XML 346 R51.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Pensions (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2023
Pensions |
Schedule of major classes of plan assets as a percentage of total plan assets | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2023 | ​ | 2022
​ |  | Quoted |  | Unquoted |  | Total |  | Quoted |  | Unquoted |  | Total
​ | ​ | % | ​ | % | ​ | % | ​ | % | ​ | % | ​ | %
Equities | ​ | 0.1 | ​ | 6.7 | ​ | 6.8 | ​ | 0.1 | ​ | 7.7 | ​ | 7.8
Index linked bonds |  | 36.7 | ​ | — | ​ | 36.7 | ​ | 37.7 | ​ | — | ​ | 37.7
Government bonds |  | 13.3 | ​ | — | ​ | 13.3 | ​ | 18.4 | ​ | — | ​ | 18.4
Corporate and other bonds |  | 19.2 | ​ | 6.4 | ​ | 25.6 | ​ | 15.3 | ​ | 6.7 | ​ | 22.0
Real estate |  | — |  | 4.5 | ​ | 4.5 | ​ | — |  | 6.0 | ​ | 6.0
Derivatives |  | — |  | 2.7 | ​ | 2.7 | ​ | — |  | 8.2 | ​ | 8.2
Cash and other assets | ​ | — | ​ | 10.4 | ​ | 10.4 | ​ | — | ​ | (0.1) | ​ | (0.1)
​ |  | 69.3 | ​ | 30.7 | ​ | 100.0 | ​ | 71.5 | ​ | 28.5 | ​ | 100.0
Summary of derivative instruments | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2023 | ​ | 2022
​ | ​ | Notional | ​ | Fair value | ​ | Notional | ​ | Fair value
​ |  | amounts |  | Assets |  | Liabilities |  | amounts |  | Assets |  | Liabilities
​ | ​ | £bn | ​ | £m | ​ | £m | ​ | £bn | ​ | £m | ​ | £m
Inflation rate swaps |  | 29 |  | 1,929 |  | 940 |  | 21 |  | 1,873 |  | 990
Interest rate swaps |  | 52 |  | 3,121 |  | 3,394 |  | 103 |  | 14,317 |  | 12,546
Currency forwards |  | 13 |  | 235 |  | 34 |  | 12 |  | 310 |  | 113
Equity and bond call options |  | — |  | — |  | — |  | — |  | — |  | —
Equity and bond put options |  | — |  | — |  | 4 |  | — |  | 2 |  | 70
Other |  | 1 |  | 8 |  | 20 |  | 1 |  | 14 |  | 19
​
Schedule of changes in value of net pension liability | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Main section | ​ | All schemes
​ |  |  |  | Present value |  | Asset |  | Net |  |  |  | ​ |  | Asset |  | ​
​ | ​ | Fair | ​ | of defined | ​ | ceiling/ | ​ | pension | ​ | Fair | ​ | Present value | ​ | ceiling/ | ​ | Net
​ | ​ | value of | ​ | benefit | ​ | minimum | ​ | assets/ | ​ | value of | ​ | of defined | ​ | minimum | ​ | pension
​ | ​ | plan assets | ​ | obligation (1) | ​ | funding | ​ | liability | ​ | plan assets | ​ | benefit (2) | ​ | funding | ​ | assets (2)
Changes in value of net pension assets/(liability) | ​ | £m | ​ | £m | ​ | £m | ​ | £m | ​ | £m | ​ | £m | ​ | £m | ​ | £m
At 1 January 2022 |  | 52,021 |  | (42,020) |  | (10,001) |  | — |  | 57,787 |  | (46,808) |  | (10,491) |  | 488
Currency translation and other adjustments | ​ | — | ​ | — | ​ | — | ​ | — | ​ | 78 | ​ | (65) | ​ | (11) | ​ | 2
Income statement - operating expenses | ​ | 932 | ​ | (892) | ​ | (180) | ​ | (140) | ​ | 1,041 | ​ | (1,055) | ​ | (191) | ​ | (205)
Other comprehensive income | ​ | (18,180) | ​ | 16,714 | ​ | 898 | ​ | (568) | ​ | (20,326) | ​ | 18,570 | ​ | 916 | ​ | (840)
Contributions by employer | ​ | 708 | ​ | — | ​ | — | ​ | 708 | ​ | 775 | ​ | — | ​ | — | ​ | 775
Contributions by plan participants and other scheme members | ​ | 7 | ​ | (7) | ​ | — | ​ | — | ​ | 13 | ​ | (13) | ​ | — | ​ | —
Assets/liabilities extinguished upon settlement | ​ | — | ​ | — | ​ | — | ​ | — | ​ | (113) | ​ | 113 | ​ | — | ​ | —
Benefits paid | ​ | (1,472) | ​ | 1,472 | ​ | — | ​ | — | ​ | (1,657) | ​ | 1,657 | ​ | — | ​ | —
At 1 January 2023 | ​ | 34,016 | ​ | (24,733) | ​ | (9,283) | ​ | — | ​ | 37,598 | ​ | (27,601) | ​ | (9,777) | ​ | 220
Currency translation and other adjustments | ​ | — | ​ | — | ​ | — | ​ | — | ​ | (21) | ​ | 21 | ​ | 4 | ​ | 4
Income statement - operating expenses | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Net interest expense | ​ | 1,677 | ​ | (1,208) | ​ | (464) | ​ | 5 | ​ | 1,841 | ​ | (1,341) | ​ | (485) | ​ | 15
Current service cost | ​ | — | ​ | (76) | ​ | — | ​ | (76) | ​ | — | ​ | (105) | ​ | — | ​ | (105)
Past service cost | ​ | — | ​ | (2) | ​ | — | ​ | (2) | ​ | — | ​ | (8) | ​ | — | ​ | (8)
Loss on curtailments and settlements | ​ | — | ​ | — | ​ | — | ​ | — | ​ | — | ​ | (24) | ​ | — | ​ | (24)
​ | ​ | 1,677 | ​ | (1,286) | ​ | (464) | ​ | (73) | ​ | 1,841 | ​ | (1,478) | ​ | (485) | ​ | (122)
Other comprehensive income | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Return on plan assets excluding recognised interest income | ​ | (1,042) | ​ | — | ​ | — | ​ | (1,042) | ​ | (1,182) | ​ | — | ​ | — | ​ | (1,182)
Experience gains and losses | ​ | — | ​ | (1,531) | ​ | — | ​ | (1,531) | ​ | — | ​ | (1,599) | ​ | — | ​ | (1,599)
Effect of changes in actuarial financial assumptions | ​ | — | ​ | (585) | ​ | — | ​ | (585) | ​ | — | ​ | (776) | ​ | — | ​ | (776)
Effect of changes in actuarial demographic assumptions | ​ | — | ​ | 379 | ​ | — | ​ | 379 | ​ | — | ​ | 436 | ​ | — | ​ | 436
Asset ceiling adjustments | ​ | — | ​ | — | ​ | 2,643 | ​ | 2,643 | ​ | — | ​ | — | ​ | 2,841 | ​ | 2,841
​ | ​ | (1,042) | ​ | (1,737) | ​ | 2,643 | ​ | (136) | ​ | (1,182) | ​ | (1,939) | ​ | 2,841 | ​ | (280)
Contributions by employer (3) | ​ | 209 | ​ | — | ​ | — | ​ | 209 | ​ | 278 | ​ | 2 | ​ | — | ​ | 280
Contributions by plan participants and other scheme members | ​ | 7 | ​ | (7) | ​ | — | ​ | — | ​ | 12 | ​ | (12) | ​ | — | ​ | —
Assets/liabilities extinguished upon settlement | ​ | — | ​ | — | ​ | — | ​ | — | ​ | (50) | ​ | 50 | ​ | — | ​ | —
Benefits paid | ​ | (1,229) | ​ | 1,229 | ​ | — | ​ | — | ​ | (1,365) | ​ | 1,365 | ​ | — | ​ | —
At 31 December 2023 (4) | ​ | 33,638 | ​ | (26,534) | ​ | (7,104) | ​ | — | ​ | 37,111 | ​ | (29,592) | ​ | (7,417) | ​ | 102
​
(1) | Defined benefit obligations are subject to annual valuation by independent actuaries.
(2) | NatWest Group recognises the net pension scheme surplus or deficit as a net asset or liability. In doing so, the funded status is adjusted to reflect any schemes with a surplus that NatWest Group may not be able to access, as well as any minimum funding requirement to pay in additional contributions. This is most relevant to the Main section, where the surplus is not recognised as the trustees may have control over the use of the surplus. Other NatWest Group schemes that this applies to include the Ulster Bank Pension Scheme (NI) and the NatWest Markets section.
(3) | NatWest Group expects to make contributions to the Main section of £207 million in 2024.
(4) | On 16 June 2023 the High Court issued a ruling in respect of Virgin Media v NTL Pension Trustees II Limited (and others), which has the potential to affect the defined benefit obligation (DBO) values. Reasonable due diligence has concluded that DBO values above require no adjustment for the impact of this case.
​
​ | ​ | ​ | ​ | ​
​ | ​ | All schemes
​ |  | 2023 |  | 2022
Amounts recognised on the balance sheet | ​ | £m | ​ | £m
Fund asset at fair value |  | 37,111 |  | 37,598
Present value of fund liabilities |  | (29,592) |  | (27,601)
Funded status |  | 7,519 |  | 9,997
Assets ceiling/minimum funding |  | (7,417) |  | (9,777)
​ |  | 102 |  | 220
​
​ | ​ | ​ | ​ | ​
​ |  | 2023 |  | 2022
Net pension asset/(liability) comprises | ​ | £m | ​ | £m
Net assets of schemes in surplus (refer to Note 18) |  | 201 |  | 318
Net liabilities of schemes in deficit (refer to Note 21) |  | (99) |  | (98)
​ |  | 102 |  | 220
Schedule of principal actuarial assumptions | ​
​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Principal IAS 19 actuarial assumptions (1) | ​
​ |  | 2023 |  | 2022 |
​ | ​ | % | ​ | % | ​
Discount rate |  | 4.8 |  | 5.0 |
Inflation assumption (RPI) |  | 3.1 |  | 3.2 |
Rate of increase in salaries |  | 1.8 |  | 1.8 |
Rate of increase in deferred pensions |  | 3.2 |  | 3.2 |
Rate of increase in pensions in payment |  | 2.4 |  | 2.5 |
Lump sum conversion rate at retirement |  | 18 |  | 18 |
Longevity at age 60: |  | years |  | years |
Current pensioners | ​ | ​ | ​ | ​ | ​
Males |  | 26.8 |  | 27.3 |
Females |  | 28.6 |  | 29.1 |
Future pensioners, currently aged 40 |  | ​ |  | ​ |
Males |  | 27.7 |  | 28.3 |
Females |  | 29.5 |  | 30.1 |
​
(1) | The above financial assumptions are long-term assumptions set with reference to the period over which the obligations are expected to be settled.
Schedule of sensitivities of the present value of defined benefit obligations | ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | (Decrease)/ | ​ | (Decrease)/ | ​ | Increase in
​ | ​ | increase in | ​ | increase in | ​ | net pension
​ | ​ | value of | ​ | value of | ​ | (obligations)/
​ |  | assets |  | liabilities |  | assets
2023 | ​ | £m | ​ | £m | ​ | £m
0.5% increase in interest rates/discount rate | ​ | (2,292) | ​ | (1,746) | ​ | (546)
0.25% increase in inflation | ​ | 811 | ​ | 578 | ​ | 233
0.5% increase in credit spreads | ​ | (12) | ​ | (1,746) | ​ | 1,734
Longevity increase of one year | ​ | — | ​ | 902 | ​ | (902)
0.25% additional rate of increase in pensions in payment | ​ | — | ​ | 706 | ​ | (706)
Increase in equity values of 10% (1) | ​ | 229 | ​ | — | ​ | 229
​ | ​ | ​ | ​ | ​ | ​ | ​
2022 | ​ | ​ | ​ | ​ | ​ | ​
0.5% increase in interest rates/discount rate |  | (2,689) | ​ | (1,766) | ​ | (923)
0.25% increase in inflation |  | 963 | ​ | 632 | ​ | 331
0.5% increase in credit spreads |  | (6) | ​ | (1,766) | ​ | 1,760
Longevity increase of one year | ​ | — | ​ | 767 | ​ | (767)
0.25% additional rate of increase in pensions in payment | ​ | — | ​ | 679 | ​ | (679)
Increase in equity values of 10% (1) |  | 267 | ​ | — | ​ | 267
​
(1) | Includes both quoted and private equity.
​ The table below shows the combined change in defined benefit obligation from larger movements in these assumptions, assuming no changes in other assumptions. ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | ​ |  | Change in life expectancies
​ | ​ | ​ |  | -2 years |  | -1 year |  | No change |  | + 1 year |  | + 2 years
2023 |  |  |  | £bn |  | £bn |  | £bn |  | £bn |  | £bn
Change in credit spreads |  | +50 bps |  | (3.5) |  | (2.6) |  | (1.7) |  | (0.9) |  | (0.1)
​ |  | No change |  | (1.9) |  | (0.9) |  | — |  | 0.9 |  | 1.8
​ |  | -50 bps |  | — |  | 1.0 |  | 2.0 |  | 2.9 |  | 3.9
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
2022 | ​ | ​ |  | ​ |  | ​ |  | ​ |  | ​ |  | ​
Change in credit spreads |  | +50 bps |  | (3.7) |  | (2.8) |  | (1.8) |  | (0.8) |  | 0.2
​ |  | No change |  | (2.1) |  | (1.1) |  | — |  | 1.1 |  | 2.1
​ |  | -50 bps |  | (0.3) |  | 0.9 |  | 2.0 |  | 3.2 |  | 4.3
Schedule of different classes of scheme members proportions | ​
​ | ​ | ​ | ​ | ​
​ |  | 2023 |  | 2022
Membership category | ​ | % | ​ | %
Active members |  | 7.5 |  | 8.4
Deferred members |  | 41.9 |  | 41.0
Pensioners and dependants |  | 50.6 |  | 50.6
​ |  | 100.0 |  | 100.0
Schedule of history of defined benefit schemes | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Main section | ​ | All schemes |
​ |  | 2023 |  | 2022 |  | 2021 |  | 2020 |  | 2019 |  | 2023 |  | 2022 |  | 2021 |  | 2020 |  | 2019 |
History of defined benefit schemes | ​ | £m |  | £m |  | £m |  | £m |  | £m |  | £m |  | £m |  | £m |  | £m |  | £m |
Fair value of plan assets | ​ | 33,638 |  | 34,016 |  | 52,021 |  | 51,323 |  | 46,555 |  | 37,111 |  | 37,598 |  | 57,787 |  | 57,249 |  | 51,925 |
Present value of plan obligations | ​ | (26,534) |  | (24,733) |  | (42,020) |  | (43,870) |  | (39,669) |  | (29,592) |  | (27,601) |  | (46,808) |  | (48,864) |  | (44,115) |
Net surplus | ​ | 7,104 |  | 9,283 |  | 10,001 |  | 7,453 |  | 6,886 |  | 7,519 |  | 9,997 |  | 10,979 |  | 8,385 |  | 7,810 |
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Experience (losses)/gains on plan liabilities | ​ | (1,531) |  | (2,053) |  | 241 |  | 427 |  | 275 |  | (1,599) |  | (2,137) |  | 237 |  | 455 |  | 279 |
Experience (losses)/gains on plan assets | ​ | (1,042) |  | (18,180) |  | 841 |  | 5,486 |  | 3,021 |  | (1,182) |  | (20,326) |  | 872 |  | 6,027 |  | 3,556 |
Actual return on plan assets | ​ | 634 |  | (17,248) |  | 1,554 |  | 6,422 |  | 4,266 |  | 659 |  | (19,285) |  | 1,667 |  | 7,064 |  | 4,930 |
Actual return on plan assets | ​ | 1.9 | % | (33.2) | % | 3.0 | % | 13.8 | % | 9.7 | % | 1.8 | % | (33.4) | % | 2.9 | % | 13.6 | % | 10.1 | %
​

X
- Definition The disclosure of additional information about defined benefit plans necessary to meet the objectives of IAS 19. [Refer: Defined benefit plans [member]] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 19 -IssueDate 2023-01-01 -Paragraph 137 -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=19&code=ifrs-tx-2023-en-r&anchor=para_137&doctype=Standard -URIDate 2023-03-23 + Details
Name: | ifrs-full_DisclosureOfAdditionalInformationAboutDefinedBenefitPlansExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

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

X
- Definition The disclosure of the fair value of defined benefit plan assets. [Refer: Plan assets [member]; Defined benefit plans [member]] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 19 -IssueDate 2023-01-01 -Paragraph 142 -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=19&code=ifrs-tx-2023-en-r&anchor=para_142&doctype=Standard -URIDate 2023-03-23 + Details
Name: | ifrs-full_DisclosureOfFairValueOfPlanAssetsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of a net defined benefit liability (asset). [Refer: Net defined benefit liability (asset)] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 19 -IssueDate 2023-01-01 -Paragraph 140 -Subparagraph a -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=19&code=ifrs-tx-2023-en-r&anchor=para_140_a&doctype=Standard -URIDate 2023-03-23 + Details
Name: | ifrs-full_DisclosureOfNetDefinedBenefitLiabilityAssetExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of a sensitivity analysis for significant actuarial assumptions used to determine the present value of a defined benefit obligation. [Refer: Actuarial assumptions [member]; Defined benefit obligation, at present value] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 19 -IssueDate 2023-01-01 -Paragraph 145 -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=19&code=ifrs-tx-2023-en-r&anchor=para_145&doctype=Standard -URIDate 2023-03-23 + Details
Name: | ifrs-full_DisclosureOfSensitivityAnalysisForActuarialAssumptionsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure for derivative financial instruments. + References No definition available. + Details
Name: | nwg_DisclosureOfDerivativeFinancialInstrumentsRelatingToPensionTableTextBlock
Namespace Prefix: | nwg_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of different classes of scheme members proportions. + References No definition available. + Details
Name: | nwg_DisclosureOfDifferentClassesOfSchemeMembersProportionsTableTextBlock
Namespace Prefix: | nwg_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of Disclosure of principal actuarial assumptions. + References No definition available. + Details
Name: | nwg_DisclosureOfPrincipalActuarialAssumptionsTableTextBlock
Namespace Prefix: | nwg_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration