v3.25.4
Impairment
 12 Months Ended
Dec. 31, 2025
Disclosure of impairment loss and reversal of impairment loss [abstract]  
Impairment Note 14: Impairment
Year ended 31 December 2025
Stage 1
£m
Stage 2
£m
Stage 3
£m
POCI
£m
Total
£m
Loans and advances to banks
–
–
–
–
–
Loans and advances to customers
14
(82)
999
(64)
867
Debt securities
–
–
–
–
–
Financial assets at amortised cost
14
(82)
999
(64)
867
Financial assets at fair value through other comprehensive income
(1)
–
–
–
(1)
Other assets
2
–
–
–
2
Loan commitments and financial guarantees
(30)
(43)
–
–
(73)
Total impairment (credit) charge
(15)
(125)
999
(64)
795
Note 14: Impairment continued
Year ended 31 December 2024
Stage 1
£m
Stage 2
£m
Stage 3
£m
POCI
£m
Total
£m
Loans and advances to banks
(7)
–
–
–
(7)
Loans and advances to customers
(147)
(289)
949
(6)
507
Debt securities
(4)
(2)
–
–
(6)
Financial assets at amortised cost
(158)
(291)
949
(6)
494
Financial assets at fair value through other comprehensive income
(3)
–
–
–
(3)
Other assets
(9)
–
–
–
(9)
Loan commitments and financial guarantees
(18)
(33)
–
–
(51)
Total impairment (credit) charge
(188)
(324)
949
(6)
431
Year ended 31 December 2023
Stage 1
£m
Stage 2
£m
Stage 3
£m
POCI
£m
Total
£m
Loans and advances to banks
(5)
(2)
–
–
(7)
Loans and advances to customers
261
(281)
414
(73)
321
Debt securities
–
1
–
–
1
Financial assets at amortised cost
256
(282)
414
(73)
315
Financial assets at fair value through other comprehensive income
(2)
–
–
–
(2)
Other assets
–
–
(10)
–
(10)
Loan commitments and financial guarantees
27
(25)
(2)
–
–
Total impairment charge (credit)
281
(307)
402
(73)
303
The impairment charge includes a £137 million charge (2024: £24 million charge; 2023: £73 million charge) in respect of residual value
impairment and voluntary terminations within the Group’s UK Motor Finance business.