SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
|
BARCLAYS
PLC
|
|
(Registrant)
|
Date:
October 21, 2021
|
By: /s/
Garth Wright
--------------------------------
|
|
Garth
Wright
|
|
Assistant
Secretary
|
Barclays PLC
Q3 2021 Results Announcement
30 September
2021
Performance Highlights
The Group’s diversified business model delivered a record
Group profit before tax of £6.9bn (Q320 YTD: £2.4bn), a
return on tangible equity (RoTE) of 14.9% (Q320 YTD: 3.6%) and
earnings per share (EPS) of 30.8p (Q320 YTD: 7.6p)
James E Staley, Chief Executive Officer, commented
“On top of a good first half, a strong third quarter
performance means Barclays has delivered its highest Q3 YTD pre-tax
profit on record in 2021, demonstrating the benefits of our
diversified business model. We continue to support our customers
and clients through the COVID-19 pandemic, have achieved a
double-digit RoTE in every quarter year to date, and expect to
deliver a full year RoTE above 10%. While the CIB performance
continues to be an area of strength for the Group, we are also
seeing evidence of a consumer recovery and the early signs of a
more favourable rate environment. Against that backdrop, we are
focused on balancing cost efficiencies with further investment into
high-returning growth opportunities. Our CET1 ratio of 15.4% means
we are also in a strong position to balance this growth with a key
priority of returning excess capital to
shareholders.”
|
Key financial metrics:
|
Income
|
Cost: income ratio
|
Profit before tax
|
RoTE
|
EPS
|
CET1ratio
|
Q321 YTD
|
£16.8bn
|
64%
|
£6.9bn
|
14.9%
|
30.8p
|
15.4%
|
Q321
|
£5.5bn
|
64%
|
£2.0bn
|
11.9%
|
8.5p
|
Performance highlights:
●
|
Strong Corporate and Investment Bank (CIB) performance:
Investment Banking fees and Equities income had their best Q3 YTD
on a comparable basis1 driving a CIB RoTE
of 16.4% (Q320 YTD:10.5%)
|
●
|
Ongoing consumer recovery and well positioned for a rising rate
environment: continue to experience strong UK mortgage and
deposit volumes. Although yet to translate into meaningful
unsecured balance growth, positive trends in UK and US consumer
spending and in payments volumes have been observed following
easing of lockdown restrictions
|
●
|
Investing for growth: reinvesting efficiency savings to
drive income growth. Excluding structural cost actions and
performance costs, Group total operating expenses were
flat
|
●
|
Net credit impairment release: £0.6bn Q321 YTD release
driven by an improved macroeconomic outlook and benign credit
performance
|
●
|
Strong capital: Common equity tier 1 (CET1) ratio of 15.4%,
above the target range of 13-14%
|
Summary outlook:
●
|
Returns: expect to deliver a RoTE above 10% in
2021
|
●
|
Impairment: the impairment run rate is expected to remain
below historical levels in coming quarters
|
●
|
Costs: excluding structural cost actions and performance
costs, FY21 costs are expected to be c.£12bn2. The Group is
evaluating planned structural cost actions for Q421
|
●
|
Capital: the CET1 ratio is expected to remain above the
target range of 13-14% at 31 December 2021
|
●
|
Capital returns: maintaining a progressive ordinary dividend
policy and additional cash returns, including share buybacks, as
appropriate
|
1
|
Period covering Q114 – Q321. 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 Group results
for the nine months ended
|
|
|
30.09.21
|
30.09.20
|
|
|
£m
|
£m
|
% Change
|
Net interest income
|
5,843
|
6,278
|
(7)
|
Net fee, commission and other income
|
10,937
|
10,547
|
4
|
Total income
|
16,780
|
16,825
|
—
|
Credit impairment releases/(charges)
|
622
|
(4,346)
|
|
Net operating income
|
17,402
|
12,479
|
39
|
Operating expenses
|
(10,578)
|
(9,954)
|
(6)
|
Litigation and conduct
|
(131)
|
(106)
|
(24)
|
Total operating expenses
|
(10,709)
|
(10,060)
|
(6)
|
Other net income
|
247
|
—
|
|
Profit before tax
|
6,940
|
2,419
|
|
Tax charge
|
(1,076)
|
(441)
|
|
Profit after tax
|
5,864
|
1,978
|
|
Non-controlling interests
|
(20)
|
(41)
|
51
|
Other equity instrument holders
|
(586)
|
(631)
|
7
|
Attributable profit
|
5,258
|
1,306
|
|
|
|
|
|
Performance measures
|
|
|
|
Return on average tangible shareholders' equity
|
14.9%
|
3.6%
|
|
Average tangible shareholders' equity (£bn)
|
47.1
|
48.5
|
|
Cost: income ratio
|
64%
|
60%
|
|
Loan loss rate (bps)
|
—
|
164
|
|
Basic earnings per share
|
30.8p
|
7.6p
|
|
Basic weighted average number of shares (m)
|
17,062
|
17,298
|
(1)
|
Period end number of shares (m)
|
16,851
|
17,353
|
(3)
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Balance sheet and capital management1
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
353.0
|
342.6
|
344.4
|
Loans and advances at amortised cost impairment coverage
ratio
|
1.7%
|
2.4%
|
2.5%
|
Deposits at amortised cost
|
510.2
|
481.0
|
494.6
|
Tangible net asset value per share
|
287p
|
269p
|
275p
|
Common equity tier 1 ratio
|
15.4%
|
15.1%
|
14.6%
|
Common equity tier 1 capital
|
47.3
|
46.3
|
45.5
|
Risk weighted assets
|
307.5
|
306.2
|
310.7
|
Average UK leverage ratio
|
4.9%
|
5.0%
|
5.1%
|
UK leverage ratio
|
5.1%
|
5.3%
|
5.2%
|
|
|
|
|
Funding and liquidity
|
|
|
|
Group liquidity pool (£bn)
|
293
|
266
|
327
|
Liquidity coverage ratio
|
161%
|
162%
|
181%
|
Loan: deposit ratio
|
69%
|
71%
|
70%
|
1
|
Refer to pages 27 to 33 for further information on how capital,
Risk Weighted Assets (RWAs) and leverage are
calculated.
|
Group Finance Director’s Review
Group performance1
●
|
The
Group’s diversified business model enabled Barclays to
deliver a record profit before tax of £6,940m (Q320 YTD:
£2,419m), RoTE of 14.9% (Q320 YTD: 3.6%) and EPS of 30.8p
(Q320 YTD: 7.6p)
|
●
|
Total
income was stable at £16,780m (Q320 YTD: £16,825m).
Barclays UK income increased 2%. Barclays International income
decreased 2%, with CIB income down 1% and Consumer, Cards and
Payments (CC&P) income down 6%. Excluding the impact of the 9%
depreciation of average USD against GBP, total income was up,
reflecting the Group’s diversified income
streams
|
●
|
Credit impairment net release of £622m (Q320 YTD: £4,346m
charge). 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
£0.5bn, reflecting reduced unsecured lending balances and low
delinquency. Management judgements have been maintained in the
quarter in respect of customers and clients considered to be
potentially more vulnerable as government and other support schemes
have started to reduce. The reduction in unsecured lending balances
and growth in secured balances have contributed to a decrease in
the Group’s loan coverage ratio to 1.7% (December 2020:
2.4%). Loan coverage ratios in unsecured and wholesale loan
portfolios remained elevated compared to pre-COVID-19 pandemic
levels
|
●
|
Total
operating expenses increased 6% to £10,709m, due to structural
cost actions of £392m primarily relating to the real estate
review in Q221, higher performance costs that reflect improved
returns, and continued investment and business growth, partially
offset by the benefit from the depreciation of average USD against
GBP and efficiency savings. This resulted in a cost: income ratio
of 64% (Q320 YTD: 60%)
|
●
|
The
effective tax rate was 15.5% (Q320 YTD: 18.2%). This reflects a
£402m tax benefit recognised for the re-measurement of the
Group’s UK deferred tax assets (DTAs) as a result of the UK
corporation tax rate increase from 19% to 25% effective from 1
April 2023. The UK Government is reviewing the additional 8%
surcharge tax that applies to banks’ profits and if the
conclusion of that review is that the surcharge is reduced then the
Group’s UK DTAs would be re-measured again and decreased, the
exact timing of an enactment of a reduction in the surcharge is
uncertain but would be expected to occur in H122
|
●
|
Attributable
profit was £5,258m (Q320 YTD: £1,306m)
|
●
|
Following
the completion of the £700m share buyback announced with FY20
results and the ongoing £500m share buyback announced with
H121 results, the period end number of shares was 16,851m (December
2020: 17,359m)
|
●
|
Total
assets increased to £1,407bn (December 2020: £1,350bn)
primarily due to a £37bn increase in cash at central banks, a
£29bn increase in financial assets at fair value due to an
increase in secured lending, a £18bn increase in cash
collateral and settlement balances and a £17bn increase in
trading portfolio assets due to increased activity, partially
offset by a £44bn decrease in derivative assets driven by an
increase in major interest rate curves
|
●
|
Deposits
at amortised cost increased £29bn to £510bn further
strengthening the Group’s liquidity position and contributing
to a loan: deposit ratio of 69% (December 2020: 71%)
|
●
|
Tangible
net asset value (TNAV) per share increased to 287p (December 2020:
269p) primarily reflecting 30.8p of EPS, partially offset by
negative reserve movements
|
Barclays UK
●
|
Profit
before tax increased to £1,957m (Q320 YTD: £264m). RoTE
was 17.9% (Q320 YTD: 2.2%) reflecting materially lower credit
impairment charges
|
●
|
Total
income increased 2% to £4,837m. Net interest income reduced 1%
to £3,889m with a net interest margin (NIM) of 2.53% (Q320
YTD: 2.63%) as strong customer retention and improved margins in
mortgages was more than offset by lower unsecured lending balances.
Net fee, commission and other income increased 18% to £948m,
returning back towards pre-COVID-19 pandemic levels
|
|
–
|
Personal
Banking income increased 10% to £2,900m, 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 23% to £898m as reduced borrowing
and repayments by customers resulted in a lower level of interest
earning lending (IEL) balances
|
|
–
|
Business
Banking income increased 12% to £1,039m 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
|
1
|
The 9% depreciation of average USD against GBP adversely impacted
income and profits and positively impacted total operating
expenses.
|
Barclays UK (continued)
●
|
Credit
impairment net release of £306m (Q320 YTD: £1,297m
charge) driven by an improved macroeconomic outlook and lower
unsecured lending balances due to customer repayments and lower
delinquencies. As at 30 September 2021, 30 and 90 day arrears rates
in UK cards were 1.0% (Q320: 1.7%) and 0.3% (Q320: 0.8%)
respectively
|
●
|
Total
operating expenses were stable at £3,187m (Q320 YTD:
£3,172m) reflecting investment spend and higher operational
and customer service costs primarily driven by increased volumes,
offset by efficiency savings
|
●
|
Loans
and advances to customers at amortised cost increased 2% to
£208.6bn predominantly from £9.2bn of mortgage growth
following a strong flow of new applications as well as strong
customer retention, offset by a £2.3bn decrease in the
Education, Social Housing and Local Authority (ESHLA) portfolio
carrying value as interest rate yield curves have steepened,
£1.7bn lower unsecured lending balances and £0.5bn lower
Business Banking balances as repayment of government scheme lending
takes effect
|
●
|
Customer
deposits at amortised cost increased 7% to £256.8bn reflecting
an increase of £13.6bn and £2.8bn in Personal Banking and
Business Banking respectively, further strengthening the liquidity
position and contributing
to a loan: deposit ratio of 86% (December 2020:
89%)
|
●
|
RWAs
decreased to £73.2bn (December 2020: £73.7bn) as growth
in mortgages was more than offset by a reduction in unsecured
lending and the ESHLA portfolio
|
Barclays International
●
|
Profit
before tax increased 97% to £5,500m with a RoTE of 16.4% (Q320
YTD: 7.5%), reflecting a RoTE of 16.4% (Q320 YTD: 10.5%) in CIB and
16.2% (Q320 YTD: (10.6)%) in CC&P
|
|
●
|
The 9%
depreciation of average USD against GBP adversely impacted income
and profits and positively impacted total operating
expenses
|
|
●
|
Total
income decreased to £12,155m (Q320 YTD:
£12,435m)
|
|
|
–
|
CIB
income decreased 1% to £9,702m
|
|
|
|
–
|
Global
Markets income decreased 14% to £5,368m as a strong
performance in Equities, representing the best Q3 YTD on a
comparable basis1, was more than
offset by FICC. Equities income increased 28% to £2,466m
driven by strong client activity in derivatives and increased
client balances in financing. FICC income decreased 33% to
£2,902m due to tighter spreads and the non-recurrence of prior
year client activity levels
|
|
|
–
|
Investment
Banking fees income, representing the best Q3 YTD on a comparable
basis1,
increased 37% to £2,703m driven by a strong performance in
Advisory and Equity capital markets reflecting an increase in the
fee pool and an increased market share2
|
|
|
–
|
Within
Corporate, Transaction banking income increased 1% to £1,219m
as deposit balance growth was partially offset by margin
compression. Corporate lending income increased 2% to £412m
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 6% to £2,453m
|
|
|
|
–
|
International
Cards and Consumer Bank income decreased 17% to £1,540m
reflecting lower cards balances
|
|
|
–
|
Private
Bank income increased 9% to £581m, reflecting client balance
growth and a gain on a property sale
|
|
|
–
|
Unified
Payments income increased 60% to £332m driven by the
non-recurrence of a c.£100m valuation loss on Barclays’
preference shares in Visa Inc. in Q220 and merchant acquiring
turnover growth following easing of lockdown
restrictions
|
●
|
Credit
impairment net release of £311m (Q320 YTD: £2,989m
charge) was driven by an improved macroeconomic
outlook
|
|
|
–
|
CIB
credit impairment net release of £400m (Q320 YTD: £1,507m
charge) was supported by limited single name wholesale loan
charges
|
|
|
–
|
CC&P
credit impairment charges of £89m (Q320 YTD: £1,482m) was
partially driven by lower delinquencies and higher customer
repayments. As at 30 September 2021, 30 and 90 day arrears in US
cards were 1.5% (Q320: 2.3%) and 0.7% (Q320: 1.1%)
respectively
|
|
●
|
Total
operating expenses increased 5% to £7,003m
|
|
|
–
|
CIB
total operating expenses increased 3% to £5,260m due to higher
performance costs that reflect an improvement in
returns
|
|
|
–
|
CC&P
total operating expenses increased 10% to £1,743m driven by
the impact of higher investment spend, including marketing, and
customer remediation costs related to a legacy
portfolio
|
|
1
|
Period covering Q114 – Q321. Pre 2014 financials were not
restated following re-segmentation in Q116.
|
2
|
Data source: Dealogic for the period covering 1 January to 30
September 2021.
|
Barclays International (continued)
●
|
Total
assets increased to £1,076bn (December 2020: £1,042bn)
primarily due to a £30bn increase in financial assets at fair
value, due to an increase in secured lending, a £18bn increase
in cash collateral and settlements balances, and a £17bn
increase in trading portfolio assets, due to increased activity,
partially offset by a £45bn decrease in derivative assets
driven by an increase in major interest rate curves
|
●
|
RWAs
increased to £222.7bn (December 2020:
£222.3bn)
|
Head Office
●
|
Loss
before tax was £517m (Q320 YTD:
£639m)
|
●
|
Total
income was an expense of £212m (Q320 YTD: £331m), which
primarily reflected hedge accounting, funding costs on legacy
capital instruments and treasury items, partially offset by
mark-to-market gains on legacy investments and the recognition of
dividends on Barclays’ stake in Absa Group
Limited
|
●
|
Total
operating expenses were £519m (Q320 YTD: £217m), which
included a charge of £266m relating to structural cost actions
taken as part of the real estate review in Q221, as well as costs
associated with the discontinued use of software
assets
|
●
|
Other
net income was £209m (Q320 YTD: £31m expense) driven by a
fair value gain in Barclays’ associate investment holding in
the Business Growth Fund
|
Group capital and leverage
●
|
The
CET1 ratio increased to 15.4% (December 2020: 15.1%)
|
|
–
|
CET1
capital increased by £1.0bn to £47.3bn (December 2020:
£46.3bn) as profit before tax of £6.9bn was partially
offset by the removal of temporary regulatory supporting measures
introduced in 2020, share buybacks, dividends and equity coupons
paid and foreseen and pensions deficit contribution payments. The
£1.1bn release of non-defaulted credit impairment was more
than offset by the related 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
increased £1.3bn to £307.5bn (December 2020:
£306.2bn) primarily due to a growth in mortgages within
Barclays UK, partially offset by lower consumer
lending
|
●
|
The
average UK leverage ratio decreased to 4.9% (December 2020: 5.0%).
The average leverage exposure increased by £52.9bn to
£1,199.8bn (December 2020: £1,146.9bn) largely driven by
an increase in securities financing transactions (SFTs), potential
future exposure (PFE) on derivatives and trading portfolio assets
(TPAs)
|
Group funding and liquidity
●
|
The
liquidity pool was £293bn (December 2020: £266bn) and the
liquidity coverage ratio remained significantly above the 100%
regulatory requirement at 161% (December 2020: 162%), equivalent to
a surplus of £107bn (December 2020: £99bn). The increase
in the pool is driven by deposit growth, 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
£165.2bn (December 2020: £145.0bn). The Group issued
£8.2bn 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
|
Capital distributions
●
|
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. Barclays pays a progressive ordinary dividend,
taking into account these objectives and the earnings outlook of
the Group. The Board will also continue to supplement the ordinary
dividends with additional cash returns, including share buybacks,
to shareholders as appropriate
|
●
|
Barclays
paid a half year dividend of 2.0p per share on 17 September 2021
and initiated the share buyback of up to £500m announced with
H121 results in August 2021, of which £279m was completed as
at 30 September 2021. This was in addition to the £700m share
buyback completed in April 2021
|
●
|
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
|
Group outlook and targets
●
|
Returns: expect to deliver a RoTE above 10% in
2021
|
●
|
Impairment: the 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 c.£12bn1. The Group will
continue to drive efficiencies in its franchises and is evaluating
planned structural cost actions in Q421, including in Barclays
UK
|
●
|
Capital: the CET1 ratio is expected to remain above the
target range of 13-14% at 31 December 2021, given the uncertain
economic environment and known capital headwinds in 2022 of
c.75bps, which includes a c.40bps impact from the reversal of
software amortisation benefit from 1 January 2022
|
●
|
Capital returns: capital returns policy incorporates a
progressive ordinary dividend, supplemented by additional cash
returns, including share buybacks as 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
|
Barclays
continues 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%
|
Tushar Morzaria, Group Finance Director
1
|
Group cost outlook is based on an average rate of 1.38 (USD/GBP) in
H221 and subject to foreign currency movements
|
Results by Business
Barclays UK
|
Nine months ended
|
Nine months ended
|
|
|
30.09.21
|
30.09.20
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
3,889
|
3,917
|
(1)
|
Net fee, commission and other income
|
948
|
804
|
18
|
Total income
|
4,837
|
4,721
|
2
|
Credit impairment releases/(charges)
|
306
|
(1,297)
|
|
Net operating income
|
5,143
|
3,424
|
50
|
Operating expenses
|
(3,155)
|
(3,136)
|
(1)
|
Litigation and conduct
|
(32)
|
(36)
|
11
|
Total operating expenses
|
(3,187)
|
(3,172)
|
—
|
Other net income
|
1
|
12
|
(92)
|
Profit before tax
|
1,957
|
264
|
|
Attributable profit
|
1,336
|
165
|
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances to customers at amortised cost
|
208.6
|
205.4
|
203.9
|
Total assets
|
312.1
|
289.1
|
294.5
|
Customer deposits at amortised cost
|
256.8
|
240.5
|
232.0
|
Loan: deposit ratio
|
86%
|
89%
|
91%
|
Risk weighted assets
|
73.2
|
73.7
|
76.2
|
Period end allocated tangible equity
|
10.0
|
9.7
|
10.0
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.21
|
30.09.20
|
|
Return on average allocated tangible equity
|
17.9%
|
2.2%
|
|
Average allocated tangible equity (£bn)
|
9.9
|
10.2
|
|
Cost: income ratio
|
66%
|
67%
|
|
Loan loss rate (bps)
|
—
|
81
|
|
Net interest margin
|
2.53%
|
2.63%
|
|
Analysis of Barclays UK
|
Nine months ended
|
Nine months ended
|
|
30.09.21
|
30.09.20
|
|
Analysis of total income
|
£m
|
£m
|
% Change
|
Personal Banking
|
2,900
|
2,627
|
10
|
Barclaycard Consumer UK
|
898
|
1,165
|
(23)
|
Business Banking
|
1,039
|
929
|
12
|
Total income
|
4,837
|
4,721
|
2
|
|
|
|
|
Analysis of credit impairment releases/(charges)
|
|
|
|
Personal Banking
|
20
|
(312)
|
|
Barclaycard Consumer UK
|
290
|
(803)
|
|
Business Banking
|
(4)
|
(182)
|
|
Total credit impairment releases/(charges)
|
306
|
(1,297)
|
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Analysis of loans and advances to customers at amortised
cost
|
£bn
|
£bn
|
£bn
|
Personal Banking
|
164.6
|
157.3
|
155.7
|
Barclaycard Consumer UK
|
8.6
|
9.9
|
10.7
|
Business Banking
|
35.4
|
38.2
|
37.5
|
Total loans and advances to customers at amortised
cost
|
208.6
|
205.4
|
203.9
|
|
|
|
|
Analysis of customer deposits at amortised cost
|
|
|
|
Personal Banking
|
193.3
|
179.7
|
173.2
|
Barclaycard Consumer UK
|
—
|
0.1
|
0.1
|
Business Banking
|
63.5
|
60.7
|
58.7
|
Total customer deposits at amortised cost
|
256.8
|
240.5
|
232.0
|
Barclays International
|
Nine months ended
|
Nine months ended
|
|
|
30.09.21
|
30.09.20
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
2,308
|
2,668
|
(13)
|
Net trading income
|
4,904
|
5,548
|
(12)
|
Net fee, commission and other income
|
4,943
|
4,219
|
17
|
Total income
|
12,155
|
12,435
|
(2)
|
Credit impairment releases/(charges)
|
311
|
(2,989)
|
|
Net operating income
|
12,466
|
9,446
|
32
|
Operating expenses
|
(6,916)
|
(6,632)
|
(4)
|
Litigation and conduct
|
(87)
|
(39)
|
|
Total operating expenses
|
(7,003)
|
(6,671)
|
(5)
|
Other net income
|
37
|
19
|
95
|
Profit before tax
|
5,500
|
2,794
|
97
|
Attributable profit
|
3,961
|
1,779
|
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
125.9
|
122.7
|
128.0
|
Trading portfolio assets
|
144.8
|
127.7
|
122.3
|
Derivative financial instrument assets
|
257.0
|
301.8
|
295.9
|
Financial assets at fair value through the income
statement
|
200.5
|
170.7
|
178.2
|
Cash collateral and settlement balances
|
115.9
|
97.5
|
121.8
|
Other assets
|
231.8
|
221.4
|
261.7
|
Total assets
|
1,075.9
|
1,041.8
|
1,107.9
|
Deposits at amortised cost
|
253.3
|
240.5
|
262.4
|
Derivative financial instrument liabilities
|
252.3
|
300.4
|
293.3
|
Loan: deposit ratio
|
50%
|
51%
|
49%
|
Risk weighted assets
|
222.7
|
222.3
|
224.7
|
Period end allocated tangible equity
|
31.8
|
30.2
|
30.5
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.21
|
30.09.20
|
|
Return on average allocated tangible equity
|
16.4%
|
7.5%
|
|
Average allocated tangible equity (£bn)
|
32.2
|
31.8
|
|
Cost: income ratio
|
58%
|
54%
|
|
Loan loss rate (bps)
|
—
|
300
|
|
Net interest margin
|
3.96%
|
3.71%
|
|
Analysis of Barclays International
|
|
|
|
Corporate and Investment Bank
|
Nine months ended
|
Nine months ended
|
|
|
30.09.21
|
30.09.20
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
919
|
974
|
(6)
|
Net trading income
|
4,878
|
5,578
|
(13)
|
Net fee, commission and other income
|
3,905
|
3,286
|
19
|
Total income
|
9,702
|
9,838
|
(1)
|
Credit impairment releases/(charges)
|
400
|
(1,507)
|
|
Net operating income
|
10,102
|
8,331
|
21
|
Operating expenses
|
(5,256)
|
(5,086)
|
(3)
|
Litigation and conduct
|
(4)
|
(6)
|
33
|
Total operating expenses
|
(5,260)
|
(5,092)
|
(3)
|
Other net income
|
1
|
4
|
(75)
|
Profit before tax
|
4,843
|
3,243
|
49
|
Attributable profit
|
3,469
|
2,141
|
62
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
93.8
|
92.4
|
96.8
|
Trading portfolio assets
|
144.7
|
127.5
|
122.2
|
Derivative financial instrument assets
|
256.9
|
301.7
|
295.9
|
Financial assets at fair value through the income
statement
|
200.4
|
170.4
|
177.9
|
Cash collateral and settlement balances
|
115.1
|
96.7
|
121.0
|
Other assets
|
200.4
|
194.9
|
228.9
|
Total assets
|
1,011.3
|
983.6
|
1,042.7
|
Deposits at amortised cost
|
185.8
|
175.2
|
195.6
|
Derivative financial instrument liabilities
|
252.2
|
300.3
|
293.2
|
Risk weighted assets
|
192.5
|
192.2
|
193.3
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.21
|
30.09.20
|
|
Return on average allocated tangible equity
|
16.4%
|
10.5%
|
|
Average allocated tangible equity (£bn)
|
28.2
|
27.2
|
|
Cost: income ratio
|
54%
|
52%
|
|
|
|
|
|
|
|
|
|
Analysis of total income
|
£m
|
£m
|
% Change
|
FICC
|
2,902
|
4,326
|
(33)
|
Equities
|
2,466
|
1,929
|
28
|
Global Markets
|
5,368
|
6,255
|
(14)
|
Advisory
|
634
|
329
|
93
|
Equity capital markets
|
655
|
369
|
78
|
Debt capital markets
|
1,414
|
1,279
|
11
|
Investment Banking fees
|
2,703
|
1,977
|
37
|
Corporate lending
|
412
|
404
|
2
|
Transaction banking
|
1,219
|
1,202
|
1
|
Corporate
|
1,631
|
1,606
|
2
|
Total income
|
9,702
|
9,838
|
(1)
|
Analysis of Barclays International
|
|
|
|
Consumer, Cards and Payments
|
Nine months ended
|
Nine months ended
|
|
|
30.09.21
|
30.09.20
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
1,390
|
1,694
|
(18)
|
Net fee, commission, trading and other income
|
1,063
|
903
|
18
|
Total income
|
2,453
|
2,597
|
(6)
|
Credit impairment charges
|
(89)
|
(1,482)
|
94
|
Net operating income
|
2,364
|
1,115
|
|
Operating expenses
|
(1,660)
|
(1,546)
|
(7)
|
Litigation and conduct
|
(83)
|
(33)
|
|
Total operating expenses
|
(1,743)
|
(1,579)
|
(10)
|
Other net income
|
36
|
15
|
|
Profit/(loss) before tax
|
657
|
(449)
|
|
Attributable profit/(loss)
|
492
|
(362)
|
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
32.1
|
30.3
|
31.2
|
Total assets
|
64.6
|
58.2
|
65.2
|
Deposits at amortised cost
|
67.5
|
65.3
|
66.8
|
Risk weighted assets
|
30.2
|
30.1
|
31.4
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.21
|
30.09.20
|
|
Return on average allocated tangible equity
|
16.2%
|
(10.6)%
|
|
Average allocated tangible equity (£bn)
|
4.0
|
4.6
|
|
Cost: income ratio
|
71%
|
61%
|
|
Loan loss rate (bps)
|
35
|
577
|
|
|
|
|
|
Analysis of total income
|
£m
|
£m
|
% Change
|
International Cards and Consumer Bank
|
1,540
|
1,857
|
(17)
|
Private Bank
|
581
|
533
|
9
|
Unified Payments
|
332
|
207
|
60
|
Total income
|
2,453
|
2,597
|
(6)
|
Head Office
|
Nine months ended
|
Nine months ended
|
|
|
30.09.21
|
30.09.20
|
|
Income statement information
|
£m
|
£m
|
% Change
|
Net interest income
|
(354)
|
(307)
|
(15)
|
Net fee, commission and other income
|
142
|
(24)
|
|
Total income
|
(212)
|
(331)
|
36
|
Credit impairment releases/(charges)
|
5
|
(60)
|
|
Net operating income
|
(207)
|
(391)
|
47
|
Operating expenses
|
(507)
|
(186)
|
|
Litigation and conduct
|
(12)
|
(31)
|
61
|
Total operating expenses
|
(519)
|
(217)
|
|
Other net income/(expenses)
|
209
|
(31)
|
|
Loss before tax
|
(517)
|
(639)
|
19
|
Attributable loss
|
(39)
|
(638)
|
94
|
|
|
|
|
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
Total assets
|
18.5
|
18.6
|
19.3
|
Risk weighted assets
|
11.5
|
10.2
|
9.8
|
Period end allocated tangible equity
|
6.5
|
6.8
|
7.1
|
|
|
|
|
|
Nine months ended
|
Nine months ended
|
|
Performance measures
|
30.09.21
|
30.09.20
|
|
Average allocated tangible equity (£bn)
|
5.0
|
6.5
|
|
Quarterly Results Summary
Barclays Group
|
|
|
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
1,940
|
2,052
|
1,851
|
|
1,845
|
2,055
|
1,892
|
2,331
|
|
2,344
|
Net fee, commission and other income
|
3,525
|
3,363
|
4,049
|
|
3,096
|
3,149
|
3,446
|
3,952
|
|
2,957
|
Total income
|
5,465
|
5,415
|
5,900
|
|
4,941
|
5,204
|
5,338
|
6,283
|
|
5,301
|
Credit impairment (charges)/releases
|
(120)
|
797
|
(55)
|
|
(492)
|
(608)
|
(1,623)
|
(2,115)
|
|
(523)
|
Net operating income
|
5,345
|
6,212
|
5,845
|
|
4,449
|
4,596
|
3,715
|
4,168
|
|
4,778
|
Operating costs
|
(3,446)
|
(3,587)
|
(3,545)
|
|
(3,480)
|
(3,391)
|
(3,310)
|
(3,253)
|
|
(3,308)
|
UK bank levy
|
—
|
—
|
—
|
|
(299)
|
—
|
—
|
—
|
|
(226)
|
Litigation and conduct
|
(32)
|
(66)
|
(33)
|
|
(47)
|
(76)
|
(20)
|
(10)
|
|
(167)
|
Total operating expenses
|
(3,478)
|
(3,653)
|
(3,578)
|
|
(3,826)
|
(3,467)
|
(3,330)
|
(3,263)
|
|
(3,701)
|
Other net income/(expenses)
|
94
|
21
|
132
|
|
23
|
18
|
(26)
|
8
|
|
20
|
Profit before tax
|
1,961
|
2,580
|
2,399
|
|
646
|
1,147
|
359
|
913
|
|
1,097
|
Tax charge
|
(317)
|
(263)
|
(496)
|
|
(163)
|
(328)
|
(42)
|
(71)
|
|
(189)
|
Profit after tax
|
1,644
|
2,317
|
1,903
|
|
483
|
819
|
317
|
842
|
|
908
|
Non-controlling interests
|
(1)
|
(15)
|
(4)
|
|
(37)
|
(4)
|
(21)
|
(16)
|
|
(42)
|
Other equity instrument holders
|
(197)
|
(194)
|
(195)
|
|
(226)
|
(204)
|
(206)
|
(221)
|
|
(185)
|
Attributable profit
|
1,446
|
2,108
|
1,704
|
|
220
|
611
|
90
|
605
|
|
681
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
11.9%
|
18.1%
|
14.7%
|
|
1.8%
|
5.1%
|
0.7%
|
5.1%
|
|
5.9%
|
Average tangible shareholders' equity (£bn)
|
48.4
|
46.5
|
46.5
|
|
47.6
|
48.3
|
50.2
|
47.0
|
|
46.4
|
Cost: income ratio
|
64%
|
67%
|
61%
|
|
77%
|
67%
|
62%
|
52%
|
|
70%
|
Loan loss rate (bps)
|
13
|
—
|
6
|
|
56
|
69
|
179
|
223
|
|
60
|
Basic earnings per share
|
8.5p
|
12.3p
|
9.9p
|
|
1.3p
|
3.5p
|
0.5p
|
3.5p
|
|
3.9p
|
Basic weighted average number of shares (m)
|
17,062
|
17,140
|
17,293
|
|
17,300
|
17,298
|
17,294
|
17,278
|
|
17,200
|
Period end number of shares (m)
|
16,851
|
16,998
|
17,223
|
|
17,359
|
17,353
|
17,345
|
17,332
|
|
17,322
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet and capital management1
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
353.0
|
348.5
|
345.8
|
|
342.6
|
344.4
|
354.9
|
374.1
|
|
339.1
|
Loans and advances at amortised cost impairment coverage
ratio
|
1.7%
|
1.8%
|
2.2%
|
|
2.4%
|
2.5%
|
2.5%
|
2.1%
|
|
1.8%
|
Total assets
|
1,406.5
|
1,376.3
|
1,379.7
|
|
1,349.5
|
1,421.7
|
1,385.1
|
1,444.3
|
|
1,140.2
|
Deposits at amortised cost
|
510.2
|
500.9
|
498.8
|
|
481.0
|
494.6
|
466.9
|
470.7
|
|
415.8
|
Tangible net asset value per share
|
287p
|
281p
|
267p
|
|
269p
|
275p
|
284p
|
284p
|
|
262p
|
Common equity tier 1 ratio
|
15.4%
|
15.1%
|
14.6%
|
|
15.1%
|
14.6%
|
14.2%
|
13.1%
|
|
13.8%
|
Common equity tier 1 capital
|
47.3
|
46.2
|
45.9
|
|
46.3
|
45.5
|
45.4
|
42.5
|
|
40.8
|
Risk weighted assets
|
307.5
|
306.4
|
313.4
|
|
306.2
|
310.7
|
319.0
|
325.6
|
|
295.1
|
Average UK leverage ratio
|
4.9%
|
4.8%
|
4.9%
|
|
5.0%
|
5.1%
|
4.7%
|
4.5%
|
|
4.5%
|
Average UK leverage exposure
|
1,199.8
|
1,192.0
|
1,174.9
|
|
1,146.9
|
1,111.1
|
1,148.7
|
1,176.2
|
|
1,142.8
|
UK leverage ratio
|
5.1%
|
5.0%
|
5.0%
|
|
5.3%
|
5.2%
|
5.2%
|
4.5%
|
|
5.1%
|
UK leverage exposure
|
1,161.0
|
1,153.6
|
1,145.4
|
|
1,090.9
|
1,095.1
|
1,071.1
|
1,178.7
|
|
1,007.7
|
|
|
|
|
|
|
|
|
|
|
|
Funding and liquidity
|
|
|
|
|
|
|
|
|
|
|
Group liquidity pool (£bn)
|
293
|
291
|
290
|
|
266
|
327
|
298
|
237
|
|
211
|
Liquidity coverage ratio
|
161%
|
162%
|
161%
|
|
162%
|
181%
|
186%
|
155%
|
|
160%
|
Loan: deposit ratio
|
69%
|
70%
|
69%
|
|
71%
|
70%
|
76%
|
79%
|
|
82%
|
1
|
Refer to pages 27 to 33 for further information on how capital,
RWAs and leverage are calculated.
|
vQuarterly Results by Business
Barclays UK
|
|
|
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
1,303
|
1,305
|
1,281
|
|
1,317
|
1,280
|
1,225
|
1,412
|
|
1,478
|
Net fee, commission and other income
|
335
|
318
|
295
|
|
309
|
270
|
242
|
292
|
|
481
|
Total income
|
1,638
|
1,623
|
1,576
|
|
1,626
|
1,550
|
1,467
|
1,704
|
|
1,959
|
Credit impairment (charges)/releases
|
(137)
|
520
|
(77)
|
|
(170)
|
(233)
|
(583)
|
(481)
|
|
(190)
|
Net operating income
|
1,501
|
2,143
|
1,499
|
|
1,456
|
1,317
|
884
|
1,223
|
|
1,769
|
Operating costs
|
(1,041)
|
(1,078)
|
(1,036)
|
|
(1,134)
|
(1,095)
|
(1,018)
|
(1,023)
|
|
(1,023)
|
UK bank levy
|
—
|
—
|
—
|
|
(50)
|
—
|
—
|
—
|
|
(41)
|
Litigation and conduct
|
(10)
|
(19)
|
(3)
|
|
4
|
(25)
|
(6)
|
(5)
|
|
(58)
|
Total operating expenses
|
(1,051)
|
(1,097)
|
(1,039)
|
|
(1,180)
|
(1,120)
|
(1,024)
|
(1,028)
|
|
(1,122)
|
Other net income/(expenses)
|
1
|
—
|
—
|
|
6
|
(1)
|
13
|
—
|
|
—
|
Profit/(loss) before tax
|
451
|
1,046
|
460
|
|
282
|
196
|
(127)
|
195
|
|
647
|
Attributable profit/(loss)
|
317
|
721
|
298
|
|
160
|
113
|
(123)
|
175
|
|
438
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances to customers at amortised cost
|
208.6
|
207.8
|
205.7
|
|
205.4
|
203.9
|
202.0
|
195.7
|
|
193.7
|
Total assets
|
312.1
|
311.2
|
309.1
|
|
289.1
|
294.5
|
287.6
|
267.5
|
|
257.8
|
Customer deposits at amortised cost
|
256.8
|
255.5
|
247.5
|
|
240.5
|
232.0
|
225.7
|
207.5
|
|
205.5
|
Loan: deposit ratio
|
86%
|
87%
|
88%
|
|
89%
|
91%
|
92%
|
96%
|
|
96%
|
Risk weighted assets
|
73.2
|
72.2
|
72.7
|
|
73.7
|
76.2
|
77.9
|
77.7
|
|
74.9
|
Period end allocated tangible equity
|
10.0
|
9.9
|
10.0
|
|
9.7
|
10.0
|
10.3
|
10.3
|
|
10.3
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
12.7%
|
29.1%
|
12.0%
|
|
6.5%
|
4.5%
|
(4.8)%
|
6.9%
|
|
17.0%
|
Average allocated tangible equity (£bn)
|
10.0
|
9.9
|
9.9
|
|
9.8
|
10.1
|
10.3
|
10.1
|
|
10.3
|
Cost: income ratio
|
64%
|
68%
|
66%
|
|
73%
|
72%
|
70%
|
60%
|
|
57%
|
Loan loss rate (bps)
|
24
|
—
|
14
|
|
31
|
43
|
111
|
96
|
|
38
|
Net interest margin
|
2.49%
|
2.55%
|
2.54%
|
|
2.56%
|
2.51%
|
2.48%
|
2.91%
|
|
3.03%
|
Analysis of Barclays UK
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Analysis of total income
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Personal Banking
|
990
|
987
|
923
|
|
895
|
833
|
826
|
968
|
|
1,064
|
Barclaycard Consumer UK
|
293
|
290
|
315
|
|
354
|
362
|
367
|
436
|
|
533
|
Business Banking
|
355
|
346
|
338
|
|
377
|
355
|
274
|
300
|
|
362
|
Total income
|
1,638
|
1,623
|
1,576
|
|
1,626
|
1,550
|
1,467
|
1,704
|
|
1,959
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of credit impairment (charges)/releases
|
|
|
|
|
|
|
|
|
|
|
Personal Banking
|
(30)
|
72
|
(22)
|
|
(68)
|
(48)
|
(130)
|
(134)
|
|
(71)
|
Barclaycard Consumer UK
|
(108)
|
434
|
(36)
|
|
(78)
|
(106)
|
(396)
|
(301)
|
|
(108)
|
Business Banking
|
1
|
14
|
(19)
|
|
(24)
|
(79)
|
(57)
|
(46)
|
|
(11)
|
Total credit impairment (charges)/releases
|
(137)
|
520
|
(77)
|
|
(170)
|
(233)
|
(583)
|
(481)
|
|
(190)
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of loans and advances to customers at amortised
cost
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Personal Banking
|
164.6
|
162.4
|
160.4
|
|
157.3
|
155.7
|
154.9
|
153.4
|
|
151.9
|
Barclaycard Consumer UK
|
8.6
|
8.8
|
8.7
|
|
9.9
|
10.7
|
11.5
|
13.6
|
|
14.7
|
Business Banking
|
35.4
|
36.6
|
36.6
|
|
38.2
|
37.5
|
35.6
|
28.7
|
|
27.1
|
Total loans and advances to customers at amortised
cost
|
208.6
|
207.8
|
205.7
|
|
205.4
|
203.9
|
202.0
|
195.7
|
|
193.7
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of customer deposits at amortised cost
|
|
|
|
|
|
|
|
|
|
|
Personal Banking
|
193.3
|
191.0
|
186.0
|
|
179.7
|
173.2
|
169.6
|
161.4
|
|
159.2
|
Barclaycard Consumer UK
|
—
|
0.1
|
0.1
|
|
0.1
|
0.1
|
0.1
|
—
|
|
—
|
Business Banking
|
63.5
|
64.4
|
61.4
|
|
60.7
|
58.7
|
56.0
|
46.1
|
|
46.3
|
Total customer deposits at amortised cost
|
256.8
|
255.5
|
247.5
|
|
240.5
|
232.0
|
225.7
|
207.5
|
|
205.5
|
Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
749
|
811
|
748
|
|
614
|
823
|
847
|
998
|
|
965
|
Net trading income
|
1,515
|
1,455
|
1,934
|
|
1,372
|
1,528
|
1,660
|
2,360
|
|
929
|
Net fee, commission and other income
|
1,673
|
1,553
|
1,717
|
|
1,500
|
1,430
|
1,503
|
1,286
|
|
1,558
|
Total income
|
3,937
|
3,819
|
4,399
|
|
3,486
|
3,781
|
4,010
|
4,644
|
|
3,452
|
Credit impairment releases/(charges)
|
18
|
271
|
22
|
|
(291)
|
(370)
|
(1,010)
|
(1,609)
|
|
(329)
|
Net operating income
|
3,955
|
4,090
|
4,421
|
|
3,195
|
3,411
|
3,000
|
3,035
|
|
3,123
|
Operating costs
|
(2,310)
|
(2,168)
|
(2,438)
|
|
(2,133)
|
(2,227)
|
(2,186)
|
(2,219)
|
|
(2,240)
|
UK bank levy
|
—
|
—
|
—
|
|
(240)
|
—
|
—
|
—
|
|
(174)
|
Litigation and conduct
|
(3)
|
(63)
|
(21)
|
|
(9)
|
(28)
|
(11)
|
—
|
|
(86)
|
Total operating expenses
|
(2,313)
|
(2,231)
|
(2,459)
|
|
(2,382)
|
(2,255)
|
(2,197)
|
(2,219)
|
|
(2,500)
|
Other net income
|
15
|
13
|
9
|
|
9
|
9
|
4
|
6
|
|
17
|
Profit before tax
|
1,657
|
1,872
|
1,971
|
|
822
|
1,165
|
807
|
822
|
|
640
|
Attributable profit
|
1,263
|
1,267
|
1,431
|
|
441
|
782
|
468
|
529
|
|
397
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
125.9
|
121.9
|
123.5
|
|
122.7
|
128.0
|
138.1
|
167.0
|
|
132.8
|
Trading portfolio assets
|
144.8
|
147.1
|
131.1
|
|
127.7
|
122.3
|
109.5
|
101.6
|
|
113.3
|
Derivative financial instrument assets
|
257.0
|
255.4
|
269.4
|
|
301.8
|
295.9
|
306.8
|
341.5
|
|
228.9
|
Financial assets at fair value through the income
statement
|
200.5
|
190.4
|
197.5
|
|
170.7
|
178.2
|
154.3
|
188.4
|
|
128.4
|
Cash collateral and settlement balances
|
115.9
|
108.5
|
109.7
|
|
97.5
|
121.8
|
130.8
|
153.2
|
|
79.4
|
Other assets
|
231.8
|
223.5
|
221.7
|
|
221.4
|
261.7
|
236.3
|
201.5
|
|
178.6
|
Total assets
|
1,075.9
|
1,046.8
|
1,052.9
|
|
1,041.8
|
1,107.9
|
1,075.8
|
1,153.2
|
|
861.4
|
Deposits at amortised cost
|
253.3
|
245.4
|
251.2
|
|
240.5
|
262.4
|
241.2
|
263.3
|
|
210.0
|
Derivative financial instrument liabilities
|
252.3
|
246.9
|
260.2
|
|
300.4
|
293.3
|
307.6
|
338.8
|
|
228.9
|
Loan: deposit ratio
|
50%
|
50%
|
49%
|
|
51%
|
49%
|
57%
|
63%
|
|
63%
|
Risk weighted assets
|
222.7
|
223.2
|
230.0
|
|
222.3
|
224.7
|
231.2
|
237.9
|
|
209.2
|
Period end allocated tangible equity
|
31.8
|
31.8
|
32.7
|
|
30.2
|
30.5
|
31.6
|
33.1
|
|
29.6
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
15.9%
|
15.6%
|
17.7%
|
|
5.8%
|
10.2%
|
5.6%
|
6.8%
|
|
5.1%
|
Average allocated tangible equity (£bn)
|
31.8
|
32.4
|
32.3
|
|
30.5
|
30.6
|
33.5
|
31.2
|
|
30.9
|
Cost: income ratio
|
59%
|
58%
|
56%
|
|
68%
|
60%
|
55%
|
48%
|
|
72%
|
Loan loss rate (bps)
|
—
|
—
|
(7)
|
|
90
|
112
|
284
|
377
|
|
96
|
Net interest margin
|
4.02%
|
3.96%
|
3.92%
|
|
3.41%
|
3.79%
|
3.43%
|
3.93%
|
|
4.29%
|
Analysis of Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and Investment Bank
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
279
|
370
|
270
|
|
110
|
305
|
334
|
335
|
|
248
|
Net trading income
|
1,467
|
1,494
|
1,917
|
|
1,397
|
1,535
|
1,812
|
2,231
|
|
951
|
Net fee, commission and other income
|
1,383
|
1,115
|
1,407
|
|
1,131
|
1,065
|
1,170
|
1,051
|
|
1,115
|
Total income
|
3,129
|
2,979
|
3,594
|
|
2,638
|
2,905
|
3,316
|
3,617
|
|
2,314
|
Credit impairment releases/(charges)
|
128
|
229
|
43
|
|
(52)
|
(187)
|
(596)
|
(724)
|
|
(30)
|
Net operating income
|
3,257
|
3,208
|
3,637
|
|
2,586
|
2,718
|
2,720
|
2,893
|
|
2,284
|
Operating costs
|
(1,747)
|
(1,623)
|
(1,886)
|
|
(1,603)
|
(1,716)
|
(1,680)
|
(1,690)
|
|
(1,691)
|
UK bank levy
|
—
|
—
|
—
|
|
(226)
|
—
|
—
|
—
|
|
(156)
|
Litigation and conduct
|
(2)
|
(1)
|
(1)
|
|
2
|
(3)
|
(3)
|
—
|
|
(79)
|
Total operating expenses
|
(1,749)
|
(1,624)
|
(1,887)
|
|
(1,827)
|
(1,719)
|
(1,683)
|
(1,690)
|
|
(1,926)
|
Other net income
|
—
|
—
|
1
|
|
2
|
1
|
3
|
—
|
|
1
|
Profit before tax
|
1,508
|
1,584
|
1,751
|
|
761
|
1,000
|
1,040
|
1,203
|
|
359
|
Attributable profit
|
1,157
|
1,049
|
1,263
|
|
413
|
627
|
694
|
820
|
|
193
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
93.8
|
91.0
|
94.3
|
|
92.4
|
96.8
|
104.9
|
128.2
|
|
92.0
|
Trading portfolio assets
|
144.7
|
147.0
|
130.9
|
|
127.5
|
122.2
|
109.3
|
101.5
|
|
113.3
|
Derivative financial instruments assets
|
256.9
|
255.3
|
269.4
|
|
301.7
|
295.9
|
306.7
|
341.4
|
|
228.8
|
Financial assets at fair value through the income
statement
|
200.4
|
190.3
|
197.3
|
|
170.4
|
177.9
|
153.7
|
187.8
|
|
127.7
|
Cash collateral and settlement balances
|
115.1
|
107.7
|
108.8
|
|
96.7
|
121.0
|
129.7
|
152.2
|
|
78.5
|
Other assets
|
200.4
|
192.5
|
190.8
|
|
194.9
|
228.9
|
205.5
|
171.4
|
|
155.3
|
Total assets
|
1,011.3
|
983.8
|
991.5
|
|
983.6
|
1,042.7
|
1,009.8
|
1,082.5
|
|
795.6
|
Deposits at amortised cost
|
185.8
|
178.2
|
185.2
|
|
175.2
|
195.6
|
173.9
|
198.4
|
|
146.2
|
Derivative financial instrument liabilities
|
252.2
|
246.8
|
260.2
|
|
300.3
|
293.2
|
307.6
|
338.7
|
|
228.9
|
Risk weighted assets
|
192.5
|
194.3
|
201.3
|
|
192.2
|
193.3
|
198.3
|
201.7
|
|
171.5
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
16.6%
|
14.8%
|
17.9%
|
|
6.3%
|
9.5%
|
9.6%
|
12.5%
|
|
3.0%
|
Average allocated tangible equity (£bn)
|
27.8
|
28.4
|
28.2
|
|
26.3
|
26.4
|
29.0
|
26.2
|
|
25.8
|
Cost: income ratio
|
56%
|
55%
|
53%
|
|
69%
|
59%
|
51%
|
47%
|
|
83%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of total income
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
FICC
|
803
|
895
|
1,204
|
|
812
|
1,000
|
1,468
|
1,858
|
|
726
|
Equities
|
757
|
777
|
932
|
|
542
|
691
|
674
|
564
|
|
409
|
Global Markets
|
1,560
|
1,672
|
2,136
|
|
1,354
|
1,691
|
2,142
|
2,422
|
|
1,135
|
Advisory
|
253
|
218
|
163
|
|
232
|
90
|
84
|
155
|
|
202
|
Equity capital markets
|
186
|
226
|
243
|
|
104
|
122
|
185
|
62
|
|
56
|
Debt capital markets
|
532
|
429
|
453
|
|
418
|
398
|
463
|
418
|
|
322
|
Investment Banking fees
|
971
|
873
|
859
|
|
754
|
610
|
732
|
635
|
|
580
|
Corporate lending
|
168
|
38
|
206
|
|
186
|
232
|
61
|
111
|
|
202
|
Transaction banking
|
430
|
396
|
393
|
|
344
|
372
|
381
|
449
|
|
397
|
Corporate
|
598
|
434
|
599
|
|
530
|
604
|
442
|
560
|
|
599
|
Total income
|
3,129
|
2,979
|
3,594
|
|
2,638
|
2,905
|
3,316
|
3,617
|
|
2,314
|
Analysis of Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer, Cards and Payments
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
471
|
441
|
478
|
|
504
|
518
|
513
|
663
|
|
717
|
Net fee, commission, trading and other income
|
337
|
399
|
327
|
|
344
|
358
|
181
|
364
|
|
421
|
Total income
|
808
|
840
|
805
|
|
848
|
876
|
694
|
1,027
|
|
1,138
|
Credit impairment (charges)/releases
|
(110)
|
42
|
(21)
|
|
(239)
|
(183)
|
(414)
|
(885)
|
|
(299)
|
Net operating income
|
698
|
882
|
784
|
|
609
|
693
|
280
|
142
|
|
839
|
Operating costs
|
(563)
|
(545)
|
(552)
|
|
(530)
|
(511)
|
(506)
|
(529)
|
|
(549)
|
UK bank levy
|
—
|
—
|
—
|
|
(14)
|
—
|
—
|
—
|
|
(18)
|
Litigation and conduct
|
(1)
|
(62)
|
(20)
|
|
(11)
|
(25)
|
(8)
|
—
|
|
(7)
|
Total operating expenses
|
(564)
|
(607)
|
(572)
|
|
(555)
|
(536)
|
(514)
|
(529)
|
|
(574)
|
Other net income
|
15
|
13
|
8
|
|
7
|
8
|
1
|
6
|
|
16
|
Profit/(loss) before tax
|
149
|
288
|
220
|
|
61
|
165
|
(233)
|
(381)
|
|
281
|
Attributable profit/(loss)
|
106
|
218
|
168
|
|
28
|
155
|
(226)
|
(291)
|
|
204
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Loans and advances at amortised cost
|
32.1
|
30.9
|
29.2
|
|
30.3
|
31.2
|
33.2
|
38.8
|
|
40.8
|
Total assets
|
64.6
|
63.0
|
61.4
|
|
58.2
|
65.2
|
66.0
|
70.7
|
|
65.8
|
Deposits at amortised cost
|
67.5
|
67.2
|
66.0
|
|
65.3
|
66.8
|
67.3
|
64.9
|
|
63.8
|
Risk weighted assets
|
30.2
|
29.0
|
28.8
|
|
30.1
|
31.4
|
32.9
|
36.2
|
|
37.7
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
10.5%
|
21.8%
|
16.5%
|
|
2.7%
|
14.7%
|
(20.2)%
|
(23.5)%
|
|
15.9%
|
Average allocated tangible equity (£bn)
|
4.0
|
4.0
|
4.1
|
|
4.2
|
4.2
|
4.5
|
5.0
|
|
5.1
|
Cost: income ratio
|
70%
|
72%
|
71%
|
|
65%
|
61%
|
74%
|
52%
|
|
50%
|
Loan loss rate (bps)
|
127
|
—
|
27
|
|
286
|
211
|
455
|
846
|
|
273
|
Head Office
|
|
|
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Income statement information
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Net interest income
|
(112)
|
(64)
|
(178)
|
|
(86)
|
(48)
|
(180)
|
(79)
|
|
(99)
|
Net fee, commission and other income
|
2
|
37
|
103
|
|
(85)
|
(79)
|
41
|
14
|
|
(11)
|
Total income
|
(110)
|
(27)
|
(75)
|
|
(171)
|
(127)
|
(139)
|
(65)
|
|
(110)
|
Credit impairment (charges)/releases
|
(1)
|
6
|
—
|
|
(31)
|
(5)
|
(30)
|
(25)
|
|
(4)
|
Net operating expenses
|
(111)
|
(21)
|
(75)
|
|
(202)
|
(132)
|
(169)
|
(90)
|
|
(114)
|
Operating costs
|
(95)
|
(341)
|
(71)
|
|
(213)
|
(69)
|
(106)
|
(11)
|
|
(45)
|
UK bank levy
|
—
|
—
|
—
|
|
(9)
|
—
|
—
|
—
|
|
(11)
|
Litigation and conduct
|
(19)
|
16
|
(9)
|
|
(42)
|
(23)
|
(3)
|
(5)
|
|
(23)
|
Total operating expenses
|
(114)
|
(325)
|
(80)
|
|
(264)
|
(92)
|
(109)
|
(16)
|
|
(79)
|
Other net income/(expenses)
|
78
|
8
|
123
|
|
8
|
10
|
(43)
|
2
|
|
3
|
Loss before tax
|
(147)
|
(338)
|
(32)
|
|
(458)
|
(214)
|
(321)
|
(104)
|
|
(190)
|
Attributable (loss)/profit
|
(134)
|
120
|
(25)
|
|
(381)
|
(284)
|
(255)
|
(99)
|
|
(154)
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Total assets
|
18.5
|
18.3
|
17.7
|
|
18.6
|
19.3
|
21.7
|
23.6
|
|
21.0
|
Risk weighted assets
|
11.5
|
11.1
|
10.7
|
|
10.2
|
9.8
|
9.9
|
10.0
|
|
11.0
|
Period end allocated tangible equity
|
6.5
|
5.9
|
3.3
|
|
6.8
|
7.1
|
7.4
|
6.0
|
|
5.6
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Average allocated tangible equity (£bn)
|
6.6
|
4.2
|
4.3
|
|
7.3
|
7.6
|
6.4
|
5.6
|
|
5.2
|
Performance Management
Margins and balances
|
|
|
|
|
|
|
|
Nine months ended 30.09.21
|
Nine months ended 30.09.20
|
|
Net interest income
|
Average customer assets
|
Net interest margin
|
Net interest income
|
Average customer assets
|
Net interest margin
|
|
£m
|
£m
|
%
|
£m
|
£m
|
%
|
Barclays UK
|
3,889
|
205,889
|
2.53
|
3,917
|
199,048
|
2.63
|
Barclays
International1,2
|
2,301
|
77,628
|
3.96
|
2,686
|
96,799
|
3.71
|
Total Barclays UK and Barclays International
|
6,190
|
283,517
|
2.92
|
6,603
|
295,847
|
2.98
|
Other3
|
(347)
|
|
|
(325)
|
|
|
Total Barclays Group
|
5,843
|
|
|
6,278
|
|
|
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 Q320 YTD
interest expense been recognised in net interest income, the
Barclays International and Total Barclays UK and Barclays
International NIMs would have been 3.60% and 2.95%
respectively.
|
3
|
Other includes Head Office and non-lending related investment
banking businesses not included in Barclays International
margins.
|
The
Group’s combined product and equity structural hedge notional
as at 30 September 2021 was £224bn (September 2020:
£181bn), with an average duration of close to 3 years (2020:
average duration 2.5 to 3 years). Group net interest income
includes gross structural hedge contributions of £1,042m (Q320
YTD: £1,273m) and net structural hedge contributions of
£889m (Q320 YTD: £917m). Gross structural hedge
contributions represent the absolute level of interest earned from
the fixed receipts on the basket of swaps in the structural hedge,
while the net structural hedge contributions represent the net
interest earned on the difference between the structural hedge rate
and prevailing floating rates.
Quarterly analysis for Barclays UK and Barclays
International
|
Net interest income
|
Average customer assets
|
Net interest margin
|
Three months ended 30.09.21
|
£m
|
£m
|
%
|
Barclays UK
|
1,303
|
207,692
|
2.49
|
Barclays
International1
|
783
|
77,364
|
4.02
|
Total Barclays UK and Barclays International
|
2,086
|
285,056
|
2.90
|
|
|
|
|
Three months ended 30.06.21
|
|
|
|
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
|
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 3.68% in
Q320 and 3.77% in Q420. Total Barclays UK and Barclays
International NIMs would have been 2.86% in Q320 and 2.91% in Q420
respectively.
|
Credit Risk
Loans and advances at amortised cost by stage
The
table below presents an analysis of loans and advances at amortised
cost by gross exposure, impairment allowance, impairment charge and
coverage ratio by stage allocation and business segment as at 30
September 2021. Also included are off-balance sheet loan
commitments and financial guarantee contracts by gross exposure,
impairment allowance and coverage ratio by stage allocation as at
30 September 2021.
Impairment
allowance under IFRS 9 considers both the drawn and the undrawn
counterparty exposure. For retail portfolios, the total impairment
allowance is allocated to the drawn exposure to the extent that the
allowance does not exceed the exposure, as Expected Credit Losses
(ECL) is not reported separately. Any excess is reported on the
liability side of the balance sheet as a provision. For wholesale
portfolios, the impairment allowance on the undrawn exposure is
reported on the liability side of the balance sheet as a
provision.
|
Gross exposure
|
|
Impairment allowance
|
Net exposure
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
As at 30.09.21
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
£m
|
Barclays UK
|
161,520
|
22,277
|
2,666
|
186,463
|
|
304
|
1,163
|
908
|
2,375
|
184,088
|
Barclays International
|
23,592
|
4,121
|
1,647
|
29,360
|
|
490
|
966
|
858
|
2,314
|
27,046
|
Head Office
|
3,953
|
431
|
742
|
5,126
|
|
3
|
37
|
356
|
396
|
4,730
|
Total Barclays Group retail
|
189,065
|
26,829
|
5,055
|
220,949
|
|
797
|
2,166
|
2,122
|
5,085
|
215,864
|
Barclays UK
|
34,810
|
1,986
|
1,067
|
37,863
|
|
55
|
30
|
25
|
110
|
37,753
|
Barclays International
|
86,196
|
12,372
|
1,273
|
99,841
|
|
209
|
260
|
515
|
984
|
98,857
|
Head Office
|
518
|
3
|
33
|
554
|
|
—
|
—
|
31
|
31
|
523
|
Total Barclays Group wholesale1
|
121,524
|
14,361
|
2,373
|
138,258
|
|
264
|
290
|
571
|
1,125
|
137,133
|
Total loans and advances at amortised cost
|
310,589
|
41,190
|
7,428
|
359,207
|
|
1,061
|
2,456
|
2,693
|
6,210
|
352,997
|
Off-balance
sheet loan commitments and financial guarantee
contracts2
|
306,313
|
41,766
|
750
|
348,829
|
|
225
|
298
|
24
|
547
|
348,282
|
Total3
|
616,902
|
82,956
|
8,178
|
708,036
|
|
1,286
|
2,754
|
2,717
|
6,757
|
701,279
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 30.09.21
|
|
Nine months ended 30.09.21
|
|
|
Coverage ratio
|
|
Loan impairment (release)/charge and loan loss rate
|
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Loan impairment release
|
Loan loss rate
|
|
|
%
|
%
|
%
|
%
|
|
£m
|
bps
|
|
Barclays UK
|
0.2
|
5.2
|
34.1
|
1.3
|
|
|
34
|
|
2
|
|
Barclays International
|
2.1
|
23.4
|
52.1
|
7.9
|
|
|
88
|
|
40
|
|
Head Office
|
0.1
|
8.6
|
48.0
|
7.7
|
|
|
(5)
|
|
—
|
|
Total Barclays Group retail
|
0.4
|
8.1
|
42.0
|
2.3
|
|
|
117
|
|
7
|
|
Barclays UK
|
0.2
|
1.5
|
2.3
|
0.3
|
|
|
(81)
|
|
—
|
|
Barclays International
|
0.2
|
2.1
|
40.5
|
1.0
|
|
|
(125)
|
|
—
|
|
Head Office
|
—
|
—
|
93.9
|
5.6
|
|
|
—
|
|
—
|
|
Total Barclays Group wholesale1
|
0.2
|
2.0
|
24.1
|
0.8
|
|
|
(206)
|
|
—
|
|
Total loans and advances at amortised cost
|
0.3
|
6.0
|
36.3
|
1.7
|
|
|
(89)
|
|
—
|
|
Off-balance
sheet loan commitments and financial guarantee
contracts2
|
0.1
|
0.7
|
3.2
|
0.2
|
|
|
(513)
|
|
|
|
Other
financial assets subject to impairment3
|
|
|
|
|
|
|
(20)
|
|
|
|
Total
|
0.2
|
3.3
|
33.2
|
1.0
|
|
|
(622)
|
|
|
|
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 £7,229m of balances reported as wholesale
loans on page 24 in the Loans and advances at amortised cost by
product disclosure.
|
2
|
Excludes loan commitments and financial guarantees of £20.8bn
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
£190.8bn and impairment allowance of £112m. This
comprises £5m ECL on £190.6bn Stage 1 assets, Nil on
£68m Stage 2 fair value through other comprehensive income
assets, cash collateral and settlement balances and £107m on
£113m 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 24 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.
|
Loans and advances at amortised cost by product
The
table below presents a breakdown of loans and advances at amortised
cost and the impairment allowance with stage allocation by asset
classification.
|
|
Stage 2
|
|
|
As at 30.09.21
|
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
|
148,033
|
16,545
|
1,585
|
717
|
18,847
|
2,201
|
169,081
|
Credit cards, unsecured loans and other retail lending
|
34,565
|
6,958
|
292
|
261
|
7,511
|
2,563
|
44,639
|
Wholesale loans
|
127,991
|
14,062
|
275
|
495
|
14,832
|
2,664
|
145,487
|
Total
|
310,589
|
37,565
|
2,152
|
1,473
|
41,190
|
7,428
|
359,207
|
|
|
|
|
|
|
|
|
Impairment allowance
|
|
|
|
|
|
|
|
Home loans
|
17
|
50
|
6
|
7
|
63
|
404
|
484
|
Credit cards, unsecured loans and other retail lending
|
707
|
1,861
|
83
|
121
|
2,065
|
1,610
|
4,382
|
Wholesale loans
|
337
|
320
|
5
|
3
|
328
|
679
|
1,344
|
Total
|
1,061
|
2,231
|
94
|
131
|
2,456
|
2,693
|
6,210
|
|
|
|
|
|
|
|
|
Net exposure
|
|
|
|
|
|
|
|
Home loans
|
148,016
|
16,495
|
1,579
|
710
|
18,784
|
1,797
|
168,597
|
Credit cards, unsecured loans and other retail lending
|
33,858
|
5,097
|
209
|
140
|
5,446
|
953
|
40,257
|
Wholesale loans
|
127,654
|
13,742
|
270
|
492
|
14,504
|
1,985
|
144,143
|
Total
|
309,528
|
35,334
|
2,058
|
1,342
|
38,734
|
4,735
|
352,997
|
|
|
|
|
|
|
|
|
Coverage ratio
|
%
|
%
|
%
|
%
|
%
|
%
|
%
|
Home loans
|
—
|
0.3
|
0.4
|
1.0
|
0.3
|
18.4
|
0.3
|
Credit cards, unsecured loans and other retail lending
|
2.0
|
26.7
|
28.4
|
46.4
|
27.5
|
62.8
|
9.8
|
Wholesale loans
|
0.3
|
2.3
|
1.8
|
0.6
|
2.2
|
25.5
|
0.9
|
Total
|
0.3
|
5.9
|
4.4
|
8.9
|
6.0
|
36.3
|
1.7
|
|
|
|
|
|
|
|
|
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
|
Measurement uncertainty
Forecast
Macroeconomic Variables were refreshed in Q321, following on from
the Q221 update, with key drivers for the Baseline scenario more
optimistic than Q420 and Q221. In the Baseline scenario, UK GDP
returns to the pre-COVID-19 pandemic levels by early 2022 with peak
UK unemployment of 5.4% in Q122. In the Upside 2 scenario,
effective fiscal stimulus measures, including public investments in
infrastructure and skills, provide a boost to demand and
confidence, which in turn leads to economic activity in almost all
advanced economies returning to the pre-COVID-19 pandemic levels by
the end of 2021. Unemployment levels decline back to 5% by Q122 in
the UK, and to 4% by Q222 in the US. In the Downside 2 scenario,
supply and distribution issues slow the vaccination process and the
emergence of new virus variants that are not susceptible to the
existing vaccines results in full national lockdowns. This leads to
significant falls in GDP in Q421 and UK and US unemployment
reaching c.10% and 12% respectively in Q122.
The
Group uses a five-scenario model to calculate ECL. The methodology
for estimating probability weights used in calculating ECL involves
simulating a range of future paths for UK and US GDP using
historical data. The five scenarios are mapped against the
distribution of these future paths, with the median centred around
the Baseline such that scenarios further from the Baseline attract
a lower weighting. The range of future paths generated in the
calculation of the weights at 30 September 2021 is narrower than at
30 June 2021 and 31 December 2020 due to continued growth in UK and
US GDP and lower levels of uncertainty. The Upside 2 and Downside 2
scenarios are therefore nearer the tails of the distribution than
previously resulting in lower weightings.
In
isolation, the reduction in Baseline unemployment forecast between
Q2 and Q3 would lead to a reduction in unsecured ECL. However, the
reduction in Downside 2 unemployment forecast between Q2 and Q3 is
lower than the movement in the Baseline unemployment forecast; this
widening delta between Baseline and Downside 2 unemployment
forecast moderates the overall impact.
Although
the macroeconomic outlook has improved, the level of uncertainty is
relatively high. Unemployment remains at elevated levels, with a
significant number of jobs at risk of redundancy as measures of
support are tapered down in the UK, US and Germany between the end
of Q321 and Q122 respectively. To date, limited defaults have been
observed in response to the COVID-19 pandemic, but credit
deterioration may occur as support is withdrawn. This uncertainty
continues to be captured in two distinct ways: firstly, the
identification of specific customers and clients who may be more
vulnerable to the withdrawal of relief and secondly, macroeconomic
and risk parameter uncertainties which are applied at a portfolio
level. As a result, economic uncertainty PMAs and total PMAs
remained relatively stable at £2.0bn (30 June 2021:
£2.1bn) and £2.0bn (30 June 2021: £1.9bn)
respectively.
The
tables below show the key consensus macroeconomic variables used in
the Baseline scenario and the probability weights applied to each
scenario.
Baseline average macroeconomic variables used in the calculation of
ECL
|
|
2021
|
2022
|
2023
|
As at 30.09.21
|
%
|
%
|
%
|
UK
GDP1
|
6.5
|
5.2
|
2.3
|
UK
unemployment2
|
5.0
|
5.1
|
4.7
|
UK
HPI3
|
3.8
|
0.8
|
2.6
|
UK bank rate
|
0.1
|
0.2
|
0.5
|
US
GDP1
|
6.8
|
4.4
|
2.4
|
US
unemployment4
|
5.5
|
4.2
|
4.0
|
US
HPI5
|
7.8
|
4.1
|
4.0
|
US federal funds rate
|
0.2
|
0.3
|
0.8
|
|
|
|
|
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.
|
Scenario probability weighting
|
|
Upside 2
|
Upside 1
|
Baseline
|
Downside 1
|
Downside 2
|
|
%
|
%
|
%
|
%
|
%
|
As at 30.09.21
|
|
|
|
|
|
Scenario probability weighting
|
17.9
|
25.7
|
28.9
|
16.3
|
11.2
|
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
|
Treasury and Capital Risk
Capital
The
Group’s Overall Capital Requirement for CET1 is 11.2%
comprising a 4.5% Pillar 1 minimum, a 2.5% Capital Conservation
Buffer (CCB), a 1.5% Global Systemically Important Institution
(G-SII) buffer, a 2.7% Pillar 2A requirement and a 0%
Countercyclical Capital Buffer (CCyB).
The
Group’s CCyB is based on the buffer rate applicable for each
jurisdiction in which the Group has exposures. On 11 March 2020,
the Financial Policy Committee (FPC) set the CCyB rate for UK
exposures at 0% with immediate effect. The buffer rates set by
other national authorities for non-UK exposures are not currently
material. Overall, this results in a 0.0% CCyB for the
Group.
The
Group’s Pillar 2A requirement as per the PRA’s
Individual Capital Requirement is 4.8% of which at least 56.25%
needs to be met with CET1 capital, equating to approximately 2.7%
of RWAs. The Pillar 2A requirement is subject to at least
annual review and has been set as a nominal capital amount. This is
based on a point in time assessment and the requirement (when
expressed as a proportion of RWAs) will change depending on the
total RWAs at each reporting period.
Following
the withdrawal of the UK from the EU, any references to CRR as
amended by CRR II mean, unless otherwise specified, CRR as amended
by CRR II, as it forms part of UK law pursuant to the European
Union (Withdrawal) Act 2018 and subject to the temporary
transitional powers (TTP) available to UK regulators to delay or
phase-in on-shoring changes to UK regulatory requirements arising
at the end of the transition period until 31 March 2022, as at the
applicable reporting date. Throughout the TTP period, the Bank of
England (BoE) and PRA will continue to review the UK regulatory
framework and the Group disclosures will reflect the amended
framework as applicable at the effective reporting
date.
On 14
October 2021, the PRA published their final Policy Statement on the
implementation of Basel III standards. The Policy Statement
confirmed the PRA’s intention to revert to the previous
treatment of 100% CET1 capital deduction for qualifying software
assets, meaning the c.40bps benefit in the CET1 ratio will be
reversed from 1 January 2022.
Capital ratios1,2,3
|
As at 30.09.21
|
As at 30.06.21
|
As at 31.12.20
|
CET1
|
15.4%
|
15.1%
|
15.1%
|
Tier 1 (T1)
|
19.6%
|
18.9%
|
19.0%
|
Total regulatory capital
|
22.9%
|
22.3%
|
22.1%
|
|
|
|
|
Capital resources
|
£m
|
£m
|
£m
|
Total equity excluding non-controlling interests per the balance
sheet
|
68,697
|
67,052
|
65,797
|
Less: other equity instruments (recognised as AT1
capital)
|
(12,252)
|
(11,167)
|
(11,172)
|
Adjustment to retained earnings for foreseeable ordinary share
dividends
|
(419)
|
(510)
|
(174)
|
Adjustment to retained earnings for foreseeable repurchase of
shares
|
(221)
|
—
|
—
|
Adjustment to retained earnings for foreseeable other equity
coupons
|
(51)
|
(35)
|
(30)
|
|
|
|
|
Other regulatory adjustments and deductions
|
|
|
|
Additional value adjustments (PVA)
|
(1,427)
|
(1,447)
|
(1,146)
|
Goodwill and intangible assets
|
(6,850)
|
(6,814)
|
(6,914)
|
Deferred tax assets that rely on future profitability excluding
temporary differences
|
(662)
|
(664)
|
(595)
|
Fair value reserves related to gains or losses on cash flow
hedges
|
46
|
(665)
|
(1,575)
|
Gains or losses on liabilities at fair value resulting from own
credit
|
940
|
934
|
870
|
Defined benefit pension fund assets
|
(1,925)
|
(1,828)
|
(1,326)
|
Direct and indirect holdings by an institution of own CET1
instruments
|
(50)
|
(50)
|
(50)
|
Adjustment under IFRS 9 transitional arrangements
|
1,332
|
1,331
|
2,556
|
Other regulatory adjustments
|
144
|
88
|
55
|
CET1 capital
|
47,302
|
46,225
|
46,296
|
|
|
|
|
AT1 capital
|
|
|
|
Capital instruments and related share premium accounts
|
12,252
|
11,167
|
11,172
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
636
|
648
|
646
|
Other regulatory adjustments and deductions
|
(80)
|
(80)
|
(80)
|
AT1 capital
|
12,808
|
11,735
|
11,738
|
|
|
|
|
T1 capital
|
60,110
|
57,960
|
58,034
|
|
|
|
|
T2 capital
|
|
|
|
Capital instruments and related share premium accounts
|
8,927
|
8,969
|
7,836
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
1,306
|
1,401
|
1,893
|
Credit risk adjustments (excess of impairment over expected
losses)
|
98
|
79
|
57
|
Other regulatory adjustments and deductions
|
(160)
|
(160)
|
(160)
|
Total regulatory capital
|
70,281
|
68,249
|
67,660
|
|
|
|
|
Total RWAs
|
307,464
|
306,424
|
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 15.0%,
with £46.0bn of CET1 capital and £307.2bn 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 15.4%. 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 30.09.21
|
Nine months ended 30.09.21
|
|
£m
|
£m
|
Opening CET1 capital
|
46,225
|
46,296
|
|
|
|
Profit for the period attributable to equity holders
|
1,643
|
5,844
|
Own credit relating to derivative liabilities
|
5
|
22
|
Ordinary share dividends paid and foreseen
|
(248)
|
(757)
|
Purchased and foreseeable share repurchase
|
(500)
|
(1,200)
|
Other equity coupons paid and foreseen
|
(213)
|
(607)
|
Increase in retained regulatory capital generated from
earnings
|
687
|
3,302
|
|
|
|
Net impact of share schemes
|
175
|
127
|
Fair value through other comprehensive income reserve
|
82
|
(168)
|
Currency translation reserve
|
432
|
(63)
|
Other reserves
|
(6)
|
(7)
|
Increase / (decrease) in other qualifying reserves
|
683
|
(111)
|
|
|
|
Pension remeasurements within reserves
|
(177)
|
(74)
|
Defined benefit pension fund asset deduction
|
(97)
|
(599)
|
Net impact of pensions
|
(274)
|
(673)
|
|
|
|
Additional value adjustments (PVA)
|
20
|
(281)
|
Goodwill and intangible assets
|
(36)
|
64
|
Deferred tax assets that rely on future profitability excluding
those arising from temporary differences
|
2
|
(67)
|
Adjustment under IFRS 9 transitional arrangements
|
1
|
(1,224)
|
Other regulatory adjustments
|
(6)
|
(4)
|
Decrease in regulatory capital due to adjustments and
deductions
|
(19)
|
(1,512)
|
|
|
|
Closing CET1 capital
|
47,302
|
47,302
|
CET1
capital increased £1.0bn to £47.3bn (December 2020:
£46.3bn). £5.8bn of capital generated from profits were
partially offset by distributions of £2.6bn
comprising:
●
|
£0.8bn
of dividends paid and foreseen for ordinary shares, which includes
£0.3bn for the 2.0p per share half year dividend and a
£0.4bn accrual towards a FY21 dividend
|
●
|
£1.2bn
for share buybacks made up of £0.7bn for the share buyback
announced with FY20 results and £0.5bn for the share buyback
announced with H121 results; and
|
●
|
£0.6bn
of equity coupons paid
|
Other
significant movements in the period were:
●
|
A
£0.7bn decrease as a result of movements relating to pensions,
largely due to deficit contribution payments of £0.35bn in
April 2021 and September 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 30.09.21
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
|
£m
|
£m
|
Barclays UK
|
7,128
|
53,981
|
|
464
|
—
|
—
|
158
|
|
115
|
—
|
|
11,381
|
73,227
|
Corporate
and Investment Bank
|
26,778
|
70,842
|
|
17,063
|
19,477
|
211
|
2,347
|
|
16,399
|
15,934
|
|
23,453
|
192,504
|
Consumer,
Cards and Payments
|
20,159
|
2,740
|
|
255
|
30
|
—
|
37
|
|
—
|
44
|
|
6,948
|
30,213
|
Barclays International
|
46,937
|
73,582
|
|
17,318
|
19,507
|
211
|
2,384
|
|
16,399
|
15,978
|
|
30,401
|
222,717
|
Head Office
|
4,984
|
7,344
|
|
—
|
—
|
—
|
—
|
|
—
|
—
|
|
(808)
|
11,520
|
Barclays Group
|
59,049
|
134,907
|
|
17,782
|
19,507
|
211
|
2,542
|
|
16,514
|
15,978
|
|
40,974
|
307,464
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 30.06.21
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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 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
|
1,903
|
3,904
|
(1,848)
|
76
|
4,035
|
Acquisitions and disposals
|
(1,018)
|
—
|
—
|
—
|
(1,018)
|
Book quality
|
563
|
201
|
—
|
—
|
764
|
Model updates
|
(962)
|
(186)
|
—
|
—
|
(1,148)
|
Methodology and policy
|
(115)
|
416
|
(1,289)
|
—
|
(988)
|
Foreign
exchange movements1
|
(384)
|
—
|
—
|
—
|
(384)
|
Total RWA movements
|
(13)
|
4,335
|
(3,137)
|
76
|
1,261
|
Closing RWAs (as at 30.09.21)
|
193,956
|
40,042
|
32,492
|
40,974
|
307,464
|
1
|
Foreign exchange movements does not include foreign exchange for
counterparty credit risk or market risk.
|
Overall
RWAs increased £1.3bn to £307.5bn (December 2020:
£306.2bn).
Credit
risk RWAs remained broadly stable:
●
|
A
£1.9bn increase in book size mainly driven by growth in
mortgages within Barclays UK, partially offset by lower consumer
lending and ESHLA
|
●
|
A
£1.0bn decrease in acquisitions and disposals mainly driven by
disposal of wholesale loans during the year
|
Counterparty Credit
risk RWAs increased £4.3bn:
●
|
A
£3.9bn increase in book size primarily due to an increase in
trading activities within SFTs and derivatives
|
Market
risk RWAs decreased £3.1bn:
●
|
A
£1.8bn decrease in book size primarily due to reduced risk
taking in Equities and Counterparty Risk Trading in the
period
|
●
|
A
£1.3bn decrease in methodology and policy is driven by a
change in the historical lookback period of the VaR model from two
years to one year
|
Leverage ratio and exposures
The
Group is subject to a leverage ratio requirement of 3.8% as at 30
September 2021. This comprises the 3.25% minimum requirement, a
G-SII additional leverage ratio buffer (G-SII ALRB) of 0.53% and a
countercyclical leverage ratio buffer of 0.0%. Although the
leverage ratio is expressed in terms of T1 capital, 75% of the
minimum requirement, equating to 2.4375%, needs to be met with CET1
capital. In addition, the G-SII ALRB must be covered solely with
CET1 capital. The CET1 capital held against the 0.53% G-SII ALRB
was £6.3bn.
The
Group is required to disclose an average UK leverage ratio which is
based on capital on the last day of each month in the quarter and
an exposure measure for each day in the quarter. The Group is also
required to disclose a UK leverage ratio based on capital and
exposure on the last day of the quarter. Both approaches exclude
qualifying claims on central banks from the leverage exposures and
include the PRA’s adoption of CRR II settlement
netting.
On 8
October 2021, the PRA published its Policy Statement on the UK
leverage ratio framework. The Policy Statement confirms that UK
banks will be subject to a single UK leverage ratio requirement
meaning that the CRR leverage ratio will no longer apply for UK
banks from 1 January 2022. Whilst largely upholding the existing
framework, technical changes generally align to the Basel III
standards with the exception of the qualifying claims on central
banks exemption. From 1 January 2022 central bank claims can be
excluded from the UK leverage ratio measure as long as they are
matched by qualifying liabilities (rather than deposits). Minimum
requirements for the Group remain the same with minimum
requirements also expected to be applied at the individual level;
individual requirements may be replaced with a sub-consolidated
measure, subject to permission from the PRA, from 1 January
2023.
Leverage ratios1,2
|
As at 30.09.21
|
As at 30.06.21
|
As at 31.12.20
|
£m
|
£m
|
£m
|
Average UK leverage ratio
|
4.9%
|
4.8%
|
5.0%
|
Average
T1 capital3
|
58,580
|
57,280
|
57,069
|
Average UK leverage exposure
|
1,199,774
|
1,191,986
|
1,146,919
|
|
|
|
|
UK leverage ratio
|
5.1%
|
5.0%
|
5.3%
|
|
|
|
|
CET1 capital
|
47,302
|
46,225
|
46,296
|
AT1 capital
|
12,172
|
11,087
|
11,092
|
T1 capital3
|
59,474
|
57,312
|
57,388
|
|
|
|
|
UK leverage exposure
|
1,160,983
|
1,153,570
|
1,090,907
|
|
|
|
|
UK leverage exposure
|
|
|
|
Accounting assets
|
|
|
|
Derivative financial instruments
|
258,093
|
256,636
|
302,446
|
Derivative cash collateral
|
54,166
|
54,063
|
64,798
|
Securities financing transactions
|
190,927
|
182,820
|
164,034
|
Loans and advances and other assets
|
903,327
|
882,814
|
818,236
|
Total IFRS assets
|
1,406,513
|
1,376,333
|
1,349,514
|
|
|
|
|
Regulatory consolidation adjustments
|
(2,192)
|
(1,406)
|
(1,144)
|
|
|
|
|
Derivatives adjustments
|
|
|
|
Derivatives netting
|
(231,559)
|
(229,123)
|
(272,275)
|
Adjustments to collateral
|
(47,490)
|
(42,774)
|
(57,414)
|
Net written credit protection
|
15,910
|
16,730
|
14,986
|
Potential future exposure on derivatives
|
143,517
|
135,162
|
117,010
|
Total derivatives adjustments
|
(119,622)
|
(120,005)
|
(197,693)
|
|
|
|
|
SFTs adjustments
|
24,579
|
23,511
|
21,114
|
|
|
|
|
Regulatory deductions and other adjustments
|
(19,454)
|
(22,525)
|
(17,469)
|
|
|
|
|
Weighted off-balance sheet commitments
|
115,521
|
111,870
|
113,704
|
|
|
|
|
Qualifying central bank claims
|
(198,817)
|
(172,465)
|
(155,890)
|
|
|
|
|
Settlement netting
|
(45,545)
|
(41,743)
|
(21,229)
|
|
|
|
|
UK leverage exposure
|
1,160,983
|
1,153,570
|
1,090,907
|
1
|
Fully loaded average UK leverage ratio was 4.8%, with £57.3bn
of T1 capital and £1,198.5bn of leverage exposure. Fully
loaded UK leverage ratio was 5.0%, with £58.1bn of T1 capital
and £1,159.7bn 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.
|
The
average UK leverage ratio decreased to 4.9% (December 2020: 5.0%).
The average leverage exposure increased by £52.9bn to
£1,199.8bn (December 2020: £1,146.9bn) largely driven by
an increase in SFTs, PFE on derivatives and TPAs.
The UK
leverage ratio decreased to 5.1% (December 2020: 5.3%). The UK
leverage exposure increased by £70.1bn to £1,161.0bn
(December 2020: £1,090.9bn) primarily driven by a £26.9bn
increase in SFTs, a £26.5bn increase in PFE on derivatives and
a £17.0bn increase in TPAs due to increased trading activity
in CIB.
The
Group also discloses a CRR leverage ratio1
within its additional regulatory disclosures prepared in accordance
with EBA guidelines on disclosure under Part Eight of the CRR (see
Barclays PLC Pillar 3 Report Q3 2021, expected to be published on
21 October 2021 and which will be available at home.barclays/investor-relations/reports-and-events/latest-financial-results).
1
|
CRR leverage ratio as amended by CRR II.
|
MREL
The
Group is currently required to meet the higher of: (i) the
requirements set by the BoE based on RWAs and the higher of average
and UK leverage exposures; and (ii) the requirements in CRR as
amended by CRR II based on RWAs and CRR leverage exposures. The
MREL requirements are subject to phased implementation and will be
fully implemented by 1 January 2022. As at 30 September 2021, the
Group’s MREL requirement was to meet 6.9% of CRR leverage
exposures.
On 22
July 2021 the BoE published a consultation paper on its approach to
setting MREL. Under the proposed changes to their 2018 Statement of
Policy, from 1 January 2022, the Group’s expected MREL
requirements will be to meet the higher of: (i) two times the sum
of Pillar 1 and Pillar 2A; and (ii) the higher of two times the
applicable leverage ratio requirement or 6.75% of leverage
exposures. Given UK banks will be subject to a single UK leverage
ratio requirement from 1 January 2022, the CRR leverage exposure
requirements in relation to MREL may not apply from that date.
Additionally, the proposals clarify that own funds instruments
issued by subsidiaries will no longer be eligible to count towards
the Group’s MREL from 1 January 2022.
CET1
capital cannot be counted towards both MREL and the capital
buffers, meaning that the buffers will effectively be applied above
MREL requirements.
Own funds and eligible liabilities
ratios1,2
|
As a percentage of RWAs
|
|
As a percentage of CRR leverage exposure
|
|
As at 30.09.21
|
As at 30.06.21
|
As at 31.12.20
|
|
As at 30.09.21
|
As at 30.06.21
|
As at 31.12.20
|
Total Barclays PLC (the Parent company) own funds and eligible
liabilities
|
34.8%
|
33.7%
|
32.7%
|
|
7.8%
|
7.7%
|
8.0%
|
Total own funds and eligible liabilities, including eligible
Barclays Bank PLC instruments
|
35.5%
|
34.4%
|
33.6%
|
|
8.0%
|
7.9%
|
8.2%
|
|
|
|
|
|
|
|
|
Own funds and eligible
liabilities1,2
|
|
|
|
|
As at 30.09.21
|
As at 30.06.21
|
As at 31.12.20
|
|
|
|
|
|
£m
|
£m
|
£m
|
CET1 capital
|
|
|
|
|
47,302
|
46,225
|
46,296
|
AT1
capital instruments and related share premium accounts3
|
|
12,172
|
11,087
|
11,092
|
T2
capital instruments and related share premium accounts3
|
|
|
|
|
8,865
|
8,888
|
7,733
|
Eligible liabilities
|
|
|
|
|
38,787
|
37,095
|
35,086
|
Total Barclays PLC (the Parent company) own funds and eligible
liabilities
|
|
107,126
|
103,295
|
100,207
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
|
636
|
648
|
646
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
|
1,306
|
1,401
|
1,893
|
Total own funds and eligible liabilities, including eligible
Barclays Bank PLC instruments
|
|
109,068
|
105,344
|
102,746
|
|
|
|
|
|
|
|
|
Total RWAs
|
|
|
|
|
307,464
|
306,424
|
306,203
|
Total CRR leverage exposure4
|
|
|
|
|
1,368,259
|
1,334,929
|
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 September 2021 Barclays PLC (the
Parent company) own funds and eligible liabilities ratio as a
percentage of the UK leverage exposure was 9.2% and as a percentage
of the average UK leverage exposure was 8.9%.
|
3
|
Includes other AT1 capital regulatory adjustments and deductions of
£80m (December 2020: £80m), and other T2 credit risk
adjustments and deductions of £62m (December 2020:
£103m).
|
4
|
Fully loaded CRR leverage exposure is calculated without applying
the transitional arrangements of the CRR as amended by CRR
II.
|
Condensed Consolidated Financial Statements
Condensed consolidated income statement (unaudited)
|
|
Nine months ended 30.09.21
|
Nine months ended 30.09.20
|
|
£m
|
£m
|
Total income
|
16,780
|
16,825
|
Credit impairment releases/(charges)
|
622
|
(4,346)
|
Net operating income
|
17,402
|
12,479
|
Operating expenses excluding litigation and conduct
|
(10,578)
|
(9,954)
|
Litigation and conduct
|
(131)
|
(106)
|
Operating expenses
|
(10,709)
|
(10,060)
|
Other net income
|
247
|
—
|
Profit before tax
|
6,940
|
2,419
|
Tax charge
|
(1,076)
|
(441)
|
Profit after tax
|
5,864
|
1,978
|
|
|
|
Attributable to:
|
|
|
Equity holders of the parent
|
5,258
|
1,306
|
Other equity instrument holders
|
586
|
631
|
Total equity holders of the parent
|
5,844
|
1,937
|
Non-controlling interests
|
20
|
41
|
Profit after tax
|
5,864
|
1,978
|
|
|
|
Earnings per share
|
p
|
p
|
Basic earnings per ordinary share
|
30.8
|
7.6
|
Condensed consolidated balance sheet (unaudited)
|
|
As at 30.09.21
|
As at 31.12.20
|
Assets
|
£m
|
£m
|
Cash and balances at central banks
|
227,641
|
191,127
|
Cash collateral and settlement balances
|
119,196
|
101,367
|
Loans and advances at amortised cost
|
352,997
|
342,632
|
Reverse repurchase agreements and other similar secured
lending
|
4,608
|
9,031
|
Trading portfolio assets
|
144,946
|
127,950
|
Financial assets at fair value through the income
statement
|
204,424
|
175,151
|
Derivative financial instruments
|
258,093
|
302,446
|
Financial assets at fair value through other comprehensive
income
|
70,748
|
78,688
|
Investments in associates and joint ventures
|
995
|
781
|
Goodwill and intangible assets
|
8,147
|
7,948
|
Current tax assets
|
212
|
477
|
Deferred tax assets
|
4,189
|
3,444
|
Other assets
|
10,317
|
8,472
|
Total assets
|
1,406,513
|
1,349,514
|
|
|
|
Liabilities
|
|
|
Deposits at amortised cost
|
510,188
|
481,036
|
Cash collateral and settlement balances
|
106,115
|
85,423
|
Repurchase agreements and other similar secured
borrowing
|
22,790
|
14,174
|
Debt securities in issue
|
95,865
|
75,796
|
Subordinated liabilities
|
12,863
|
16,341
|
Trading portfolio liabilities
|
61,863
|
47,405
|
Financial liabilities designated at fair value
|
262,091
|
249,765
|
Derivative financial instruments
|
252,445
|
300,775
|
Current tax liabilities
|
615
|
645
|
Deferred tax liabilities
|
4
|
15
|
Other liabilities
|
11,913
|
11,257
|
Total liabilities
|
1,336,752
|
1,282,632
|
|
|
|
Equity
|
|
|
Called up share capital and share premium
|
4,542
|
4,637
|
Other reserves
|
2,687
|
4,461
|
Retained earnings
|
49,216
|
45,527
|
Shareholders' equity attributable to ordinary shareholders of the
parent
|
56,445
|
54,625
|
Other equity instruments
|
12,252
|
11,172
|
Total equity excluding non-controlling interests
|
68,697
|
65,797
|
Non-controlling interests
|
1,064
|
1,085
|
Total equity
|
69,761
|
66,882
|
|
|
|
Total equity and liabilities
|
1,406,513
|
1,349,514
|
Condensed consolidated statement of changes in equity
(unaudited)
|
|
Called up share capital and share premium
|
Other equity instruments
|
Other reserves
|
Retained earnings
|
Total
|
Non-controlling interests
|
Total equity
|
Nine months ended 30.09.21
|
£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
|
—
|
586
|
—
|
5,258
|
5,844
|
20
|
5,864
|
Retirement benefit remeasurements
|
—
|
—
|
—
|
(74)
|
(74)
|
—
|
(74)
|
Other
|
—
|
—
|
(1,904)
|
—
|
(1,904)
|
—
|
(1,904)
|
Total comprehensive income for the period
|
—
|
586
|
(1,904)
|
5,184
|
3,866
|
20
|
3,886
|
Equity settled share schemes
|
37
|
—
|
—
|
402
|
439
|
—
|
439
|
Issue and exchange of other equity instruments
|
—
|
1,079
|
—
|
—
|
1,079
|
—
|
1,079
|
Other equity instruments coupon paid
|
—
|
(586)
|
—
|
—
|
(586)
|
—
|
(586)
|
Vesting of employee share schemes
|
—
|
—
|
(4)
|
(401)
|
(405)
|
—
|
(405)
|
Dividends paid
|
—
|
—
|
—
|
(512)
|
(512)
|
(17)
|
(529)
|
Repurchase of shares
|
(132)
|
—
|
132
|
(980)
|
(980)
|
—
|
(980)
|
Other movements
|
—
|
1
|
2
|
(4)
|
(1)
|
(24)
|
(25)
|
Balance as at 30 September 2021
|
4,542
|
12,252
|
2,687
|
49,216
|
68,697
|
1,064
|
69,761
|
|
|
|
|
|
|
|
|
Three months ended 30.09.21
|
|
|
|
|
|
|
|
Balance as at 1 July 2021
|
4,568
|
11,167
|
2,856
|
48,461
|
67,052
|
1,064
|
68,116
|
Profit after tax
|
—
|
197
|
—
|
1,446
|
1,643
|
1
|
1,644
|
Retirement benefit remeasurements
|
—
|
—
|
—
|
(177)
|
(177)
|
—
|
(177)
|
Other
|
—
|
—
|
(201)
|
—
|
(201)
|
—
|
(201)
|
Total comprehensive income for the period
|
—
|
197
|
(201)
|
1,269
|
1,265
|
1
|
1,266
|
Equity settled share schemes
|
12
|
—
|
—
|
113
|
125
|
—
|
125
|
Issue and exchange of other equity instruments
|
—
|
1,079
|
—
|
—
|
1,079
|
—
|
1,079
|
Other equity instruments coupon paid
|
—
|
(197)
|
—
|
—
|
(197)
|
—
|
(197)
|
Vesting of employee share schemes
|
—
|
—
|
(8)
|
(4)
|
(12)
|
—
|
(12)
|
Dividends paid
|
—
|
—
|
—
|
(339)
|
(339)
|
(1)
|
(340)
|
Repurchase of shares
|
(38)
|
—
|
38
|
(280)
|
(280)
|
—
|
(280)
|
Other movements
|
—
|
6
|
2
|
(4)
|
4
|
—
|
4
|
Balance as at 30 September 2021
|
4,542
|
12,252
|
2,687
|
49,216
|
68,697
|
1,064
|
69,761
|
|
As at 30.09.21
|
As at 31.12.20
|
Other reserves
|
£m
|
£m
|
Currency translation reserve
|
2,808
|
2,871
|
Fair value through other comprehensive income reserve
|
(163)
|
5
|
Cash flow hedging reserve
|
(48)
|
1,575
|
Own credit reserve
|
(1,002)
|
(954)
|
Other reserves and treasury shares
|
1,092
|
964
|
Total
|
2,687
|
4,461
|
Appendix: Non-IFRS Performance Measures
The
Group’s management believes that the non-IFRS performance
measures included in this document provide valuable information to
the readers of the financial statements as they enable the reader
to identify a more consistent basis for comparing the
businesses’ performance between financial periods, and
provide more detail concerning the elements of performance which
the managers of these businesses are most directly able to
influence or are relevant for an assessment of the Group. They also
reflect an important aspect of the way in which operating targets
are defined and performance is monitored by
management.
However,
any non-IFRS performance measures in this document are not a
substitute for IFRS measures and readers should consider the IFRS
measures as well.
Non-IFRS performance measures glossary
Measure
|
Definition
|
Loan: deposit ratio
|
Loans
and advances at amortised cost divided by deposits at amortised
cost.
|
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 pages 39 to
41.
|
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 pages 39 to
42.
|
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 22. Quoted as zero when credit impairment is a 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 20 to
21.
|
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
43.
|
Returns
Return
on average tangible equity is calculated as profit after tax
attributable to ordinary equity holders of the parent as a
proportion of average tangible equity, excluding non-controlling
and other equity interests for businesses. Allocated tangible
equity has been 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 average allocated tangible
equity represents the difference between the Group’s average
tangible shareholders’ equity and the amounts allocated to
businesses.
|
Profit/(loss) attributable to ordinary equity holders of the
parent
|
|
Average tangible equity
|
|
Return on average tangible equity
|
Nine months ended 30.09.21
|
£m
|
|
£bn
|
|
%
|
Barclays UK
|
1,336
|
|
9.9
|
|
17.9
|
Corporate and Investment Bank
|
3,469
|
|
28.2
|
|
16.4
|
Consumer, Cards and Payments
|
492
|
|
4.0
|
|
16.2
|
Barclays International
|
3,961
|
|
32.2
|
|
16.4
|
Head Office
|
(39)
|
|
5.0
|
|
n/m
|
Barclays Group
|
5,258
|
|
47.1
|
|
14.9
|
|
|
|
|
|
|
Nine months ended 30.09.20
|
|
|
|
|
|
Barclays UK
|
165
|
|
10.2
|
|
2.2
|
Corporate and Investment Bank
|
2,141
|
|
27.2
|
|
10.5
|
Consumer, Cards and Payments
|
(362)
|
|
4.6
|
|
(10.6)
|
Barclays International
|
1,779
|
|
31.8
|
|
7.5
|
Head Office
|
(638)
|
|
6.5
|
|
n/m
|
Barclays Group
|
1,306
|
|
48.5
|
|
3.6
|
|
|
|
|
|
|
|
|
Nine months ended 30.09.21
|
|
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/(loss)
|
1,336
|
3,469
|
492
|
3,961
|
(39)
|
5,258
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
Average shareholders' equity
|
13.5
|
28.2
|
4.7
|
32.9
|
8.7
|
55.1
|
Average goodwill and intangibles
|
(3.6)
|
—
|
(0.7)
|
(0.7)
|
(3.7)
|
(8.0)
|
Average tangible shareholders' equity
|
9.9
|
28.2
|
4.0
|
32.2
|
5.0
|
47.1
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
17.9%
|
16.4%
|
16.2%
|
16.4%
|
n/m
|
14.9%
|
|
Nine months ended 30.09.20
|
|
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)
|
165
|
2,141
|
(362)
|
1,779
|
(638)
|
1,306
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
£bn
|
Average shareholders' equity
|
13.7
|
27.2
|
5.2
|
32.4
|
10.5
|
56.6
|
Average goodwill and intangibles
|
(3.5)
|
—
|
(0.6)
|
(0.6)
|
(4.0)
|
(8.1)
|
Average tangible shareholders' equity
|
10.2
|
27.2
|
4.6
|
31.8
|
6.5
|
48.5
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
2.2%
|
10.5%
|
(10.6)%
|
7.5%
|
n/m
|
3.6%
|
Barclays Group
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Attributable profit
|
1,446
|
2,108
|
1,704
|
|
220
|
611
|
90
|
605
|
|
681
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average shareholders' equity
|
56.6
|
54.4
|
54.4
|
|
55.7
|
56.4
|
58.4
|
55.2
|
|
54.5
|
Average goodwill and intangibles
|
(8.2)
|
(7.9)
|
(7.9)
|
|
(8.1)
|
(8.1)
|
(8.2)
|
(8.2)
|
|
(8.1)
|
Average tangible shareholders' equity
|
48.4
|
46.5
|
46.5
|
|
47.6
|
48.3
|
50.2
|
47.0
|
|
46.4
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
11.9%
|
18.1%
|
14.7%
|
|
1.8%
|
5.1%
|
0.7%
|
5.1%
|
|
5.9%
|
Barclays UK
|
|
|
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Return on average allocated tangible equity
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Attributable profit/(loss)
|
317
|
721
|
298
|
|
160
|
113
|
(123)
|
175
|
|
438
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
13.6
|
13.5
|
13.5
|
|
13.4
|
13.7
|
13.9
|
13.7
|
|
13.8
|
Average goodwill and intangibles
|
(3.6)
|
(3.6)
|
(3.6)
|
|
(3.6)
|
(3.6)
|
(3.6)
|
(3.6)
|
|
(3.5)
|
Average allocated tangible equity
|
10.0
|
9.9
|
9.9
|
|
9.8
|
10.1
|
10.3
|
10.1
|
|
10.3
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
12.7%
|
29.1%
|
12.0%
|
|
6.5%
|
4.5%
|
(4.8)%
|
6.9%
|
|
17.0%
|
Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Return on average allocated tangible equity
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Attributable profit
|
1,263
|
1,267
|
1,431
|
|
441
|
782
|
468
|
529
|
|
397
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
32.7
|
33.0
|
32.8
|
|
31.1
|
31.2
|
34.2
|
31.9
|
|
31.9
|
Average goodwill and intangibles
|
(0.9)
|
(0.6)
|
(0.5)
|
|
(0.6)
|
(0.6)
|
(0.7)
|
(0.7)
|
|
(1.0)
|
Average allocated tangible equity
|
31.8
|
32.4
|
32.3
|
|
30.5
|
30.6
|
33.5
|
31.2
|
|
30.9
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
15.9%
|
15.6%
|
17.7%
|
|
5.8%
|
10.2%
|
5.6%
|
6.8%
|
|
5.1%
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and Investment Bank
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Return on average allocated tangible equity
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Attributable profit
|
1,157
|
1,049
|
1,263
|
|
413
|
627
|
694
|
820
|
|
193
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
27.8
|
28.4
|
28.2
|
|
26.3
|
26.4
|
29.1
|
26.2
|
|
25.9
|
Average goodwill and intangibles
|
—
|
—
|
—
|
|
—
|
—
|
(0.1)
|
—
|
|
(0.1)
|
Average allocated tangible equity
|
27.8
|
28.4
|
28.2
|
|
26.3
|
26.4
|
29.0
|
26.2
|
|
25.8
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
16.6%
|
14.8%
|
17.9%
|
|
6.3%
|
9.5%
|
9.6%
|
12.5%
|
|
3.0%
|
Consumer, Cards and Payments
|
|
|
|
|
|
|
|
|
Q321
|
Q221
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Return on average allocated tangible equity
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
Attributable profit/(loss)
|
106
|
218
|
168
|
|
28
|
155
|
(226)
|
(291)
|
|
204
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
Average allocated equity
|
4.9
|
4.6
|
4.6
|
|
4.8
|
4.8
|
5.1
|
5.7
|
|
6.0
|
Average goodwill and intangibles
|
(0.9)
|
(0.6)
|
(0.5)
|
|
(0.6)
|
(0.6)
|
(0.6)
|
(0.7)
|
|
(0.9)
|
Average allocated tangible equity
|
4.0
|
4.0
|
4.1
|
|
4.2
|
4.2
|
4.5
|
5.0
|
|
5.1
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
10.5%
|
21.8%
|
16.5%
|
|
2.7%
|
14.7%
|
(20.2)%
|
(23.5)%
|
|
15.9%
|
Tangible net asset value per share
|
As at 30.09.21
|
As at 31.12.20
|
As at 30.09.20
|
|
£m
|
£m
|
£m
|
Total equity excluding non-controlling interests
|
68,697
|
65,797
|
67,816
|
Other equity instruments
|
(12,252)
|
(11,172)
|
(12,012)
|
Goodwill and intangibles
|
(8,147)
|
(7,948)
|
(8,163)
|
Tangible shareholders' equity attributable to ordinary shareholders
of the parent
|
48,298
|
46,677
|
47,641
|
|
|
|
|
|
m
|
m
|
m
|
Shares in issue
|
16,851
|
17,359
|
17,353
|
|
|
|
|
|
p
|
p
|
p
|
Tangible net asset value per share
|
287
|
269
|
275
|
|
|
|
|
Shareholder Information
Results timetable1
|
|
|
Date
|
|
|
|
2021 Full Year Results and Annual Report
|
|
|
23 February 2022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change3
|
Exchange rates2
|
30.09.21
|
30.06.21
|
30.09.20
|
|
30.06.21
|
30.09.20
|
Period end - USD/GBP
|
1.35
|
1.38
|
1.29
|
|
(2)%
|
5%
|
YTD average - USD/GBP
|
1.39
|
1.39
|
1.27
|
|
—
|
9%
|
3 month average - USD/GBP
|
1.38
|
1.40
|
1.29
|
|
(1)%
|
7%
|
Period end - EUR/GBP
|
1.16
|
1.17
|
1.10
|
|
(1)%
|
5%
|
YTD average - EUR/GBP
|
1.16
|
1.15
|
1.13
|
|
1%
|
3%
|
3 month average - EUR/GBP
|
1.17
|
1.16
|
1.11
|
|
1%
|
5%
|
|
|
|
|
|
|
|
Share price data
|
|
|
|
|
|
|
Barclays PLC (p)
|
189.60
|
171.12
|
97.61
|
|
|
|
Barclays PLC number of shares (m)
|
16,851
|
16,998
|
17,353
|
|
|
|
|
|
|
|
|
|
|
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.
|
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.
|
Notes
The
terms Barclays or Group refer to Barclays PLC together with its
subsidiaries. Unless otherwise stated, the income statement
analysis compares the nine months ended 30 September 2021 to the
corresponding nine months of 2020 and balance sheet analysis as at
30 September 2021 with comparatives relating to 31 December 2020
and 30 September 2020. The abbreviations ‘£m’ and
‘£bn’ represent millions and thousands of millions
of Pounds Sterling respectively; the abbreviations ‘$m’
and ‘$bn’ represent millions and thousands of millions
of US Dollars respectively; and the abbreviations
‘€m’ and ‘€bn’ represent
millions and thousands of millions of Euros
respectively.
There
are a number of key judgement areas, for example impairment
calculations, which are based on models and which are subject to
ongoing adjustment and modifications. Reported numbers reflect best
estimates and judgements at the given point in time.
Relevant
terms that are used in this document but are not defined under
applicable regulatory guidance or International Financial Reporting
Standards (IFRS) are explained in the results glossary that can be
accessed at home.barclays/investor-relations/reports-and-events/latest-financial-results.
The
information in this announcement, which was approved by the Board
of Directors on 20 October 2021, does not comprise statutory
accounts within the meaning of Section 434 of the Companies Act
2006. Statutory accounts for the year ended 31 December 2020, which
contained an unmodified audit report under Section 495 of the
Companies Act 2006 (which did not make any statements under Section
498 of the Companies Act 2006) have been delivered to the Registrar
of Companies in accordance with Section 441 of the Companies Act
2006.
These results will be furnished as a Form 6-K to the US Securities
and Exchange Commission (SEC) as soon as practicable following
their publication. Once furnished with the SEC, a copy of the Form
6-K will be available from the SEC’s website at
www.sec.gov.
Barclays
is a frequent issuer in the debt capital markets and regularly
meets with investors via formal road-shows and other ad hoc
meetings. Consistent with its usual practice, Barclays expects that
from time to time over the coming quarter it will meet with
investors globally to discuss these results and other matters
relating to the Group.
Non-IFRS performance measures
Barclays’
management believes that the non-IFRS performance measures included
in this document provide valuable information to the readers of the
financial statements as they enable the reader to identify a more
consistent basis for comparing the businesses’ performance
between financial periods and provide more detail concerning the
elements of performance which the managers of these businesses are
most directly able to influence or are relevant for an assessment
of the Group. They also reflect an important aspect of the way in
which operating targets are defined and performance is monitored by
Barclays’ management. However, any non-IFRS performance
measures in this document are not a substitute for IFRS measures
and readers should consider the IFRS measures as well. Refer to the
appendix on pages 38 to 43 for further information and calculations
of non-IFRS performance measures included throughout this document,
and the most directly comparable IFRS measures.
Forward-looking statements
This
document contains certain forward-looking statements within the
meaning of Section 21E of the US Securities Exchange Act of 1934,
as amended, and Section 27A of the US Securities Act of 1933, as
amended, with respect to the Group. Barclays cautions readers that
no forward-looking statement is a guarantee of future performance
and that actual results or other financial condition or performance
measures could differ materially from those contained in the
forward-looking statements. These forward-looking statements can be
identified by the fact that they do not relate only to historical
or current facts. Forward-looking statements sometimes use words
such as ‘may’, ‘will’, ‘seek’,
‘continue’, ‘aim’,
‘anticipate’, ‘target’,
‘projected’, ‘expect’,
‘estimate’, ‘intend’, ‘plan’,
‘goal’, ‘believe’, ‘achieve’ or
other words of similar meaning. Forward-looking statements can be
made in writing but also may be made verbally by members of the
management of the Group (including, without limitation, during
management presentations to financial analysts) in connection with
this document. Examples of forward-looking statements include,
among others, statements or guidance regarding or relating to the
Group’s future financial position, income growth, assets,
impairment charges, provisions, business strategy, capital,
leverage and other regulatory ratios, capital distributions
(including dividend pay-out ratios and expected payment
strategies), projected levels of growth in the banking and
financial markets, projected costs or savings, any commitments and
targets, estimates of capital expenditures, plans and objectives
for future operations, projected employee numbers, IFRS impacts and
other statements that are not historical fact. By their nature,
forward-looking statements involve risk and uncertainty because
they relate to future events and circumstances. The forward-looking
statements speak only as at the date on which they are made.
Forward-looking statements may be affected by changes in
legislation, the development of standards and interpretations under
IFRS, including evolving practices with regard to the
interpretation and application of accounting and regulatory
standards, the outcome of current and future legal proceedings and
regulatory investigations, future levels of conduct provisions, the
policies and actions of governmental and regulatory authorities,
the Group’s ability along with governments and other
stakeholders to measure, manage and mitigate the impacts of climate
change effectively, geopolitical risks and the impact of
competition. In addition, factors including (but not limited to)
the following may have an effect: capital, leverage and other
regulatory rules applicable to past, current and future periods;
UK, US, Eurozone and global macroeconomic and business conditions;
the effects of any volatility in credit markets; market related
risks such as changes in interest rates and foreign exchange rates;
effects of changes in valuation of credit market exposures; changes
in valuation of issued securities; volatility in capital markets;
changes in credit ratings of any entity within the Group or any
securities issued by such entities; direct and indirect impacts of
the coronavirus (COVID-19) pandemic; instability as a result of the
UK’s exit from the European Union (“EU”), the
effects of the EU-UK Trade and Cooperation Agreement and the
disruption that may subsequently result in the UK and globally; the
risk of cyber-attacks, information or security breaches or
technology failures on the Group’s reputation, business or
operations; and the success of future acquisitions, disposals and
other strategic transactions. A number of these influences and
factors are beyond the Group’s control. As a result, the
Group’s actual financial position, future results, capital
distributions, capital, leverage or other regulatory ratios or
other financial and non-financial metrics or performance measures
may differ materially from the statements or guidance set forth in
the Group’s forward-looking statements. Additional risks and
factors which may impact the Group’s future financial
condition and performance are identified in Barclays PLC’s
filings with the SEC (including, without limitation, Barclays
PLC’s Annual Report on Form 20-F for the fiscal year ended 31
December 2020 and Interim Results Announcement for the six months
ended 30 June 2021 filed on Form 6-K), which are available on the
SEC’s website at www.sec.gov.
Subject
to Barclays’ obligations under the applicable laws and
regulations of any relevant jurisdiction, (including, without
limitation, the UK and the US), in relation to disclosure and
ongoing information, we undertake no obligation to update publicly
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise.