Banking | ​ | Institutional | ​ | & other | ​ | Total
2020 (1) |  | £m |  | £m |  | £m |  | £m |  | £m
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Net interest income | ​ | 3,868 |  | 489 |  | 3,054 |  | (22) |  | 7,389
Net fees and commissions |  | 379 |  | 257 |  | 1,303 |  | 43 |  | 1,982
Other non-interest income |  | (66) |  | 17 |  | 1,221 |  | (140) |  | 1,032
Total income |  | 4,181 |  | 763 |  | 5,578 |  | (119) |  | 10,403
Depreciation and amortisation |  | — |  | (8) |  | (182) |  | (723) |  | (913)
Operating expenses |  | (2,540) |  | (447) |  | (3,849) |  | (109) |  | (6,945)
Impairment losses |  | (792) |  | (100) |  | (2,074) |  | (132) |  | (3,098)
Operating profit/(loss) |  | 849 |  | 208 |  | (527) |  | (1,083) |  | (553)
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total revenue (2) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Central | ​ | ​
​ | ​ | Retail | ​ | Private | ​ | Commercial & | ​ | items & | ​ | ​
​ |  | Banking |  | Banking |  | Institutional |  | other |  | Total
Year ended 31 December 2022 |  | £m |  | £m |  | £m |  | £m |  | £m
Continuing operations |  | ​ |  | ​ |  | ​ |  | ​ |  | ​
External |  | 5,773 |  | 874 |  | 6,747 |  | 3,180 |  | 16,574
Inter-segmental |  | — |  | 389 |  | 116 |  | (505) |  | —
Total |  | 5,773 |  | 1,263 |  | 6,863 |  | 2,675 |  | 16,574
​ |  | ​ |  | ​ |  | ​ |  | ​ |  | ​
Year ended 31 December 2021 (1) |  | ​ |  | ​ |  | ​ |  | ​ |  | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
External | ​ | 5,419 | ​ | 792 | ​ | 5,168 | ​ | 1,323 | ​ | 12,702
Inter-segmental |  | 14 |  | 127 |  | 123 |  | (264) |  | —
Total |  | 5,433 |  | 919 |  | 5,291 |  | 1,059 |  | 12,702
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Year ended 31 December 2020 (1) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
External | ​ | 5,386 | ​ | 702 | ​ | 6,223 | ​ | 1,136 | ​ | 13,447
Inter-segmental | ​ | 39 | ​ | 163 | ​ | 80 | ​ | (282) | ​ | —
Total | ​ | 5,425 | ​ | 865 | ​ | 6,303 | ​ | 854 | ​ | 13,447
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total income | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | Central | ​ | ​
​ | ​ | Retail | ​ | Private | ​ | Commercial & | ​ | items & | ​ | ​
​ |  | Banking |  | Banking |  | Institutional |  | other |  | Total
Year ended 31 December 2022 |  | £m |  | £m |  | £m |  | £m |  | £m
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
External |  | 5,646 | ​ | 780 |  | 6,777 |  | (47) | ​ | 13,156
Inter-segmental |  | — | ​ | 276 |  | (364) |  | 88 | ​ | —
Total |  | 5,646 | ​ | 1,056 |  | 6,413 |  | 41 | ​ | 13,156
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Year ended 31 December 2021 (1) |  | ​ | ​ | ​ |  | ​ |  | ​ | ​ | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
External |  | 4,433 | ​ | 801 |  | 5,041 |  | 154 | ​ | 10,429
Inter-segmental | ​ | 12 | ​ | 15 | ​ | (203) | ​ | 176 | ​ | —
Total | ​ | 4,445 | ​ | 816 | ​ | 4,838 | ​ | 330 | ​ | 10,429
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Year ended 31 December 2020 (1) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
External | ​ | 4,157 | ​ | 700 | ​ | 5,960 | ​ | (414) | ​ | 10,403
Inter-segmental | ​ | 24 | ​ | 63 | ​ | (382) | ​ | 295 | ​ | —
Total | ​ | 4,181 | ​ | 763 | ​ | 5,578 | ​ | (119) | ​ | 10,403
​ ​ 4 Segmental analysis continued ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | ​ |  | ​ |  | ​ |  | Central |  | ​
​ | ​ | Retail | ​ | Private | ​ | Commercial & | ​ | items | ​ | ​
Analysis of net fees and commissions |  | Banking | ​ | Banking | ​ | Institutional | ​ | & other | ​ | Total
2022 |  | £m | ​ | £m | ​ | £m | ​ | £m | ​ | £m
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Fees and commissions receivable |  |  |  | ​ | ​ |  |  |  |  |
- Payment services |  | 314 |  | 25 | ​ | 642 |  | 43 |  | 1,024
- Credit and debit card fees |  | 401 |  | 15 | ​ | 227 |  | 18 |  | 661
- Lending and financing | ​ | 17 | ​ | 8 | ​ | 673 | ​ | 3 | ​ | 701
- Brokerage |  | 43 |  | 6 | ​ | 44 |  | — |  | 93
- Investment management, trustee and fiduciary services (3) | ​ | 4 |  | 219 | ​ | 46 |  | — |  | 269
- Underwriting fees |  | — |  | — | ​ | 120 |  | — |  | 120
- Other |  | — |  | 3 | ​ | 88 |  | (44) |  | 47
Total |  | 779 |  | 276 | ​ | 1,840 |  | 20 |  | 2,915
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Fees and commissions payable |  | (357) |  | (26) | ​ | (260) |  | 20 |  | (623)
Net fees and commissions |  | 422 |  | 250 | ​ | 1,580 |  | 40 |  | 2,292
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2021 (1) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Fees and commissions receivable |  |  |  | ​ | ​ |  |  |  |  |
- Payment services |  | 306 |  | 35 | ​ | 577 |  | 49 |  | 967
- Credit and debit card fees |  | 344 |  | 10 | ​ | 149 |  | 19 |  | 522
- Lending and financing |  | 13 |  | 10 | ​ | 643 |  | 4 |  | 670
- Brokerage |  | 48 | ​ | 6 | ​ | 42 |  | — |  | 96
- Investment management, trustee and fiduciary services (3) |  | 3 |  | 230 | ​ | 45 |  | 2 |  | 280
- Underwriting fees |  | — | ​ | — | ​ | 127 | ​ | — | ​ | 127
- Other |  | — |  | 35 | ​ | 109 |  | (112) |  | 32
Total |  | 714 |  | 326 | ​ | 1,692 |  | (38) |  | 2,694
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Fees and commissions payable |  | (337) |  | (68) | ​ | (252) |  | 83 |  | (574)
Net fees and commissions |  | 377 |  | 258 | ​ | 1,440 |  | 45 |  | 2,120
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2020 (1) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Fees and commissions receivable |  |  |  | ​ | ​ |  |  |  |  |
- Payment services |  | 264 |  | 28 | ​ | 543 |  | 41 |  | 876
- Credit and debit card fees |  | 299 |  | 9 | ​ | 131 |  | 21 |  | 460
- Lending and financing |  | 42 |  | 7 | ​ | 625 |  | 2 |  | 676
- Brokerage |  | 54 |  | 6 | ​ | 94 |  | 1 |  | 155
- Investment management, trustee and fiduciary services |  | 3 |  | 225 | ​ | 41 |  | 2 |  | 271
- Underwriting fees |  | — |  | — | ​ | 183 |  | — |  | 183
- Other |  | 1 |  | 26 | ​ | 89 |  | (33) |  | 83
Total |  | 663 |  | 301 | ​ | 1,706 |  | 34 |  | 2,704
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Fees and commissions payable |  | (284) |  | (44) | ​ | (403) |  | 9 |  | (722)
Net fees and commissions |  | 379 |  | 257 | ​ | 1,303 |  | 43 |  | 1,982
​ ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2022 | ​ | 2021 | ​ | 2020
​ | ​ | Assets | ​ | Liabilities | ​ | Assets | ​ | Liabilities | ​ | Assets | ​ | Liabilities
​ |  | £m |  | £m |  | £m |  | £m |  | £m |  | £m
Retail Banking |  | 226,375 | ​ | 192,282 | ​ | 209,973 |  | 192,715 | ​ | 197,618 | ​ | 178,617
Private Banking |  | 29,867 | ​ | 41,491 | ​ | 29,854 |  | 39,388 | ​ | 26,206 | ​ | 32,457
Commercial & Institutional |  | 404,817 | ​ | 383,768 | ​ | 425,718 |  | 411,757 | ​ | 491,544 | ​ | 460,338
Central items & other |  | 58,994 | ​ | 66,016 | ​ | 116,447 |  | 96,329 | ​ | 84,123 | ​ | 84,255
Total |  | 720,053 | ​ | 683,557 | ​ | 781,992 |  | 740,189 | ​ | 799,491 | ​ | 755,667
​ 4 Segmental analysis continued Segmental analysis of goodwill ​ The total carrying value of goodwill at 31 December 2022 and 2021 was £5,522 million comprising Retail Banking £2,607 million; Commercial & Institutional £2,906 million; and Private Banking £9 million. See note 17 for further details. Geographical segments ​ The geographical analysis in the tables below has been compiled on the basis of location of office where the transactions are recorded. ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | UK |  | USA |  | Europe |  | RoW |  | Total
2022 |  | £m |  | £m |  | £m |  | £m |  | £m
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total revenue |  | 15,795 |  | 117 |  | 558 |  | 104 |  | 16,574
