v3.26.1
Tax (Tables)
 6 Months Ended
Jun. 30, 2026
Income taxes paid (refund) [abstract]  
Schedule of relationship between tax expense and accounting profit An explanation of the relationship between tax expense and accounting profit is set out below:
Half-year
to 30 Jun
2026
£m
Half-year
to 30 Jun
2025
£m
Profit before tax
3,556
2,758
UK corporation tax thereon at 25.0% (2025: 25.0%)
(889)
(689)
Impact of surcharge on banking profits
(90)
(81)
Non-deductible costs: conduct charges
–
1
Other non-deductible costs1
(30)
(49)
Non-taxable income1
36
12
Tax relief on coupons on other equity instruments
54
54
Non-taxable (non-deductible) foreign exchange gains (losses)1
16
(71)
Tax-exempt gains on disposals
–
2
Differences in overseas tax rates
(5)
5
Adjustments in respect of prior years
3
(2)
Tax expense
(905)
(818)
1Non-taxable (non-deductible) foreign exchange gains (losses) on non-sterling denominated other equity instruments and on
net investment hedging of subsidiaries, previously shown in aggregate within other non-deductible costs and non-taxable
income, are now presented as an individual line item. Comparatives are represented on a consistent basis.