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:
April 30, 2021
|
By:
/s/ Karen
Rowe
--------------------------------
|
|
Karen
Rowe
|
|
Assistant
Secretary
|
Barclays PLC
Q1 2021 Results Announcement
31
March 2021
Performance Highlights
Barclays continues to benefit from its diversified business model,
whilst supporting the economy through the COVID-19
pandemic
Barclays delivered a record quarterly Group profit before tax in
Q121 of £2.4bn1 (Q120: £0.9bn),
attributable profit of £1.7bn (Q120: £0.6bn), a return on
tangible equity (RoTE) of 14.7% (Q120: 5.1%) and earnings per share
(EPS) of 9.9p (Q120: 3.5p)
Income
Diversified
income streams with strong CIB income partially offsetting
challenges in Barclays
UK and
CC&P
|
Group income of £5.9bn down 6% versus prior year
|
●
|
Barclays International income of £4.4bn, down 5% versus prior
year
|
|
-
|
Corporate and Investment Bank (CIB) income of £3.6bn, down
1% with Equities and Banking up 65% and 35% respectively,
whilst FICC was down 35% versus a very strong Q120
comparative
|
|
-
|
Consumer, Cards and Payments (CC&P) income of £0.8bn, down
22% due to lower cards balances and reduced payments
activity
|
●
|
Barclays UK income of £1.6bn, down 8% versus prior year
reflecting deposit margin compression from lower interest rates and
lower interest earning lending (IEL) balances, partially offset by
strong mortgages performance with record quarterly organic net
asset growth of £3.6bn to £151.9bn
|
Credit impairment charges
Reduced
impairment as underlying asset quality metrics remained
benign
|
Group credit impairment charges decreased significantly to
£0.1bn (Q120: £2.1bn)
|
●
|
The low
credit impairment charge was driven by reduced unsecured lending
balances, no material single name wholesale loan charges and
limited portfolio deterioration
|
●
|
Total
balance sheet impairment allowance of £8.8bn (FY20:
£9.4bn), resulting in broadly stable coverage ratios for
unsecured consumer lending and wholesale portfolios of 12.2% (FY20:
12.3%) and 1.4% (FY20: 1.5%) respectively
|
Costs
Cost:
income ratio of 61%
|
Group total operating expenses of £3.6bn up 10% versus prior
year
|
●
|
Total
operating expenses include higher variable compensation accruals
reflective of improved returns and continued investment in
businesses, partially offset by foreign exchange movements and
efficiency savings, resulting in a cost: income ratio of 61% (Q120:
52%). COVID-19 related expenses continued in Q121
|
Capital / capital distributions
Strong
capital position and completed share buyback
|
Common equity tier 1 (CET1) ratio of 14.6% down 50bps versus
FY20
|
●
|
The
decrease reflects profit before tax more than offset by reversal of
certain regulatory forbearance measures applied through 2020, the
impact of the share buyback announced with FY20 results, a dividend
accrual, and an increase in Risk Weighted Assets (RWAs),
principally in the CIB
|
●
|
In
April, completed £0.7bn share buyback announced with FY20
results
|
1
|
Since
Q308 which included material adjusting
items.
|
Group outlook and targets
Outlook
Remains
uncertain and subject to change depending on the evolution and
persistence of the COVID-19 pandemic
|
Returns
|
●
|
Barclays
expects to deliver meaningful year-on-year RoTE improvement in
2021
|
|
Income
|
●
|
Headwinds
to income in Barclays UK are expected to persist in 2021, driven by
the subdued demand for unsecured lending and the low interest rate
environment, partially offset by the recent steepening of the yield
curve
|
●
|
Within
Barclays International, the CIB franchise remains well positioned
for the future; CC&P income outlook remains uncertain, despite
early signs of an anticipated spending recovery in the US and UK,
with US cards balances expected to start to recover later in the
year
|
|
Impairment
|
●
|
Barclays
expects that the full year 2021 impairment charge will be
materially below that of 2020 reflecting delinquency experience and
an improved economic outlook during the latter part of Q121. If
these conditions persist, Barclays would expect to reduce the
impairment provision level
|
|
Costs
|
●
|
Barclays
expects full year 2021 costs to be above 2020, reflecting
investment in the Group’s franchises for future returns
including higher variable compensation and further structural cost
actions, with a real estate review expected to be concluded in the
coming months. COVID-19 related expenses are also expected to
remain in 2021
|
|
Capital
|
●
|
Barclays
remains in a strong capital position, although certain headwinds
are likely in 2021, including the expected reversal of software
amortisation benefit applied in 2020 and scheduled pension deficit
reduction contributions
|
Targets
|
Barclays
continues to target the following over the medium
term:
|
●
|
Returns:
RoTE of greater than 10% over time
|
●
|
Cost
efficiency: Cost: income ratio below 60% over time
|
●
|
Capital
adequacy: CET1 ratio in the range of 13-14%
|
Barclays Group results
|
|
for the three months ended
|
31.03.21
|
31.03.20
|
|
|
£m
|
£m
|
% Change
|
Net interest income
|
1,851
|
2,331
|
(21)
|
Net fee, commission and other income
|
4,049
|
3,952
|
2
|
Total income
|
5,900
|
6,283
|
(6)
|
Credit impairment charges
|
(55)
|
(2,115)
|
97
|
Net operating income
|
5,845
|
4,168
|
40
|
Operating expenses
|
(3,545)
|
(3,253)
|
(9)
|
Litigation and conduct
|
(33)
|
(10)
|
|
Total operating expenses
|
(3,578)
|
(3,263)
|
(10)
|
Other net income
|
132
|
8
|
|
Profit before tax
|
2,399
|
913
|
|
Tax charge
|
(496)
|
(71)
|
|
Profit after tax
|
1,903
|
842
|
|
Non-controlling interests
|
(4)
|
(16)
|
75
|
Other equity instrument holders
|
(195)
|
(221)
|
12
|
Attributable profit
|
1,704
|
605
|
|
|
|
|
|
Performance measures
|
|
|
|
Return on average tangible shareholders' equity
|
14.7%
|
5.1%
|
|
Average tangible shareholders' equity (£bn)
|
46.5
|
47.0
|
|
Cost: income ratio
|
61%
|
52%
|
|
Loan loss rate (bps)
|
6
|
223
|
|
Basic earnings per share
|
9.9p
|
3.5p
|
|
|
|
|
|
|
As at 31.03.21
|
As at 31.12.20
|
As at 31.03.20
|
Balance sheet and capital
management1
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
345.8
|
342.6
|
374.1
|
Loans and advances at amortised cost impairment coverage
ratio
|
2.2%
|
2.4%
|
2.1%
|
Deposits at amortised cost
|
498.8
|
481.0
|
470.7
|
Tangible net asset value per share
|
267p
|
269p
|
284p
|
Common equity tier 1 ratio
|
14.6%
|
15.1%
|
13.1%
|
Common equity tier 1 capital
|
45.9
|
46.3
|
42.5
|
Risk weighted assets
|
313.4
|
306.2
|
325.6
|
Average UK leverage ratio
|
4.9%
|
5.0%
|
4.5%
|
UK leverage ratio
|
5.0%
|
5.3%
|
4.5%
|
|
|
|
|
Funding and liquidity
|
|
|
|
Group liquidity pool (£bn)
|
290
|
266
|
237
|
Liquidity coverage ratio
|
161%
|
162%
|
155%
|
Loan: deposit ratio
|
69%
|
71%
|
79%
|
1
|
Refer to pages 21 to 26 for further
information on how capital, RWAs and leverage are
calculated.
|
Group Chief Executive Officer’s Review
“Since the early days of the pandemic last year, our
diversified business has demonstrated the resilience critical to
ensuring Barclays’ financial integrity. It gives us the
capacity to step up for our customers, clients, colleagues and
communities when they need our support the most, and deliver for
our shareholders by staying profitable in every
quarter.
Our diversification continued to drive a strong performance,
delivering a Group RoTE of 14.7% in the first quarter of 2021.
Group profit before tax increased to £2.4bn, contributing
towards EPS of 9.9 pence.
As was the case throughout 2020, within Barclays International,
performance in the CIB was strong this quarter, achieving a RoTE of
17.9% on income of £3.6bn, just 1% down from our Q1 income
performance last year, which was a very strong
comparative.
It also partially offset challenges in our consumer businesses that
have been impacted by lower spend and activity levels as a result
of the pandemic. Barclays UK generated income of £1.6bn in the
quarter with lower impairment charges resulting in a RoTE of 12.0%.
Strong demand in mortgages and record completions drove organic net
asset growth of £3.6bn which was our best ever single quarter.
Our CC&P business generated an income of £805m and
delivered a RoTE of 16.5%.
As we enter the next phase of this pandemic, we remain resolute in
our commitment to support the economic recovery. From our spend
data, which captures UK economic activity across our cards and
acquiring businesses, we are already seeing encouraging early signs
of recovery in some sectors, including those hit hardest by the
crisis.
While momentum in the consumer businesses, particularly card
balances, will take time to build, Barclays secured significant new
growth opportunities in Q1.
We negotiated a new, long-term agreement to issue Gap’s
co-branded and private label credit card programme in the US from
May 2022.
Following the launch of our point-of-sale finance partnership with
Amazon in Germany last year, we have agreed to extend our Amazon
partnership to the UK, a significant expansion of our franchise in
Europe’s two largest consumer markets. Alongside existing
partnerships including with Apple in the UK, it demonstrates the
strength and potential of our consumer platform.
More broadly across payments, we expect to realise around
£900m of income growth opportunity over the coming three
years.
While evidence of recovery is encouraging, we have continued to
take a cautious view of the impact of the pandemic on the business.
We remain disciplined on costs, with a cost to income ratio of 61%
this quarter. Our capital position remains well above target with a
CET1 ratio of 14.6% and we completed our £700m buyback this
month. We will give further guidance on distributions when
appropriate.
With
a strong balance sheet and diversified business, Barclays remains
well-positioned to support the economy and deliver for our
shareholders.”
James E Staley, Group Chief Executive Officer
Group Finance Director’s Review
Q121
performance continued to be impacted by the COVID-19 pandemic. For
comparability purposes below, Q120 income in the consumer
businesses was largely unaffected by the onset of the pandemic,
while our Markets business in the CIB benefitted from increased
client activity and volatility towards the end of Q120, resulting
in a very strong comparative. Impairment charges were elevated in
Q120, reflecting the outlook for the macroeconomic environment at
the time.
Group performance
●
|
RoTE
was 14.7% (Q120: 5.1%) and EPS was 9.9p (Q120: 3.5p)
|
●
|
Profit
before tax was £2,399m (Q120: £913m) and attributable
profit was £1,704m (Q120: £605m). The 8% depreciation of
average USD against GBP adversely impacted income and profits and
positively impacted credit impairment charges and total operating
expenses
|
●
|
Pre-provision
profits of £2,454m (Q120: £3,028m) was driven by
headwinds in Barclays UK and CC&P, but the Group continues to
benefit from its diversified business model, which included a
strong performance in CIB
|
●
|
Total
income decreased to £5,900m (Q120: £6,283m). Barclays UK
income decreased 8%. Barclays International income decreased 5%,
with CIB income down 1% and CC&P income down 22%
|
●
|
Credit
impairment charges were £55m (Q120: £2,115m). The low
credit impairment charge was driven by reduced unsecured lending
balances, no material single name wholesale loan charges and
limited portfolio deterioration. The reduction in unsecured lending
balances and growth in secured balances resulted in a slight
decrease in the Group’s loans and advances at amortised cost
impairment coverage ratio to 2.2% (December 2020: 2.4%) with
underlying portfolio ratios broadly stable. Management adjustments
to models for impairment have been maintained at £1.2bn
(December 2020: £1.4bn), including the economic uncertainty
provisions relating to the COVID-19 pandemic that were recognised
over the course of 2020
|
●
|
Total
operating expenses increased 10% to £3,578m, due to higher
variable compensation accruals that reflect improvement in returns
and continued investment in businesses, partially offset by
efficiency savings, resulting in a cost: income ratio of 61% (Q120:
52%). COVID-19 related expenses continued in Q121
|
●
|
The
effective tax rate was 20.7% (Q120: 7.8%). The effective tax rate
for Q121 was higher than Q120 which reflected the tax benefit
recognised for the re-measurement of UK deferred tax assets as a
result of the UK corporation tax rate being maintained at
19%
|
●
|
Total
assets increased to £1,380bn (December 2020: £1,350bn)
primarily due to a £26bn increase in financial assets at fair
value due to an increase in secured lending, a £30bn increase
in cash deposits and settlement balances, partially offset by a
£32bn decrease in derivative assets driven by an increase in
major interest rate curves
|
●
|
Tangible
net asset value (TNAV) per share decreased to 267p (December 2020:
269p) primarily reflecting negative reserve movements, partially
offset by 9.9p of EPS
|
Barclays UK
●
|
Profit
before tax increased 136% to £460m. RoTE was 12.0% (Q120:
6.9%) reflecting materially lower credit impairment charges,
partially offset by lower income
|
●
|
Total
income decreased 8% to £1,576m. Net interest income reduced 9%
to £1,281m with a net interest margin (NIM) of 2.54% (Q120:
2.91%). Net fee, commission and other income increased 1% to
£295m
|
|
-
|
Personal
Banking income decreased 5% to £923m, reflecting deposit
margin compression from lower interest rates and lower unsecured
lending balances, partially offset by balance growth in deposits
and mortgages
|
|
-
|
Barclaycard
Consumer UK income decreased 28% to £315m as reduced borrowing
and spend levels by customers resulted in a lower level of IEL
balances
|
|
-
|
Business
Banking income increased 13% to £338m due to lending and
deposit balance growth from continued support for small and
medium-sized enterprises (SMEs) through £11.8bn of government
scheme lending to date, partially offset by deposit margin
compression from lower interest rates and lower transactional fee
volumes
|
●
|
Credit
impairment charges decreased to £77m (Q120: £481m) from
reduced unsecured portfolio exposures in part driven by lockdown
measures. As at 31 March 2021, 30 and 90 day arrears rates in UK
cards were 1.6% (Q120: 1.8%) and 0.8% (Q120: 0.8%)
respectively
|
●
|
Total
operating expenses increased 1% to £1,039m reflecting higher
servicing and financial assistance costs, offset by efficiency
savings
|
●
|
Loans
and advances to customers at amortised cost remained stable at
£205.7bn (December 2020: £205.4bn) predominantly from
£3.6bn of mortgage growth following continued strong demand,
offset by a £2.1bn decrease in the Education, Social Housing
and Local Authority (ESHLA) portfolio and £1.6bn lower
unsecured lending balances
|
●
|
Customer
deposits at amortised cost increased 3% to £247.5bn reflecting
an increase of £6.3bn in Personal Banking, further
strengthening the liquidity position and contributing to a loan:
deposit ratio of 88% (December 2020: 89%)
|
●
|
RWAs
decreased to £72.7bn (December 2020: £73.7bn) driven by a
reduction in unsecured lending and ESHLA, partially offset by
growth in mortgages
|
Barclays International
●
|
Profit
before tax increased 140% to £1,971m with a RoTE of 17.7%
(Q120: 6.8%), reflecting a RoTE of 17.9% (Q120: 12.5%) in CIB and
16.5% (Q120: (23.5)%) in CC&P
|
●
|
The 8%
depreciation of average USD against GBP adversely impacted income
and profits and positively impacted credit impairment charges and
total operating expenses
|
●
|
Total
income decreased to £4,399m (Q120: £4,644m)
|
|
-
|
CIB
income decreased 1% to £3,594m
|
|
|
-
|
Markets
income decreased 12% to £2,136m as Equities reported the best
ever quarter on a comparable basis1, offset by FICC.
Equities income increased 65% to £932m driven by derivatives,
reflecting strong client activity, and financing through increased
client balances. Within FICC, income decreased 35% to £1,204m
as a strong performance in credit was more than offset by a decline
in macro due to tighter spreads and the non-recurrence of Q120
client activity levels
|
|
|
-
|
Banking
had the best ever quarter on a comparable basis1, with income up 35%
to £859m driven by a strong performance in equity capital
markets reflecting an
increase in the fee pool2
|
|
|
-
|
Within
Corporate, Transaction banking income decreased 12% to £393m
as deposit balance growth was more than offset by margin
compression. Corporate lending income increased by 86% to
£206m driven by the non- recurrence of losses on the
mark-to-market of lending and related hedge positions
|
|
-
|
CC&P
income decreased 22% to £805m reflecting lower cards balances
and reduced payments activity
|
●
|
Credit
impairment charges decreased to a £22m release (Q120:
£1,609m charge)
|
|
-
|
CIB
credit impairment charge was a £43m release (Q120: £724m
charge) due to no material single name wholesale loan charges and
lower exposures
|
|
-
|
CC&P
credit impairment charges were £21m (Q120: £885m)
reflecting lower unsecured lending balances, particularly in US
cards. As at 31 March 2021, 30 and 90 day arrears in US cards were
2.1% (Q120: 2.7%) and 1.2% (Q120: 1.5%) respectively
|
●
|
Total
operating expenses increased 11% to £2,459m
|
|
-
|
CIB
total operating expenses increased 12% to £1,887m due to
higher variable compensation accruals that reflect improvement in
returns, partly offset by cost efficiencies and discipline in the
current environment
|
|
-
|
CC&P
total operating expenses increased 8% to £572m driven by the
impact of higher investment spend and customer remediation
costs
|
●
|
RWAs
increased to £230.0bn (December 2020: £222.3bn) primarily
due to increased client and trading activity within CIB, partially
offset by lower CC&P balances
|
Head Office
●
|
Loss
before tax was £32m (Q120: £104m)
|
●
|
Total
income was an expense of £75m (Q120: £65m), which
primarily reflected hedge accounting, treasury items and funding
costs on legacy capital instruments
|
●
|
Total
operating expenses increased to £80m (Q120: £16m)
primarily due to the non-recurrence of a provision release in Q120,
related to the previous sale of a Non-Core portfolio
|
●
|
Other
net income was £123m (Q120: £2m) driven by a fair value
gain in Barclays’ associate investment holding in the
Business Growth Fund (BGF)
|
1
|
Period covering
Q114 – Q121. Pre 2014 financials were not restated following
re-segmentation in Q116.
|
2
|
Data source:
Dealogic for the period covering 1 January to 31 March
2021.
|
Group capital and leverage
●
|
The
CET1 ratio decreased to 14.6% (December 2020: 15.1%)
|
|
-
|
CET1
capital decreased by £0.4bn to £45.9bn as profit before
tax of £2.4bn was more than offset by the removal of temporary
regulatory supporting measures introduced in 2020, the £0.7bn
share buyback announced with FY20 results and decreases in other
qualifying reserves. The additional value adjustments (PVA)
deduction increased by £0.4bn reflecting the removal of
increased diversification factors and IFRS 9 transitional relief
decreased by £0.3bn primarily due to the relief on the
pre-2020 impairment charge reducing from 70% to 50% in 2021. The
deduction for dividends paid and foreseen increased by £1.0bn
including the £0.7bn share buyback and a £0.1bn accrual
towards FY21 dividends
|
|
-
|
RWAs
increased by £7.2bn to £313.4bn primarily due to
increased client and trading activity within CIB, 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 £28bn to
£1,175bn (December 2020: £1,147bn) largely driven by an
increase in securities financing transactions (SFTs)
|
Group funding and liquidity
●
|
The
liquidity pool was £290bn (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 continued deposit growth, Term Funding
Scheme with additional incentives for SMEs drawings and a seasonal
increase in short-term wholesale funding, which were partly offset
by a seasonal increase in business funding consumption
|
●
|
Wholesale
funding outstanding, excluding repurchase agreements, was
£157.8.bn (December 2020: £145.0bn). The Group issued
£2.7bn 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
|
Other matters
●
|
In its
Budget held in March 2021, the UK Government announced that the UK
rate of corporation tax will increase from 19% to 25% from 1 April
2023 and that it will undertake a review of the additional 8%
banking surcharge during 2021. The Budget Report issued on 3 March
2021 outlines that “the government will set out how it
intends to ensure that the combined rate of tax on banks’
profits does not increase substantially from its current
level”. The Group’s effective tax rate for FY21 may
include a tax benefit for the re-measurement of UK deferred tax
assets upon substantive enactment of the increase in the rate of UK
corporation tax which is expected later in 2021. Any subsequent
reduction in the banking surcharge arising from the
Government’s review may result in a tax charge upon enactment
as UK deferred tax assets are again re-measured, the timing of
which is uncertain but is expected to occur in 2022
|
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. Going forward, Barclays intends to pay a
progressive ordinary dividend, taking into account these objectives
and the earnings outlook of the Group. It is also the Board’s
intention to continue to supplement the ordinary dividends with
additional cash returns, including share buybacks, to shareholders
as and when appropriate
|
●
|
For
regulatory capital purposes, Barclays has accrued an ordinary
dividend in Q121 of 0.75p based on a 3p dividend for the full year.
This regulatory accrual should not be used as a forecast of future
capital distributions. The Board will assess the appropriate level
and form of capital distributions as the year
progresses
|
Tushar Morzaria, Group Finance Director
Quarterly Results Summary
Barclays Group
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Income statement information
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Net interest income
|
1,851
|
|
1,845
|
2,055
|
1,892
|
2,331
|
|
2,344
|
2,445
|
2,360
|
Net fee, commission and other income
|
4,049
|
|
3,096
|
3,149
|
3,446
|
3,952
|
|
2,957
|
3,096
|
3,178
|
Total income
|
5,900
|
|
4,941
|
5,204
|
5,338
|
6,283
|
|
5,301
|
5,541
|
5,538
|
Credit impairment charges
|
(55)
|
|
(492)
|
(608)
|
(1,623)
|
(2,115)
|
|
(523)
|
(461)
|
(480)
|
Net operating income
|
5,845
|
|
4,449
|
4,596
|
3,715
|
4,168
|
|
4,778
|
5,080
|
5,058
|
Operating costs
|
(3,545)
|
|
(3,480)
|
(3,391)
|
(3,310)
|
(3,253)
|
|
(3,308)
|
(3,293)
|
(3,501)
|
UK bank levy
|
-
|
|
(299)
|
-
|
-
|
-
|
|
(226)
|
-
|
-
|
Litigation and conduct
|
(33)
|
|
(47)
|
(76)
|
(20)
|
(10)
|
|
(167)
|
(1,568)
|
(53)
|
Total operating expenses
|
(3,578)
|
|
(3,826)
|
(3,467)
|
(3,330)
|
(3,263)
|
|
(3,701)
|
(4,861)
|
(3,554)
|
Other net income/(expenses)
|
132
|
|
23
|
18
|
(26)
|
8
|
|
20
|
27
|
27
|
Profit before tax
|
2,399
|
|
646
|
1,147
|
359
|
913
|
|
1,097
|
246
|
1,531
|
Tax charge
|
(496)
|
|
(163)
|
(328)
|
(42)
|
(71)
|
|
(189)
|
(269)
|
(297)
|
Profit/(loss) after tax
|
1,903
|
|
483
|
819
|
317
|
842
|
|
908
|
(23)
|
1,234
|
Non-controlling interests
|
(4)
|
|
(37)
|
(4)
|
(21)
|
(16)
|
|
(42)
|
(4)
|
(17)
|
Other equity instrument holders
|
(195)
|
|
(226)
|
(204)
|
(206)
|
(221)
|
|
(185)
|
(265)
|
(183)
|
Attributable profit/(loss)
|
1,704
|
|
220
|
611
|
90
|
605
|
|
681
|
(292)
|
1,034
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
14.7%
|
|
1.8%
|
5.1%
|
0.7%
|
5.1%
|
|
5.9%
|
(2.4%)
|
9.0%
|
Average tangible shareholders' equity (£bn)
|
46.5
|
|
47.6
|
48.3
|
50.2
|
47.0
|
|
46.4
|
48.4
|
46.2
|
Cost: income ratio
|
61%
|
|
77%
|
67%
|
62%
|
52%
|
|
70%
|
88%
|
64%
|
Loan loss rate (bps)
|
6
|
|
56
|
69
|
179
|
223
|
|
60
|
52
|
56
|
Basic earnings/(loss) per share
|
9.9p
|
|
1.3p
|
3.5p
|
0.5p
|
3.5p
|
|
3.9p
|
(1.7p)
|
6.0p
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet and capital
management1
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
345.8
|
|
342.6
|
344.4
|
354.9
|
374.1
|
|
339.1
|
345.1
|
339.3
|
Loans and advances at amortised cost impairment coverage
ratio
|
2.2%
|
|
2.4%
|
2.5%
|
2.5%
|
2.1%
|
|
1.8%
|
1.9%
|
1.9%
|
Total assets
|
1,379.7
|
|
1,349.5
|
1,421.7
|
1,385.1
|
1,444.3
|
|
1,140.2
|
1,290.4
|
1,232.8
|
Deposits at amortised cost
|
498.8
|
|
481.0
|
494.6
|
466.9
|
470.7
|
|
415.8
|
420.6
|
413.6
|
Tangible net asset value per share
|
267p
|
|
269p
|
275p
|
284p
|
284p
|
|
262p
|
274p
|
275p
|
Common equity tier 1 ratio
|
14.6%
|
|
15.1%
|
14.6%
|
14.2%
|
13.1%
|
|
13.8%
|
13.4%
|
13.4%
|
Common equity tier 1 capital
|
45.9
|
|
46.3
|
45.5
|
45.4
|
42.5
|
|
40.8
|
41.9
|
42.9
|
Risk weighted assets
|
313.4
|
|
306.2
|
310.7
|
319.0
|
325.6
|
|
295.1
|
313.3
|
319.1
|
Average UK leverage ratio
|
4.9%
|
|
5.0%
|
5.1%
|
4.7%
|
4.5%
|
|
4.5%
|
4.6%
|
4.7%
|
Average UK leverage exposure
|
1,174.9
|
|
1,146.9
|
1,111.1
|
1,148.7
|
1,176.2
|
|
1,142.8
|
1,171.2
|
1,134.6
|
UK leverage ratio
|
5.0%
|
|
5.3%
|
5.2%
|
5.2%
|
4.5%
|
|
5.1%
|
4.8%
|
5.1%
|
UK leverage exposure
|
1,145.4
|
|
1,090.9
|
1,095.1
|
1,071.1
|
1,178.7
|
|
1,007.7
|
1,099.8
|
1,079.4
|
|
|
|
|
|
|
|
|
|
|
|
Funding and liquidity
|
|
|
|
|
|
|
|
|
|
|
Group liquidity pool (£bn)
|
290
|
|
266
|
327
|
298
|
237
|
|
211
|
226
|
238
|
Liquidity coverage ratio
|
161%
|
|
162%
|
181%
|
186%
|
155%
|
|
160%
|
151%
|
156%
|
Loan: deposit ratio
|
69%
|
|
71%
|
70%
|
76%
|
79%
|
|
82%
|
82%
|
82%
|
1
|
Refer to pages
21 to 26 for further information on how capital, RWAs and leverage
are calculated.
|
Quarterly Results by Business
Barclays UK
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Income statement information
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Net interest income
|
1,281
|
|
1,317
|
1,280
|
1,225
|
1,412
|
|
1,478
|
1,503
|
1,438
|
Net fee, commission and other income
|
295
|
|
309
|
270
|
242
|
292
|
|
481
|
343
|
333
|
Total income
|
1,576
|
|
1,626
|
1,550
|
1,467
|
1,704
|
|
1,959
|
1,846
|
1,771
|
Credit impairment charges
|
(77)
|
|
(170)
|
(233)
|
(583)
|
(481)
|
|
(190)
|
(101)
|
(230)
|
Net operating income
|
1,499
|
|
1,456
|
1,317
|
884
|
1,223
|
|
1,769
|
1,745
|
1,541
|
Operating costs
|
(1,036)
|
|
(1,134)
|
(1,095)
|
(1,018)
|
(1,023)
|
|
(1,023)
|
(952)
|
(1,022)
|
UK bank levy
|
-
|
|
(50)
|
-
|
-
|
-
|
|
(41)
|
-
|
-
|
Litigation and conduct
|
(3)
|
|
4
|
(25)
|
(6)
|
(5)
|
|
(58)
|
(1,480)
|
(41)
|
Total operating expenses
|
(1,039)
|
|
(1,180)
|
(1,120)
|
(1,024)
|
(1,028)
|
|
(1,122)
|
(2,432)
|
(1,063)
|
Other net income/(expenses)
|
-
|
|
6
|
(1)
|
13
|
-
|
|
-
|
-
|
(1)
|
Profit/(loss) before tax
|
460
|
|
282
|
196
|
(127)
|
195
|
|
647
|
(687)
|
477
|
Attributable profit/(loss)
|
298
|
|
160
|
113
|
(123)
|
175
|
|
438
|
(907)
|
328
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Loans and advances to customers at amortised cost
|
205.7
|
|
205.4
|
203.9
|
202.0
|
195.7
|
|
193.7
|
193.2
|
189.1
|
Total assets
|
309.1
|
|
289.1
|
294.5
|
287.6
|
267.5
|
|
257.8
|
257.9
|
259.0
|
Customer deposits at amortised cost
|
247.5
|
|
240.5
|
232.0
|
225.7
|
207.5
|
|
205.5
|
203.3
|
200.9
|
Loan: deposit ratio
|
88%
|
|
89%
|
91%
|
92%
|
96%
|
|
96%
|
97%
|
97%
|
Risk weighted assets
|
72.7
|
|
73.7
|
76.2
|
77.9
|
77.7
|
|
74.9
|
76.8
|
76.2
|
Period end allocated tangible equity
|
10.0
|
|
9.7
|
10.0
|
10.3
|
10.3
|
|
10.3
|
10.4
|
10.3
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
12.0%
|
|
6.5%
|
4.5%
|
(4.8%)
|
6.9%
|
|
17.0%
|
(34.9%)
|
12.7%
|
Average allocated tangible equity (£bn)
|
9.9
|
|
9.8
|
10.1
|
10.3
|
10.1
|
|
10.3
|
10.4
|
10.3
|
Cost: income ratio
|
66%
|
|
73%
|
72%
|
70%
|
60%
|
|
57%
|
132%
|
60%
|
Loan loss rate (bps)
|
14
|
|
31
|
43
|
111
|
96
|
|
38
|
20
|
47
|
Net interest margin
|
2.54%
|
|
2.56%
|
2.51%
|
2.48%
|
2.91%
|
|
3.03%
|
3.10%
|
3.05%
|
Analysis of Barclays UK
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Analysis of total income
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Personal Banking
|
923
|
|
895
|
833
|
826
|
968
|
|
1,064
|
1,035
|
946
|
Barclaycard Consumer UK
|
315
|
|
354
|
362
|
367
|
436
|
|
533
|
472
|
497
|
Business Banking
|
338
|
|
377
|
355
|
274
|
300
|
|
362
|
339
|
328
|
Total income
|
1,576
|
|
1,626
|
1,550
|
1,467
|
1,704
|
|
1,959
|
1,846
|
1,771
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of credit impairment charges
|
|
|
|
|
|
|
|
|
|
|
Personal Banking
|
(22)
|
|
(68)
|
(48)
|
(130)
|
(134)
|
|
(71)
|
(36)
|
(36)
|
Barclaycard Consumer UK
|
(36)
|
|
(78)
|
(106)
|
(396)
|
(301)
|
|
(108)
|
(49)
|
(175)
|
Business Banking
|
(19)
|
|
(24)
|
(79)
|
(57)
|
(46)
|
|
(11)
|
(16)
|
(19)
|
Total credit impairment charges
|
(77)
|
|
(170)
|
(233)
|
(583)
|
(481)
|
|
(190)
|
(101)
|
(230)
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of loans and advances to customers at amortised
cost
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Personal Banking
|
160.4
|
|
157.3
|
155.7
|
154.9
|
153.4
|
|
151.9
|
150.1
|
147.3
|
Barclaycard Consumer UK
|
8.7
|
|
9.9
|
10.7
|
11.5
|
13.6
|
|
14.7
|
14.9
|
15.1
|
Business Banking
|
36.6
|
|
38.2
|
37.5
|
35.6
|
28.7
|
|
27.1
|
28.2
|
26.7
|
Total loans and advances to customers at amortised
cost
|
205.7
|
|
205.4
|
203.9
|
202.0
|
195.7
|
|
193.7
|
193.2
|
189.1
|
|
|
|
|
|
|
|
|
|
|
|
Analysis of customer deposits at amortised cost
|
|
|
|
|
|
|
|
|
|
|
Personal Banking
|
186.0
|
|
179.7
|
173.2
|
169.6
|
161.4
|
|
159.2
|
157.9
|
156.3
|
Barclaycard Consumer UK
|
0.1
|
|
0.1
|
0.1
|
0.1
|
-
|
|
-
|
-
|
-
|
Business Banking
|
61.4
|
|
60.7
|
58.7
|
56.0
|
46.1
|
|
46.3
|
45.4
|
44.6
|
Total customer deposits at amortised cost
|
247.5
|
|
240.5
|
232.0
|
225.7
|
207.5
|
|
205.5
|
203.3
|
200.9
|
Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Income statement information
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Net interest income
|
748
|
|
614
|
823
|
847
|
998
|
|
965
|
1,059
|
1,017
|
Net trading income
|
1,934
|
|
1,372
|
1,528
|
1,660
|
2,360
|
|
929
|
1,110
|
1,016
|
Net fee, commission and other income
|
1,717
|
|
1,500
|
1,430
|
1,503
|
1,286
|
|
1,558
|
1,581
|
1,870
|
Total income
|
4,399
|
|
3,486
|
3,781
|
4,010
|
4,644
|
|
3,452
|
3,750
|
3,903
|
Credit impairment releases/(charges)
|
22
|
|
(291)
|
(370)
|
(1,010)
|
(1,609)
|
|
(329)
|
(352)
|
(247)
|
Net operating income
|
4,421
|
|
3,195
|
3,411
|
3,000
|
3,035
|
|
3,123
|
3,398
|
3,656
|
Operating costs
|
(2,438)
|
|
(2,133)
|
(2,227)
|
(2,186)
|
(2,219)
|
|
(2,240)
|
(2,282)
|
(2,435)
|
UK bank levy
|
-
|
|
(240)
|
-
|
-
|
-
|
|
(174)
|
-
|
-
|
Litigation and conduct
|
(21)
|
|
(9)
|
(28)
|
(11)
|
-
|
|
(86)
|
-
|
(11)
|
Total operating expenses
|
(2,459)
|
|
(2,382)
|
(2,255)
|
(2,197)
|
(2,219)
|
|
(2,500)
|
(2,282)
|
(2,446)
|
Other net income
|
9
|
|
9
|
9
|
4
|
6
|
|
17
|
21
|
13
|
Profit before tax
|
1,971
|
|
822
|
1,165
|
807
|
822
|
|
640
|
1,137
|
1,223
|
Attributable profit
|
1,431
|
|
441
|
782
|
468
|
529
|
|
397
|
799
|
832
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
123.5
|
|
122.7
|
128.0
|
138.1
|
167.0
|
|
132.8
|
138.1
|
134.8
|
Trading portfolio assets
|
131.1
|
|
127.7
|
122.3
|
109.5
|
101.6
|
|
113.3
|
119.4
|
120.0
|
Derivative financial instrument assets
|
269.4
|
|
301.8
|
295.9
|
306.8
|
341.5
|
|
228.9
|
286.0
|
243.8
|
Financial assets at fair value through the income
statement
|
197.5
|
|
170.7
|
178.2
|
154.3
|
188.4
|
|
128.4
|
158.0
|
154.7
|
Cash collateral and settlement balances
|
109.7
|
|
97.5
|
121.8
|
130.8
|
153.2
|
|
79.4
|
112.5
|
101.3
|
Other assets
|
221.7
|
|
221.4
|
261.7
|
236.3
|
201.5
|
|
178.6
|
195.6
|
196.8
|
Total assets
|
1,052.9
|
|
1,041.8
|
1,107.9
|
1,075.8
|
1,153.2
|
|
861.4
|
1,009.6
|
951.4
|
Deposits at amortised cost
|
251.2
|
|
240.5
|
262.4
|
241.2
|
263.3
|
|
210.0
|
217.6
|
212.0
|
Derivative financial instrument liabilities
|
260.2
|
|
300.4
|
293.3
|
307.6
|
338.8
|
|
228.9
|
283.3
|
243.0
|
Loan: deposit ratio
|
49%
|
|
51%
|
49%
|
57%
|
63%
|
|
63%
|
63%
|
64%
|
Risk weighted assets
|
230.0
|
|
222.3
|
224.7
|
231.2
|
237.9
|
|
209.2
|
223.1
|
214.8
|
Period end allocated tangible equity
|
32.7
|
|
30.2
|
30.5
|
31.6
|
33.1
|
|
29.6
|
31.4
|
30.2
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
17.7%
|
|
5.8%
|
10.2%
|
5.6%
|
6.8%
|
|
5.1%
|
9.9%
|
10.7%
|
Average allocated tangible equity (£bn)
|
32.3
|
|
30.5
|
30.6
|
33.5
|
31.2
|
|
30.9
|
32.2
|
31.1
|
Cost: income ratio
|
56%
|
|
68%
|
60%
|
55%
|
48%
|
|
72%
|
61%
|
63%
|
Loan loss rate (bps)
|
(7)
|
|
90
|
112
|
284
|
377
|
|
96
|
99
|
72
|
Net interest margin
|
3.92%
|
|
3.41%
|
3.79%
|
3.43%
|
3.93%
|
|
4.29%
|
4.10%
|
3.91%
|
Analysis of Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and Investment Bank
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Income statement information
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
FICC
|
1,204
|
|
812
|
1,000
|
1,468
|
1,858
|
|
726
|
816
|
920
|
Equities
|
932
|
|
542
|
691
|
674
|
564
|
|
409
|
494
|
517
|
Markets
|
2,136
|
|
1,354
|
1,691
|
2,142
|
2,422
|
|
1,135
|
1,310
|
1,437
|
Advisory
|
163
|
|
232
|
90
|
84
|
155
|
|
202
|
221
|
221
|
Equity capital markets
|
243
|
|
104
|
122
|
185
|
62
|
|
56
|
86
|
104
|
Debt capital markets
|
453
|
|
418
|
398
|
463
|
418
|
|
322
|
381
|
373
|
Banking fees
|
859
|
|
754
|
610
|
732
|
635
|
|
580
|
688
|
698
|
Corporate lending
|
206
|
|
186
|
232
|
61
|
111
|
|
202
|
195
|
216
|
Transaction banking
|
393
|
|
344
|
372
|
381
|
449
|
|
397
|
424
|
444
|
Corporate
|
599
|
|
530
|
604
|
442
|
560
|
|
599
|
619
|
660
|
Total income1
|
3,594
|
|
2,638
|
2,905
|
3,316
|
3,617
|
|
2,314
|
2,617
|
2,795
|
Credit impairment releases/(charges)
|
43
|
|
(52)
|
(187)
|
(596)
|
(724)
|
|
(30)
|
(31)
|
(44)
|
Net operating income
|
3,637
|
|
2,586
|
2,718
|
2,720
|
2,893
|
|
2,284
|
2,586
|
2,751
|
Operating costs
|
(1,886)
|
|
(1,603)
|
(1,716)
|
(1,680)
|
(1,690)
|
|
(1,691)
|
(1,712)
|
(1,860)
|
UK bank levy
|
-
|
|
(226)
|
-
|
-
|
-
|
|
(156)
|
-
|
-
|
Litigation and conduct
|
(1)
|
|
2
|
(3)
|
(3)
|
-
|
|
(79)
|
(4)
|
(7)
|
Total operating expenses
|
(1,887)
|
|
(1,827)
|
(1,719)
|
(1,683)
|
(1,690)
|
|
(1,926)
|
(1,716)
|
(1,867)
|
Other net income
|
1
|
|
2
|
1
|
3
|
-
|
|
1
|
12
|
3
|
Profit before tax
|
1,751
|
|
761
|
1,000
|
1,040
|
1,203
|
|
359
|
882
|
887
|
Attributable profit
|
1,263
|
|
413
|
627
|
694
|
820
|
|
193
|
609
|
596
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
94.3
|
|
92.4
|
96.8
|
104.9
|
128.2
|
|
92.0
|
95.8
|
92.1
|
Trading portfolio assets
|
130.9
|
|
127.5
|
122.2
|
109.3
|
101.5
|
|
113.3
|
119.3
|
119.9
|
Derivative financial instruments assets
|
269.4
|
|
301.7
|
295.9
|
306.7
|
341.4
|
|
228.8
|
286.0
|
243.7
|
Financial assets at fair value through the income
statement
|
197.3
|
|
170.4
|
177.9
|
153.7
|
187.8
|
|
127.7
|
157.3
|
154.1
|
Cash collateral and settlement balances
|
108.8
|
|
96.7
|
121.0
|
129.7
|
152.2
|
|
78.5
|
111.6
|
100.4
|
Other assets
|
190.8
|
|
194.9
|
228.9
|
205.5
|
171.4
|
|
155.3
|
171.5
|
168.1
|
Total assets
|
991.5
|
|
983.6
|
1,042.7
|
1,009.8
|
1,082.5
|
|
795.6
|
941.5
|
878.3
|
Deposits at amortised cost
|
185.2
|
|
175.2
|
195.6
|
173.9
|
198.4
|
|
146.2
|
152.1
|
145.4
|
Derivative financial instrument liabilities
|
260.2
|
|
300.3
|
293.2
|
307.6
|
338.7
|
|
228.9
|
283.2
|
242.9
|
Risk weighted assets
|
201.3
|
|
192.2
|
193.3
|
198.3
|
201.7
|
|
171.5
|
184.9
|
175.9
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
17.9%
|
|
6.3%
|
9.5%
|
9.6%
|
12.5%
|
|
3.0%
|
9.1%
|
9.2%
|
Average allocated tangible equity (£bn)
|
28.2
|
|
26.3
|
26.4
|
29.0
|
26.2
|
|
25.8
|
26.9
|
25.8
|
Cost: income ratio
|
53%
|
|
69%
|
59%
|
51%
|
47%
|
|
83%
|
66%
|
67%
|
1
|
From Q121, a
change in the allocation of the net impact of treasury operations
to businesses has been made to reflect changes in the business
balance sheets.
|
Analysis of Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer, Cards and Payments
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Income statement information
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Net interest income
|
478
|
|
504
|
518
|
513
|
663
|
|
717
|
720
|
720
|
Net fee, commission, trading and other income
|
327
|
|
344
|
358
|
181
|
364
|
|
421
|
413
|
388
|
Total income
|
805
|
|
848
|
876
|
694
|
1,027
|
|
1,138
|
1,133
|
1,108
|
Credit impairment charges
|
(21)
|
|
(239)
|
(183)
|
(414)
|
(885)
|
|
(299)
|
(321)
|
(203)
|
Net operating income
|
784
|
|
609
|
693
|
280
|
142
|
|
839
|
812
|
905
|
Operating costs
|
(552)
|
|
(530)
|
(511)
|
(506)
|
(529)
|
|
(549)
|
(570)
|
(575)
|
UK bank levy
|
-
|
|
(14)
|
-
|
-
|
-
|
|
(18)
|
-
|
-
|
Litigation and conduct
|
(20)
|
|
(11)
|
(25)
|
(8)
|
-
|
|
(7)
|
4
|
(4)
|
Total operating expenses
|
(572)
|
|
(555)
|
(536)
|
(514)
|
(529)
|
|
(574)
|
(566)
|
(579)
|
Other net income
|
8
|
|
7
|
8
|
1
|
6
|
|
16
|
9
|
10
|
Profit/(loss) before tax
|
220
|
|
61
|
165
|
(233)
|
(381)
|
|
281
|
255
|
336
|
Attributable profit/(loss)
|
168
|
|
28
|
155
|
(226)
|
(291)
|
|
204
|
190
|
236
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Loans and advances at amortised cost
|
29.2
|
|
30.3
|
31.2
|
33.2
|
38.8
|
|
40.8
|
42.3
|
42.7
|
Total assets
|
61.4
|
|
58.2
|
65.2
|
66.0
|
70.7
|
|
65.8
|
68.1
|
73.1
|
Deposits at amortised cost
|
66.0
|
|
65.3
|
66.8
|
67.3
|
64.9
|
|
63.8
|
65.5
|
66.6
|
Risk weighted assets
|
28.8
|
|
30.1
|
31.4
|
32.9
|
36.2
|
|
37.7
|
38.2
|
38.9
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
16.5%
|
|
2.7%
|
14.7%
|
(20.2%)
|
(23.5%)
|
|
15.9%
|
14.2%
|
17.8%
|
Average allocated tangible equity (£bn)
|
4.1
|
|
4.2
|
4.2
|
4.5
|
5.0
|
|
5.1
|
5.3
|
5.3
|
Cost: income ratio
|
71%
|
|
65%
|
61%
|
74%
|
52%
|
|
50%
|
50%
|
52%
|
Loan loss rate (bps)
|
27
|
|
286
|
211
|
455
|
846
|
|
273
|
283
|
180
|
Head Office
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Income statement information
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Net interest income
|
(178)
|
|
(86)
|
(48)
|
(180)
|
(79)
|
|
(99)
|
(117)
|
(95)
|
Net fee, commission and other income
|
103
|
|
(85)
|
(79)
|
41
|
14
|
|
(11)
|
62
|
(41)
|
Total income
|
(75)
|
|
(171)
|
(127)
|
(139)
|
(65)
|
|
(110)
|
(55)
|
(136)
|
Credit impairment charges
|
-
|
|
(31)
|
(5)
|
(30)
|
(25)
|
|
(4)
|
(8)
|
(3)
|
Net operating expenses
|
(75)
|
|
(202)
|
(132)
|
(169)
|
(90)
|
|
(114)
|
(63)
|
(139)
|
Operating costs
|
(71)
|
|
(213)
|
(69)
|
(106)
|
(11)
|
|
(45)
|
(59)
|
(44)
|
UK bank levy
|
-
|
|
(9)
|
-
|
-
|
-
|
|
(11)
|
-
|
-
|
Litigation and conduct
|
(9)
|
|
(42)
|
(23)
|
(3)
|
(5)
|
|
(23)
|
(88)
|
(1)
|
Total operating expenses
|
(80)
|
|
(264)
|
(92)
|
(109)
|
(16)
|
|
(79)
|
(147)
|
(45)
|
Other net income/(expenses)
|
123
|
|
8
|
10
|
(43)
|
2
|
|
3
|
6
|
15
|
Loss before tax
|
(32)
|
|
(458)
|
(214)
|
(321)
|
(104)
|
|
(190)
|
(204)
|
(169)
|
Attributable loss
|
(25)
|
|
(381)
|
(284)
|
(255)
|
(99)
|
|
(154)
|
(184)
|
(126)
|
|
|
|
|
|
|
|
|
|
|
|
Balance sheet information
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Total assets
|
17.7
|
|
18.6
|
19.3
|
21.7
|
23.6
|
|
21.0
|
22.9
|
22.4
|
Risk weighted assets
|
10.7
|
|
10.2
|
9.8
|
9.9
|
10.0
|
|
11.0
|
13.4
|
28.1
|
Period end allocated tangible equity
|
3.3
|
|
6.8
|
7.1
|
7.4
|
6.0
|
|
5.6
|
5.5
|
7.0
|
|
|
|
|
|
|
|
|
|
|
|
Performance measures
|
|
|
|
|
|
|
|
|
|
|
Average allocated tangible equity (£bn)
|
4.3
|
|
7.3
|
7.6
|
6.4
|
5.6
|
|
5.2
|
5.8
|
4.8
|
Performance Management
Margins and balances
|
|
|
|
|
|
|
|
Three months ended 31.03.21
|
Three months ended 31.03.20
|
|
Net interest
income
|
Average customer
assets
|
Net interest
margin
|
Net interest
income
|
Average customer
assets
|
Net interest
margin
|
|
£m
|
£m
|
%
|
£m
|
£m
|
%
|
Barclays UK
|
1,281
|
204,663
|
2.54
|
1,412
|
195,204
|
2.91
|
Barclays International1,2
|
755
|
78,230
|
3.92
|
980
|
100,171
|
3.93
|
Total Barclays UK and Barclays International
|
2,036
|
282,893
|
2.92
|
2,392
|
295,375
|
3.26
|
Other3
|
(185)
|
|
|
(61)
|
|
|
Total Barclays Group
|
1,851
|
|
|
2,331
|
|
|
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 Q120
interest expense been
recognised in
net interest income, the Barclays International and Total Barclays
UK and Barclays International NIMs would have been 3.84% and 3.22%
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 31 March 2021 was £192bn, with
an average duration of 2.5 to 3 years. Group net interest income
includes gross structural hedge contributions of £0.3bn (Q120:
£0.4bn) and net
structural hedge contributions of £0.3bn
(Q120: £0.2bn). 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 31.12.20
|
£m
|
£m
|
%
|
Barclays UK
|
1,317
|
204,315
|
2.56
|
Barclays International1,2
|
696
|
81,312
|
3.41
|
Total Barclays UK and Barclays International
|
2,013
|
285,627
|
2.80
|
|
|
|
|
Three months ended 30.09.20
|
|
|
|
Barclays UK
|
1,280
|
203,089
|
2.51
|
Barclays International1,2
|
838
|
88,032
|
3.79
|
Total Barclays UK and Barclays International
|
2,118
|
291,121
|
2.89
|
|
|
|
|
Three months ended 30.06.20
|
|
|
|
Barclays UK
|
1,225
|
199,039
|
2.48
|
Barclays International1,2
|
868
|
101,706
|
3.43
|
Total Barclays UK and Barclays International
|
2,093
|
300,745
|
2.80
|
|
|
|
|
1
|
Barclays
International margins include IEL balances within the investment
banking business.
|
2
|
The
reclassification of expense of the premium paid for purchased
financial guarantees from net investment income to net interest
income was recognised in full in Q420 and resulted in a 0.48%
reduction on the Q420 Barclays International NIM and 0.14%
reduction on the Q420 Total
Barclays UK and
Barclays International NIM. Had the equivalent impact been
reflected in the respective quarters, the Barclays International
NIM would have been 3.33% in Q220, 3.68% in Q320 and 3.77% in Q420.
Total Barclays UK and Barclays International NIMs would have
been
2.77% in Q220,
2.86% in Q320 and 2.91% in Q420 respectively.
|
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 31
March 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 31 March
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 loss
(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 31.03.21
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
£m
|
Barclays UK
|
155,477
|
24,114
|
2,833
|
182,424
|
|
308
|
1,422
|
1,089
|
2,819
|
179,605
|
Barclays International
|
19,955
|
5,219
|
1,858
|
27,032
|
|
364
|
1,198
|
1,101
|
2,663
|
24,369
|
Head Office
|
4,011
|
565
|
778
|
5,354
|
|
4
|
45
|
358
|
407
|
4,947
|
Total Barclays Group retail
|
179,443
|
29,898
|
5,469
|
214,810
|
|
676
|
2,665
|
2,548
|
5,889
|
208,921
|
Barclays UK
|
32,208
|
4,092
|
1,088
|
37,388
|
|
11
|
135
|
102
|
248
|
37,140
|
Barclays International
|
84,199
|
14,855
|
1,779
|
100,833
|
|
316
|
508
|
835
|
1,659
|
99,174
|
Head Office
|
542
|
-
|
32
|
574
|
|
-
|
-
|
31
|
31
|
543
|
Total Barclays Group
wholesale1
|
116,949
|
18,947
|
2,899
|
138,795
|
|
327
|
643
|
968
|
1,938
|
136,857
|
Total loans and advances at amortised cost
|
296,392
|
48,845
|
8,368
|
353,605
|
|
1,003
|
3,308
|
3,516
|
7,827
|
345,778
|
Off-balance sheet loan commitments and financial guarantee
contracts2
|
298,695
|
50,618
|
787
|
350,100
|
|
228
|
731
|
43
|
1,002
|
349,098
|
Total3
|
595,087
|
99,463
|
9,155
|
703,705
|
|
1,231
|
4,039
|
3,559
|
8,829
|
694,876
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 31.03.21
|
|
Three months ended 31.03.21
|
|
|
Coverage ratio
|
|
Loan impairment charge and loan loss
rate4
|
|
|
Stage 1
|
Stage 2
|
Stage 3
|
Total
|
|
Loan impairment charge
|
Loan loss rate
|
|
|
%
|
%
|
%
|
%
|
|
£m
|
bps
|
|
Barclays UK
|
0.2
|
5.9
|
38.4
|
1.5
|
|
|
28
|
|
6
|
|
Barclays International
|
1.8
|
23.0
|
59.3
|
9.9
|
|
|
20
|
|
30
|
|
Head Office
|
0.1
|
8.0
|
46.0
|
7.6
|
|
|
(1)
|
|
-
|
|
Total Barclays Group retail
|
0.4
|
8.9
|
46.6
|
2.7
|
|
|
47
|
|
9
|
|
Barclays UK
|
-
|
3.3
|
9.4
|
0.7
|
|
|
14
|
|
15
|
|
Barclays International
|
0.4
|
3.4
|
46.9
|
1.6
|
|
|
55
|
|
22
|
|
Head Office
|
-
|
-
|
96.9
|
5.4
|
|
|
1
|
|
71
|
|
Total Barclays Group
wholesale1
|
0.3
|
3.4
|
33.4
|
1.4
|
|
|
70
|
|
20
|
|
Total loans and advances at amortised cost
|
0.3
|
6.8
|
42.0
|
2.2
|
|
|
117
|
|
13
|
|
Off-balance sheet loan commitments and financial guarantee
contracts2
|
0.1
|
1.4
|
5.5
|
0.3
|
|
|
(57)
|
|
|
|
Other financial assets subject to impairment3
|
|
|
|
|
|
|
(5)
|
|
|
|
Total4
|
0.2
|
4.1
|
38.9
|
1.3
|
|
|
55
|
|
|
|
1
|
Includes Wealth and Private Banking exposures measured on an
individual customer exposure basis, and excludes Business Banking
exposures that are managed on a collective basis. The net impact is
a difference in total exposure of £8,133m of balances reported
as wholesale loans on page 18 in the Loans and advances at
amortised cost by product disclosure.
|
2
|
Excludes loan
commitments and financial guarantees of £18.9bn 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 £188.1bn and impairment
allowance of £130m. This comprises £19m ECL on
£186.3bn stage 1 assets, £3m on £1.7bn stage 2 fair
value through other comprehensive income assets, other assets, cash
collateral and settlement balances and £108m on £113m
stage 3 other assets.
|
4
|
Q121 loan
impairment charge represents three months of impairment charge,
annualised to calculate the loan loss rate. The loan loss rate is
6bps after applying the total impairment charge of
£55m.
|
|
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
rate4
|
|
|
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 customer
exposure 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 18 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, cash
collateral and settlement balances and £145m on £154m
stage 3 other assets.
|
5
|
The loan loss
rate is 138bps 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 31.03.21
|
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
|
141,273
|
16,919
|
1,960
|
1,059
|
19,938
|
2,229
|
163,440
|
Credit cards, unsecured loans and other retail lending
|
30,797
|
8,785
|
344
|
289
|
9,418
|
3,022
|
43,237
|
Wholesale loans
|
124,322
|
18,959
|
329
|
201
|
19,489
|
3,117
|
146,928
|
Total
|
296,392
|
44,663
|
2,633
|
1,549
|
48,845
|
8,368
|
353,605
|
|
|
|
|
|
|
|
|
Impairment allowance
|
|
|
|
|
|
|
|
Home loans
|
34
|
55
|
13
|
11
|
79
|
397
|
510
|
Credit cards, unsecured loans and other retail lending
|
624
|
2,228
|
144
|
177
|
2,549
|
2,091
|
5,264
|
Wholesale loans
|
345
|
672
|
5
|
3
|
680
|
1,028
|
2,053
|
Total
|
1,003
|
2,955
|
162
|
191
|
3,308
|
3,516
|
7,827
|
|
|
|
|
|
|
|
|
Net exposure
|
|
|
|
|
|
|
|
Home loans
|
141,239
|
16,864
|
1,947
|
1,048
|
19,859
|
1,832
|
162,930
|
Credit cards, unsecured loans and other retail lending
|
30,173
|
6,557
|
200
|
112
|
6,869
|
931
|
37,973
|
Wholesale loans
|
123,977
|
18,287
|
324
|
198
|
18,809
|
2,089
|
144,875
|
Total
|
295,389
|
41,708
|
2,471
|
1,358
|
45,537
|
4,852
|
345,778
|
|
|
|
|
|
|
|
|
Coverage ratio
|
%
|
%
|
%
|
%
|
%
|
%
|
%
|
Home loans
|
-
|
0.3
|
0.7
|
1.0
|
0.4
|
17.8
|
0.3
|
Credit cards, unsecured loans and other retail lending
|
2.0
|
25.4
|
41.9
|
61.2
|
27.1
|
69.2
|
12.2
|
Wholesale loans
|
0.3
|
3.5
|
1.5
|
1.5
|
3.5
|
33.0
|
1.4
|
Total
|
0.3
|
6.6
|
6.2
|
12.3
|
6.8
|
42.0
|
2.2
|
|
|
|
|
|
|
|
|
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
During
the latter part of Q121, macroeconomic indicators became more
positive than at Q420, particularly in the UK with improved
economic growth and lower unemployment consensus forecasts in
response to the UK Budget announcement on 3 March 2021 and the
progress of the COVID-19 vaccine roll out programme. In the US, new
government stimulus was announced in March 2021, including a
$1.9trn Rescue Plan, and a COVID-19 vaccine programme well
underway. However, global economic uncertainty remains high as the
COVID-19 pandemic continues to evolve and practical challenges
remain in inoculation programmes.
In
response to the changing economic environment, key baseline
macroeconomic indicators were refreshed at Q121. However, because
the macroeconomic outlook remains uncertain and has only recently
shown improvement, the impact from these consensus updates has not
been reflected in the Q121 ECL provision level. This has been based
on the more conservative macroeconomic indicators of the Q420 ECL
scenarios, rolled forward by one quarter, and updated to reflect
changes in balances and individually assessed impaired names during
the quarter. If these favourable macroeconomic indicators persist,
an adjustment will be made to the provision level.
Sensitivity
analysis has been completed to estimate the impact of applying the
refreshed Q121 baseline to material portfolios. This high-level
analysis indicated that, all other things being equal, this change
in key macroeconomic variables would result in a reduction to the
modelled ECL stock of c£0.5bn from the material portfolios,
should positive macroeconomic indicators persist. The macroeconomic
variables used in the sensitivity analysis are disclosed on the
following page.
Management adjustments to models for impairment
The
real economic impact of the COVID-19 pandemic may only become clear
once support measures put in place by governments begin to fall
away. Government support schemes are currently scheduled to run
until cQ321 in the major jurisdictions in which Barclays operates.
In addition to the above ECL model sensitivity for which no
adjustment has been made, management adjustments to models for
impairment were retained and amounted to £1,223m (Q420:
£1,388m). These included economic uncertainty adjustments
recognised at year end 2020 which addressed the temporary nature of
ongoing government support, the uncertainty in relation to the
timing of stress and the range of economic
uncertainty.
The
tables below show the primary consensus macroeconomic variables in
the Q121 Baseline scenario and the probability weights applied to
each rolled forward scenario.
Baseline average macroeconomic variables used in the calculation of
ECL
|
The calculation of ECL was based on the Q420 macroeconomic
variables rolled forward by one quarter.
|
|
2021
|
2022
|
2023
|
As at 31.03.21
|
%
|
%
|
%
|
UK GDP1
|
3.3
|
3.4
|
2.9
|
UK unemployment2
|
6.0
|
6.6
|
6.0
|
UK HPI3
|
2.4
|
2.3
|
4.2
|
UK bank rate
|
0.1
|
(0.1)
|
-
|
US GDP1
|
1.9
|
3.2
|
2.9
|
US unemployment4
|
7.3
|
5.8
|
5.6
|
US HPI5
|
2.4
|
4.2
|
4.7
|
US federal funds rate
|
0.3
|
0.3
|
0.3
|
|
|
2021
|
2022
|
2023
|
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
|
|
|
|
|
Baseline average macroeconomic variables refreshed for sensitivity
analysis
|
Sensitivity analysis was performed by considering a refreshed Q121
baseline scenario relative to the rolled forward baseline scenario
against material portfolios, using the macroeconomic variables in
the table below.
|
|
2021
|
2022
|
2023
|
As at 31.03.21
|
%
|
%
|
%
|
UK GDP1
|
5.0
|
5.7
|
2.3
|
UK unemployment2
|
5.8
|
5.6
|
5.1
|
UK HPI3
|
(0.5)
|
0.3
|
3.6
|
UK bank rate
|
0.1
|
0.3
|
0.4
|
US GDP1
|
5.5
|
3.8
|
1.6
|
US unemployment4
|
5.7
|
4.5
|
4.5
|
US HPI5
|
3.9
|
3.5
|
3.5
|
US federal funds rate
|
0.3
|
0.3
|
0.7
|
1
|
Average Real
GDP seasonally adjusted change in year.
|
2
|
Average UK
unemployment rate 16-year+.
|
3
|
Change in
year-end UK HPI = Halifax All Houses, All Buyers index, relative to
prior year end.
|
4
|
Average US
civilian unemployment rate 16-year+.
|
5
|
Change in
year-end 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 31.03.21
|
|
|
|
|
|
Scenario probability weighting
|
20.2
|
24.2
|
24.7
|
15.5
|
15.4
|
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 11.1%
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 2.6% Pillar 2A requirement and a 0.0%
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 Prudential
Regulation Authority’s (PRA) Individual Capital Requirement
is 4.7% of which at least 56.25% needs to be met with CET1 capital,
equating to approximately 2.6% 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 are expected to review the UK legislation
framework and any disclosures made by the Group will be subject to
any resulting guidance.
On 12
February 2021, the PRA launched a consultation on certain items
within the Basel standards that remain to be implemented in the UK
as well as setting out proposed new PRA CRR rules. The proposals
include reverting to the previous treatment of 100% CET1 capital
deduction for qualifying software assets by the end of 2021,
meaning the c.40bps benefit in the CET1 ratio is likely to be
reversed in future periods.
Capital
ratios1,2,3
|
As at
|
As at
|
31.03.21
|
31.12.20
|
CET1
|
14.6%
|
15.1%
|
Tier 1 (T1)
|
18.4%
|
19.0%
|
Total regulatory capital
|
21.8%
|
22.1%
|
|
|
|
Capital resources
|
£m
|
£m
|
Total equity excluding non-controlling interests per the balance
sheet
|
65,105
|
65,797
|
Less: other equity instruments (recognised as AT1
capital)
|
(11,179)
|
(11,172)
|
Adjustment to retained earnings for foreseeable ordinary share
dividends
|
(303)
|
(174)
|
Adjustment to retained earnings for foreseeable repurchase of
shares
|
(439)
|
-
|
Adjustment to retained earnings for foreseeable other equity
coupons
|
(42)
|
(30)
|
|
|
|
Other regulatory adjustments and deductions
|
|
|
Additional value adjustments (PVA)
|
(1,496)
|
(1,146)
|
Goodwill and intangible assets
|
(6,504)
|
(6,914)
|
Deferred tax assets that rely on future profitability excluding
temporary differences
|
(629)
|
(595)
|
Fair value reserves related to gains or losses on cash flow
hedges
|
(850)
|
(1,575)
|
Gains or losses on liabilities at fair value resulting from own
credit
|
1,202
|
870
|
Defined benefit pension fund assets
|
(1,192)
|
(1,326)
|
Direct and indirect holdings by an institution of own CET1
instruments
|
(50)
|
(50)
|
Adjustment under IFRS 9 transitional arrangements
|
2,285
|
2,556
|
Other regulatory adjustments
|
(4)
|
55
|
CET1 capital
|
45,904
|
46,296
|
|
|
|
AT1 capital
|
|
|
Capital instruments and related share premium accounts
|
11,179
|
11,172
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
655
|
646
|
Other regulatory adjustments and deductions
|
(80)
|
(80)
|
AT1 capital
|
11,754
|
11,738
|
|
|
|
T1 capital
|
57,658
|
58,034
|
|
|
|
T2 capital
|
|
|
Capital instruments and related share premium accounts
|
8,951
|
7,836
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
1,641
|
1,893
|
Credit risk adjustments (excess of impairment over expected
losses)
|
95
|
57
|
Other regulatory adjustments and deductions
|
(160)
|
(160)
|
Total regulatory capital
|
68,185
|
67,660
|
|
|
|
Total RWAs
|
313,356
|
306,203
|
1
|
CET1, T1 and T2
capital, and RWAs are calculated applying the transitional
arrangements of the CRR as amended by CRR II. This includes IFRS 9
transitional arrangements and the grandfathering of CRR and CRR II
non-compliant capital instruments.
|
2
|
The fully
loaded CET1 ratio, as is relevant for assessing against the
conversion trigger in Barclays PLC AT1 securities, was 14.0%, with
£43.6bn of CET1 capital and £312.6bn 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 14.6%. 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
|
31.03.21
|
£m
|
Opening CET1 capital
|
46,296
|
|
|
Profit for the period attributable to equity holders
|
1,899
|
Own credit relating to derivative liabilities
|
14
|
Ordinary share dividends paid and foreseen
|
(129)
|
Purchased and foreseeable share repurchase
|
(700)
|
Other equity coupons paid and foreseen
|
(207)
|
Increase in retained regulatory capital generated from
earnings
|
877
|
|
|
Net impact of share schemes
|
(167)
|
Fair value through other comprehensive income reserve
|
(320)
|
Currency translation reserve
|
(478)
|
Other reserves
|
(6)
|
Decrease in other qualifying reserves
|
(971)
|
|
|
Pension remeasurements within reserves
|
(186)
|
Defined benefit pension fund asset deduction
|
134
|
Net impact of pensions
|
(52)
|
|
|
Additional value adjustments (PVA)
|
(350)
|
Goodwill and intangible assets
|
410
|
Deferred tax assets that rely on future profitability excluding
those arising from temporary differences
|
(34)
|
Adjustment under IFRS 9 transitional arrangements
|
(271)
|
Other regulatory adjustments
|
(1)
|
Decrease in regulatory capital due to adjustments and
deductions
|
(246)
|
|
|
Closing CET1 capital
|
45,904
|
|
|
CET1
capital decreased £0.4bn to £45.9bn (December 2020:
£46.3bn).
£1.9bn
of capital generated from profits were partially offset by
£1.0bn dividends paid and foreseen including £0.7bn for
the share buyback announced with FY20 results, £0.2bn of
equity coupons paid and a £0.1bn accrual towards a FY21
dividend. Other significant movements in the period
were:
●
|
A
£0.3bn reduction in the fair value through other comprehensive
income reserve driven by movements in the valuation of the
liquidity pool
|
●
|
A
£0.5bn decrease in the currency translation reserves due to
the depreciation of period end EUR and USD against GBP
|
●
|
A
£0.4bn increase in the PVA deduction due to the removal of
temporary regulatory supporting measures applied to certain
additional valuation adjustments
|
●
|
A
£0.4bn decrease in the goodwill and intangible deduction
reflecting new qualifying software intangibles that are subject to
risk weighting rather than deduction
|
●
|
A
£0.3bn decrease in IFRS 9 transitional relief, after tax,
primarily due 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 31.03.21
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
|
£m
|
£m
|
Barclays UK
|
7,066
|
53,512
|
|
431
|
-
|
-
|
217
|
|
64
|
-
|
|
11,381
|
72,671
|
Corporate
and Investment Bank
|
25,832
|
75,854
|
|
13,781
|
19,218
|
102
|
2,452
|
|
16,479
|
24,083
|
|
23,452
|
201,253
|
Consumer,
Cards and Payments
|
18,621
|
2,875
|
|
178
|
41
|
-
|
28
|
|
-
|
59
|
|
6,949
|
28,751
|
Barclays International
|
44,453
|
78,729
|
|
13,959
|
19,259
|
102
|
2,480
|
|
16,479
|
24,142
|
|
30,401
|
230,004
|
Head Office
|
4,424
|
7,065
|
|
-
|
-
|
-
|
-
|
|
-
|
-
|
|
(808)
|
10,681
|
Barclays Group
|
55,943
|
139,306
|
|
14,390
|
19,259
|
102
|
2,697
|
|
16,543
|
24,142
|
|
40,974
|
313,356
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As at 31.12.20
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Barclays UK
|
7,360
|
54,340
|
|
394
|
-
|
-
|
136
|
|
72
|
-
|
|
11,359
|
73,661
|
Corporate
and Investment Bank
|
24,660
|
73,792
|
|
12,047
|
20,280
|
246
|
2,351
|
|
13,123
|
22,363
|
|
23,343
|
192,205
|
Consumer,
Cards and Payments
|
19,754
|
3,041
|
|
177
|
45
|
-
|
31
|
|
-
|
71
|
|
6,996
|
30,115
|
Barclays International
|
44,414
|
76,833
|
|
12,224
|
20,325
|
246
|
2,382
|
|
13,123
|
22,434
|
|
30,339
|
222,320
|
Head Office
|
4,153
|
6,869
|
|
-
|
-
|
-
|
-
|
|
-
|
-
|
|
(800)
|
10,222
|
Barclays Group
|
55,927
|
138,042
|
|
12,618
|
20,325
|
246
|
2,518
|
|
13,195
|
22,434
|
|
40,898
|
306,203
|
Movement analysis of RWAs
|
|
Credit risk
|
Counterparty credit risk
|
Market risk
|
Operational risk
|
Total RWAs
|
|
£m
|
£m
|
£m
|
£m
|
£m
|
Opening RWAs (as at 31.12.20)
|
193,969
|
35,707
|
35,629
|
40,898
|
306,203
|
Book size
|
2,971
|
691
|
5,056
|
76
|
8,794
|
Acquisitions and disposals
|
(59)
|
-
|
-
|
-
|
(59)
|
Book quality
|
628
|
213
|
-
|
-
|
841
|
Model updates
|
(438)
|
(163)
|
-
|
-
|
(601)
|
Methodology and policy
|
(115)
|
-
|
-
|
-
|
(115)
|
Foreign exchange movements1
|
(1,707)
|
-
|
-
|
-
|
(1,707)
|
Total RWA movements
|
1,280
|
741
|
5,056
|
76
|
7,153
|
Closing RWAs (as at 31.03.21)
|
195,249
|
36,448
|
40,685
|
40,974
|
313,356
|
1
|
Foreign
exchange movements do not include foreign exchange for counterparty
credit risk or market risk.
|
Overall
RWAs increased £7.2bn to £313.4bn (December 2020:
£306.2bn). Significant movements in the period
were:
Credit
risk RWAs increased £1.3bn:
●
|
A
£3.0bn increase in book size primarily due to increased CIB
lending, growth in mortgages within Barclays UK partially offset by
lower consumer lending and ESHLA
|
●
|
A
£1.7bn decrease due to the depreciation of period end EUR and
USD against GBP
|
Market
risk RWAs increased £5.1bn:
●
|
A
£5.1bn increase in book size primarily due to increased client
and trading activity
|
Leverage ratio and exposures
The
Group is subject to a leverage ratio requirement of 3.8% as at 31
March 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 £6.2bn.
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 early adoption of CRR II settlement
netting. The FPC intends to review the UK leverage framework in
2021.
Leverage
ratios1,2
|
As at
31.03.21
|
As at
31.12.20
|
£m
|
£m
|
Average UK leverage ratio
|
4.9%
|
5.0%
|
Average T1 capital3
|
57,040
|
57,069
|
Average UK leverage exposure
|
1,174,887
|
1,146,919
|
|
|
|
UK leverage ratio
|
5.0%
|
5.3%
|
|
|
|
CET1 capital
|
45,904
|
46,296
|
AT1 capital
|
11,099
|
11,092
|
T1 capital3
|
57,003
|
57,388
|
|
|
|
UK leverage exposure
|
1,145,413
|
1,090,907
|
|
|
|
UK leverage exposure
|
|
|
Accounting assets
|
|
|
Derivative financial instruments
|
270,717
|
302,446
|
Derivative cash collateral
|
51,797
|
64,798
|
Securities financing transactions (SFTs)
|
189,496
|
164,034
|
Loans and advances and other assets
|
867,646
|
818,236
|
Total IFRS assets
|
1,379,656
|
1,349,514
|
|
|
|
Regulatory consolidation adjustments
|
(1,926)
|
(1,144)
|
|
|
|
Derivatives adjustments
|
|
|
Derivatives netting
|
(242,857)
|
(272,275)
|
Adjustments to cash collateral
|
(45,464)
|
(57,414)
|
Net written credit protection
|
16,814
|
14,986
|
Potential future exposure (PFE) on derivatives
|
128,454
|
117,010
|
Total derivatives adjustments
|
(143,053)
|
(197,693)
|
|
|
|
SFTs adjustments
|
22,294
|
21,114
|
|
|
|
Regulatory deductions and other adjustments
|
(18,111)
|
(17,469)
|
|
|
|
Weighted off-balance sheet commitments
|
118,134
|
113,704
|
|
|
|
Qualifying central bank claims
|
(167,054)
|
(155,890)
|
|
|
|
Settlement netting
|
(44,527)
|
(21,229)
|
|
|
|
UK leverage exposure
|
1,145,413
|
1,090,907
|
1
|
Fully loaded
average UK leverage ratio was 4.7%, with £54.8bn of T1 capital
and £1,173bn of leverage exposure. Fully loaded UK leverage
ratio was 4.8%, with £54.7bn of T1 capital and £1,143bn
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 £28bn to
£1,175bn (December 2020: £1,147bn) largely driven by an
increase in securities financing transactions (SFTs).
The UK
leverage ratio decreased to 5.0% (December 2020: 5.3%). The UK
leverage exposure increased by £54.5bn to £1,145bn
(December 2020: £1,091bn) primarily driven by:
●
|
A
£25.5bn increase in SFTs; and
|
●
|
A
£11.4bn increase in PFE on derivatives driven by increased
trading activity
|
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 Q1 2021, due to be published on 30 April 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 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
31 March 2021, the Group’s MREL requirement was to meet 7.0%
of CRR leverage exposures. On 19 January 2021 the BoE published
indicative MREL requirements that show the Group’s highest
requirement in 2022 will be 7.7% of CRR leverage exposure, based on
30 September 2020 exposures. The BoE is currently reviewing the
MREL calibration and intends to make any policy changes by the end
of 2021. Separately, the FPC intends to review the UK leverage
framework in 2021 and this, along with any MREL policy changes, may
result in a different MREL requirement from 1 January 2022 than
that which is currently proposed. 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
31.03.21
|
As at
31.12.20
|
|
As at
31.03.21
|
As at
31.12.20
|
Total Barclays PLC (the Parent company) own funds and eligible
liabilities
|
32.1%
|
32.7%
|
|
7.6%
|
8.0%
|
Total own funds and eligible liabilities, including eligible
Barclays Bank PLC instruments3
|
32.8%
|
33.6%
|
|
7.8%
|
8.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
Own funds and
eligible liabilities1,2
|
|
|
|
As at
31.03.21
|
As at
31.12.20
|
|
|
|
|
£m
|
£m
|
CET1 capital
|
|
45,904
|
46,296
|
AT1 capital instruments and related share premium
accounts4
|
|
11,099
|
11,092
|
T2 capital instruments and related share premium
accounts4
|
|
8,886
|
7,733
|
Eligible liabilities
|
|
34,571
|
35,086
|
Total Barclays PLC (the Parent company) own funds and eligible
liabilities
|
|
100,460
|
100,207
|
Qualifying AT1 capital (including minority interests) issued by
subsidiaries
|
|
655
|
646
|
Qualifying T2 capital (including minority interests) issued by
subsidiaries
|
|
1,641
|
1,893
|
Total own funds and eligible liabilities, including eligible
Barclays Bank PLC instruments3
|
|
102,756
|
102,746
|
|
|
|
|
|
|
Total RWAs
|
|
313,356
|
306,203
|
Total CRR leverage
exposure5
|
|
1,320,628
|
1,254,157
|
1
|
CET1, T1 and T2
capital, and RWAs are calculated applying the transitional
arrangements of the CRR as amended by CRR II. This includes IFRS 9
transitional arrangements and the grandfathering of CRR and CRR II
non-compliant capital instruments.
|
2
|
The BoE has set
external MREL based on the higher of RWAs and CRR or UK leverage
exposures which could result in the binding measure changing in
future periods. The 31 March 2021 Barclays PLC (the Parent company)
own funds and eligible liabilities ratio as a percentage of the UK
leverage exposure was 8.8% and as a percentage of the average UK
leverage exposure was 8.6%.
|
3
|
Own funds
instruments issued by subsidiaries will not be counted towards MREL
from 1 January 2022.
|
4
|
Includes other
AT1 capital regulatory adjustments and deductions of £80m
(December 2020: £80m), and other T2 credit risk adjustments
and deductions of £65m (December 2020:
£103m).
|
5
|
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
|
|
|
Three months ended
|
Three months ended
|
|
|
31.03.21
|
31.03.20
|
|
|
£m
|
£m
|
Total income
|
|
5,900
|
6,283
|
Credit impairment charges
|
|
(55)
|
(2,115)
|
Net operating income
|
|
5,845
|
4,168
|
Operating expenses excluding litigation and conduct
|
|
(3,545)
|
(3,253)
|
Litigation and conduct
|
|
(33)
|
(10)
|
Operating expenses
|
|
(3,578)
|
(3,263)
|
Other net income
|
|
132
|
8
|
Profit before tax
|
|
2,399
|
913
|
Tax charge
|
|
(496)
|
(71)
|
Profit after tax
|
|
1,903
|
842
|
|
|
|
|
Attributable to:
|
|
|
|
Equity holders of the parent
|
|
1,704
|
605
|
Other equity instrument holders
|
|
195
|
221
|
Total equity holders of the parent
|
|
1,899
|
826
|
Non-controlling interests
|
|
4
|
16
|
Profit after tax
|
|
1,903
|
842
|
|
|
|
|
Earnings per share
|
|
p
|
p
|
Basic earnings per ordinary share
|
|
9.9
|
3.5
|
Condensed consolidated balance sheet
|
|
|
As at
|
As at
|
|
|
31.03.21
|
31.12.20
|
Assets
|
|
£m
|
£m
|
Cash and balances at central banks
|
|
209,521
|
191,127
|
Cash collateral and settlement balances
|
|
112,662
|
101,367
|
Loans and advances at amortised cost
|
|
345,778
|
342,632
|
Reverse repurchase agreements and other similar secured
lending
|
|
10,276
|
9,031
|
Trading portfolio assets
|
|
131,226
|
127,950
|
Financial assets at fair value through the income
statement
|
|
201,610
|
175,151
|
Derivative financial instruments
|
|
270,717
|
302,446
|
Financial assets at fair value through other comprehensive
income
|
|
74,680
|
78,688
|
Investments in associates and joint ventures
|
|
917
|
781
|
Goodwill and intangible assets
|
|
7,867
|
7,948
|
Current tax assets
|
|
170
|
477
|
Deferred tax assets
|
|
4,053
|
3,444
|
Other assets
|
|
10,179
|
8,472
|
Total assets
|
|
1,379,656
|
1,349,514
|
|
|
|
|
Liabilities
|
|
|
|
Deposits at amortised cost
|
|
498,752
|
481,036
|
Cash collateral and settlement balances
|
|
107,130
|
85,423
|
Repurchase agreements and other similar secured
borrowing
|
|
20,949
|
14,174
|
Debt securities in issue
|
|
87,291
|
75,796
|
Subordinated liabilities
|
|
15,944
|
16,341
|
Trading portfolio liabilities
|
|
60,735
|
47,405
|
Financial liabilities designated at fair value
|
|
249,852
|
249,765
|
Derivative financial instruments
|
|
260,407
|
300,775
|
Current tax liabilities
|
|
768
|
645
|
Deferred tax liabilities
|
|
15
|
15
|
Other liabilities
|
|
11,644
|
11,257
|
Total liabilities
|
|
1,313,487
|
1,282,632
|
|
|
|
|
Equity
|
|
|
|
Called up share capital and share premium
|
|
4,619
|
4,637
|
Other reserves
|
|
2,648
|
4,461
|
Retained earnings
|
|
46,659
|
45,527
|
Shareholders' equity attributable to ordinary shareholders of the
parent
|
|
53,926
|
54,625
|
Other equity instruments
|
|
11,179
|
11,172
|
Total equity excluding non-controlling interests
|
|
65,105
|
65,797
|
Non-controlling interests
|
|
1,064
|
1,085
|
Total equity
|
|
66,169
|
66,882
|
|
|
|
|
Total liabilities and equity
|
|
1,379,656
|
1,349,514
|
Condensed consolidated statement of changes in equity
|
|
Called up share capital and share premium
|
Other equity instruments
|
Other reserves
|
Retained earnings
|
Total
|
Non-controlling interests
|
Total equity
|
Three months ended 31.03.21
|
£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
|
-
|
195
|
-
|
1,704
|
1,899
|
4
|
1,903
|
Retirement benefit remeasurements
|
-
|
-
|
-
|
(186)
|
(186)
|
-
|
(186)
|
Other
|
-
|
-
|
(1,842)
|
-
|
(1,842)
|
-
|
(1,842)
|
Total comprehensive income for the period
|
-
|
195
|
(1,842)
|
1,518
|
(129)
|
4
|
(125)
|
Equity settled share schemes and hedges thereof
|
9
|
-
|
-
|
266
|
275
|
-
|
275
|
Other equity instruments coupons paid
|
-
|
(195)
|
-
|
-
|
(195)
|
-
|
(195)
|
Vesting of shares under employee share schemes
|
-
|
-
|
2
|
(386)
|
(384)
|
-
|
(384)
|
Repurchase of shares
|
(27)
|
-
|
27
|
(261)
|
(261)
|
-
|
(261)
|
Dividends paid
|
-
|
-
|
-
|
-
|
-
|
(1)
|
(1)
|
Other movements
|
-
|
7
|
-
|
(5)
|
2
|
(24)
|
(22)
|
Balance as at 31 March 2021
|
4,619
|
11,179
|
2,648
|
46,659
|
65,105
|
1,064
|
66,169
|
|
|
|
|
|
|
|
|
|
|
|
|
As at
|
As at
|
|
31.03.21
|
31.12.20
|
Other reserves
|
£m
|
£m
|
Currency translation reserve
|
2,393
|
2,871
|
Fair value through other comprehensive income reserve
|
(315)
|
5
|
Cash flow hedging reserve
|
849
|
1,575
|
Own credit reserve
|
(1,272)
|
(954)
|
Other reserves and treasury shares
|
993
|
964
|
Total
|
2,648
|
4,461
|
Basis of preparation
The
condensed consolidated financial statements are prepared in
accordance with the recognition and measurement requirements of
UK-adopted international accounting standards (UK-adopted
International Financial Reporting Standards). Following the
UK’s departure from the European Union (EU) at the end of the
Brexit transition period on 31 December 2020, all EU endorsed IFRS
became UK-adopted IFRS. On 6 January 2021, the UK endorsed the
phase 2 amendments to IFRS 9 and IAS 39 in respect of interest rate
benchmark reform, which was also endorsed by the EU on 13 January
2021 and were early adopted in the Barclays PLC 2020 Annual Report.
UK adopted IFRS and EU endorsed IFRS are currently the
same.
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 page 32 to 33.
|
Return
on average allocated tangible equity
|
Annualised profit
after tax attributable to ordinary equity holders of the parent, as
a proportion of average allocated tangible equity. The components
of the calculation have been included on page 32 to
34.
|
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 16.
|
Net
interest margin
|
Annualised net
interest income divided by the sum of average customer assets. The
components of the calculation have been included on page
15.
|
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
34.
|
Pre-provision
profits
|
Calculated by
excluding credit impairment charges from profit before tax. The
components of the calculation have been included on page
33.
|
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
|
Three months ended 31.03.21
|
£m
|
|
£bn
|
|
%
|
Barclays UK
|
298
|
|
9.9
|
|
12.0
|
Corporate and Investment Bank
|
1,263
|
|
28.2
|
|
17.9
|
Consumer, Cards and Payments
|
168
|
|
4.1
|
|
16.5
|
Barclays International
|
1,431
|
|
32.3
|
|
17.7
|
Head Office
|
(25)
|
|
4.3
|
|
n/m
|
Barclays Group
|
1,704
|
|
46.5
|
|
14.7
|
|
|
|
|
|
|
Three months ended 31.03.20
|
|
|
|
|
|
Barclays UK
|
175
|
|
10.1
|
|
6.9
|
Corporate and Investment Bank
|
820
|
|
26.2
|
|
12.5
|
Consumer, Cards and Payments
|
(291)
|
|
5.0
|
|
(23.5)
|
Barclays International
|
529
|
|
31.2
|
|
6.8
|
Head Office
|
(99)
|
|
5.6
|
|
n/m
|
Barclays Group
|
605
|
|
47.0
|
|
5.1
|
Barclays Group
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Return on average tangible shareholders' equity
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Attributable profit/(loss)
|
1,704
|
|
220
|
611
|
90
|
605
|
|
681
|
(292)
|
1,034
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Average shareholders' equity
|
54.4
|
|
55.7
|
56.4
|
58.4
|
55.2
|
|
54.5
|
56.4
|
54.0
|
Average goodwill and intangibles
|
(7.9)
|
|
(8.1)
|
(8.1)
|
(8.2)
|
(8.2)
|
|
(8.1)
|
(8.0)
|
(7.8)
|
Average tangible shareholders' equity
|
46.5
|
|
47.6
|
48.3
|
50.2
|
47.0
|
|
46.4
|
48.4
|
46.2
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible shareholders' equity
|
14.7%
|
|
1.8%
|
5.1%
|
0.7%
|
5.1%
|
|
5.9%
|
(2.4%)
|
9.0%
|
|
|
|
|
|
|
|
|
|
|
|
Pre-provision profits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit before tax excluding credit impairment charges
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Profit before tax
|
2,399
|
|
646
|
1,147
|
359
|
913
|
|
1,097
|
246
|
1,531
|
Impact of credit impairment charges
|
55
|
|
492
|
608
|
1,623
|
2,115
|
|
523
|
461
|
480
|
Profit before tax excluding credit impairment charges
|
2,454
|
|
1,138
|
1,755
|
1,982
|
3,028
|
|
1,620
|
707
|
2,011
|
Barclays UK
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Return on average allocated tangible equity
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Attributable profit/(loss)
|
298
|
|
160
|
113
|
(123)
|
175
|
|
438
|
(907)
|
328
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Average allocated equity
|
13.5
|
|
13.4
|
13.7
|
13.9
|
13.7
|
|
13.8
|
13.9
|
13.8
|
Average goodwill and intangibles
|
(3.6)
|
|
(3.6)
|
(3.6)
|
(3.6)
|
(3.6)
|
|
(3.5)
|
(3.5)
|
(3.5)
|
Average allocated tangible equity
|
9.9
|
|
9.8
|
10.1
|
10.3
|
10.1
|
|
10.3
|
10.4
|
10.3
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
12.0%
|
|
6.5%
|
4.5%
|
(4.8%)
|
6.9%
|
|
17.0%
|
(34.9%)
|
12.7%
|
|
|
|
|
|
|
|
|
|
|
|
Barclays International
|
|
|
|
|
|
|
|
|
|
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Return on average allocated tangible equity
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Attributable profit
|
1,431
|
|
441
|
782
|
468
|
529
|
|
397
|
799
|
832
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Average allocated equity
|
32.8
|
|
31.1
|
31.2
|
34.2
|
31.9
|
|
31.9
|
33.3
|
32.1
|
Average goodwill and intangibles
|
(0.5)
|
|
(0.6)
|
(0.6)
|
(0.7)
|
(0.7)
|
|
(1.0)
|
(1.1)
|
(1.0)
|
Average allocated tangible equity
|
32.3
|
|
30.5
|
30.6
|
33.5
|
31.2
|
|
30.9
|
32.2
|
31.1
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
17.7%
|
|
5.8%
|
10.2%
|
5.6%
|
6.8%
|
|
5.1%
|
9.9%
|
10.7%
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and Investment Bank
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Return on average allocated tangible equity
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Attributable profit
|
1,263
|
|
413
|
627
|
694
|
820
|
|
193
|
609
|
596
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Average allocated equity
|
28.2
|
|
26.3
|
26.4
|
29.1
|
26.2
|
|
25.9
|
26.9
|
25.8
|
Average goodwill and intangibles
|
-
|
|
-
|
-
|
(0.1)
|
-
|
|
(0.1)
|
-
|
-
|
Average allocated tangible equity
|
28.2
|
|
26.3
|
26.4
|
29.0
|
26.2
|
|
25.8
|
26.9
|
25.8
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
17.9%
|
|
6.3%
|
9.5%
|
9.6%
|
12.5%
|
|
3.0%
|
9.1%
|
9.2%
|
|
|
|
|
|
|
|
|
|
|
|
Consumer, Cards and Payments
|
|
Q121
|
|
Q420
|
Q320
|
Q220
|
Q120
|
|
Q419
|
Q319
|
Q219
|
Return on average allocated tangible equity
|
£m
|
|
£m
|
£m
|
£m
|
£m
|
|
£m
|
£m
|
£m
|
Attributable profit/(loss)
|
168
|
|
28
|
155
|
(226)
|
(291)
|
|
204
|
190
|
236
|
|
|
|
|
|
|
|
|
|
|
|
|
£bn
|
|
£bn
|
£bn
|
£bn
|
£bn
|
|
£bn
|
£bn
|
£bn
|
Average allocated equity
|
4.6
|
|
4.8
|
4.8
|
5.1
|
5.7
|
|
6.0
|
6.4
|
6.3
|
Average goodwill and intangibles
|
(0.5)
|
|
(0.6)
|
(0.6)
|
(0.6)
|
(0.7)
|
|
(0.9)
|
(1.1)
|
(1.0)
|
Average allocated tangible equity
|
4.1
|
|
4.2
|
4.2
|
4.5
|
5.0
|
|
5.1
|
5.3
|
5.3
|
|
|
|
|
|
|
|
|
|
|
|
Return on average allocated tangible equity
|
16.5%
|
|
2.7%
|
14.7%
|
(20.2%)
|
(23.5%)
|
|
15.9%
|
14.2%
|
17.8%
|
|
|
|
|
|
|
|
|
|
|
|
Tangible net asset value per share
|
As at
|
As at
|
As at
|
|
31.03.21
|
31.12.20
|
31.03.20
|
|
£m
|
£m
|
£m
|
Total equity excluding non-controlling interests
|
65,105
|
65,797
|
68,369
|
Other equity instruments
|
(11,179)
|
(11,172)
|
(10,871)
|
Goodwill and intangibles
|
(7,867)
|
(7,948)
|
(8,209)
|
Tangible shareholders' equity attributable to ordinary shareholders
of the parent
|
46,059
|
46,677
|
49,289
|
|
|
|
|
|
m
|
m
|
m
|
Shares in issue
|
17,257
|
17,359
|
17,322
|
|
|
|
|
|
p
|
p
|
p
|
Tangible net asset value per share
|
267
|
269
|
284
|
Shareholder Information
|
|
|
|
|
|
|
Results timetable1
|
|
|
Date
|
|
|
|
2021 Interim Results Announcement
|
|
|
28 July 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change3
|
Exchange rates2
|
31.03.21
|
31.12.20
|
31.03.20
|
|
31.12.20
|
31.03.20
|
Period end - USD/GBP
|
1.38
|
1.37
|
1.24
|
|
1%
|
11%
|
3 month average - USD/GBP
|
1.38
|
1.32
|
1.28
|
|
5%
|
8%
|
Period end - EUR/GBP
|
1.18
|
1.12
|
1.13
|
|
5%
|
4%
|
3 month average - EUR/GBP
|
1.14
|
1.11
|
1.16
|
|
3%
|
(2%)
|
|
|
|
|
|
|
|
Share price data
|
|
|
|
|
|
|
Barclays PLC (p)
|
185.92
|
146.68
|
94.11
|
|
|
|
Barclays PLC number of shares (m)
|
17,223
|
17,359
|
17,332
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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 three months ended 31 March 2021 to the
corresponding three months of 2020 and balance sheet analysis as at
31 March 2021 with comparatives relating to 31 December 2020 and 31
March 2020. The abbreviations ‘£m’ and
‘£bn’ represent millions and thousands of millions
of Pounds Sterling respectively; the abbreviations
‘$m’, ‘$bn’ and ‘$trn’
represent millions, thousands of millions and thousands of billions
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 29
April 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 contain 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)
will be delivered to the Registrar of Companies in accordance with
Section 441 of the Companies Act 2006.
These results will be furnished on
Form 6-K with 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 31 to 34 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 government and other
stakeholders to 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 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 our filings with the SEC (including, without
limitation, our Annual Report on Form 20-F for the fiscal year
ended 31 December 2020), which are available on the SEC’s
website at www.sec.gov.
Subject to our 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.