Interest receivable |  | 12,242 |  | 37 |  | 344 |  | 14 |  | 12,637
Interest payable | ​ | (2,567) | ​ | (2) | ​ | (221) | ​ | (5) | ​ | (2,795)
Net fees and commissions |  | 1,983 |  | 44 |  | 207 |  | 58 |  | 2,292
Trading income |  | 1,208 |  | 1 |  | (104) |  | 28 |  | 1,133
Other operating income |  | (140) |  | 14 |  | 12 |  | 3 |  | (111)
Total income (4) |  | 12,726 |  | 94 |  | 238 |  | 98 |  | 13,156
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Operating profit/(loss) before tax |  | 5,716 |  | (46) |  | (620) |  | 82 |  | 5,132
Total assets |  | 589,758 |  | 25,979 |  | 101,164 |  | 3,152 |  | 720,053
Total liabilities |  | 579,476 |  | 27,039 |  | 75,092 |  | 1,950 |  | 683,557
Contingent liabilities and commitments |  | 117,915 |  | — |  | 8,649 |  | 17 |  | 126,581
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2021 (1) | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total revenue |  | 12,100 |  | 87 |  | 482 |  | 33 |  | 12,702
Interest receivable |  | 8,949 |  | 20 |  | 257 |  | 8 |  | 9,234
Interest payable | ​ | (1,483) | ​ | (2) | ​ | (211) | ​ | (3) | ​ | (1,699)
Net fees and commissions |  | 1,820 |  | 27 |  | 231 |  | 42 |  | 2,120
Trading income |  | 247 |  | 53 |  | (1) |  | 24 |  | 323
Other operating income |  | 387 |  | 2 |  | 62 |  | — |  | 451
Total income (4) |  | 9,920 |  | 100 |  | 338 |  | 71 |  | 10,429
Operating profit/(loss) before tax |  | 4,143 |  | 48 |  | (387) |  | 40 |  | 3,844
Total assets |  | 693,221 |  | 21,776 |  | 64,415 |  | 2,580 |  | 781,992
Total liabilities |  | 676,684 |  | 23,286 |  | 38,835 |  | 1,384 |  | 740,189
Contingent liabilities and commitments |  | 117,225 |  | 1 |  | 8,114 |  | 27 |  | 125,367
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2020 (1) |  |  |  |  |  |  |  |  |  |
Continuing operations | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total revenue |  | 12,511 |  | 211 |  | 551 |  | 174 |  | 13,447
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Interest receivable |  | 9,479 |  | — |  | 210 |  | 22 |  | 9,711
Interest payable | ​ | (2,163) | ​ | — | ​ | (158) | ​ | (1) | ​ | (2,322)
Net fees and commissions |  | 1,637 |  | 33 |  | 215 |  | 97 |  | 1,982
Trading income |  | 911 |  | 170 |  | 33 |  | 11 |  | 1,125
Other operating income |  | (117) |  | (22) |  | 42 |  | 4 |  | (93)
Total income (4) |  | 9,747 |  | 181 |  | 342 |  | 133 |  | 10,403
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Operating (loss)/profit before tax |  | (193) |  | (85) |  | (363) |  | 88 |  | (553)
Total assets |  | 704,725 |  | 25,439 |  | 66,884 |  | 2,443 |  | 799,491
Total liabilities |  | 686,500 |  | 26,932 |  | 41,018 |  | 1,217 |  | 755,667
Contingent liabilities and commitments |  | 118,654 |  | — |  | 10,068 |  | 10 |  | 128,732
​
(1) | Comparative results have been re-presented from those previously published to reclassify certain operations as discontinued operations as described in Note 8.
(2) | Total revenue comprises interest receivable, fees and commissions receivable, income from trading activities and other operating income.
(3) | Comparisons with prior periods are impacted by the transfer of the Private Client Advice business to Private Banking from 1 January 2021.
(4) | Total income excludes internal service fee income which has been calculated on a cost plus mark-up basis.

X
- Definition The entire disclosure for operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IFRS -Number 8 -IssueDate 2022-03-24 -Section Disclosure -URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=8&code=ifrs-tx-2022-en-r&doctype=Standard&dita_xref=IFRS08_g20-24__IFRS08_g20-24_TI -URIDate 2022-03-24 + Details
Name: | ifrs-full_DisclosureOfEntitysReportableSegmentsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | ifrs-full_DisclosureOfOperatingSegmentsAbstract
Namespace Prefix: | ifrs-full_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration