v3.26.1
Segmental analysis (Tables)
 6 Months Ended
Jun. 30, 2026
Disclosure of operating segments [abstract]  
Schedule of operating segments
Half-year to 30 June 2026
Retail
£m
Commercial
Banking
£m
Insurance,
Pensions
and
Investments
£m
Other
£m
Total
£m
Underlying net interest income
5,139
2,014
(71)
196
7,278
Underlying other income
1,406
889
818
197
3,310
Total underlying income
6,545
2,903
747
393
10,588
Underlying operating lease depreciation1
(835)
(6)
–
–
(841)
Underlying income, net of underlying operating lease
depreciation
5,710
2,897
747
393
9,747
Underlying operating costs
(2,872)
(1,409)
(494)
(101)
(4,876)
Remediation
(17)
(12)
(7)
(3)
(39)
Total underlying costs
(2,889)
(1,421)
(501)
(104)
(4,915)
Underlying impairment charge
(565)
(51)
(1)
–
(617)
Underlying profit before tax
2,256
1,425
245
289
4,215
External income
8,339
1,855
829
(435)
10,588
External operating lease depreciation1
(835)
(6)
–
–
(841)
Inter-segment (expense) income
(1,794)
1,048
(82)
828
–
Net income
5,710
2,897
747
393
9,747
Loans and advances to customers2
395,450
96,211
–
17
491,678
External assets
410,016
162,481
233,494
188,166
994,157
Customer deposits
321,836
178,623
–
400
500,859
External liabilities
328,921
228,374
228,282
161,343
946,920
1Net of losses on disposal of operating lease assets of £32 million.
2Other includes central fair value hedge accounting adjustments.
NOTES TO THE CONDENSED CONSOLIDATED HALF-YEAR FINANCIAL STATEMENTS (UNAUDITED) (continued)
Note 3: Segmental analysis (continued)
Half-year to 30 June 2025
Retail
£m
Commercial
Banking
£m
Insurance,
Pensions
and
Investments
£m
Other
£m
Total
£m
Underlying net interest income
4,709
1,766
(78)
258
6,655
Underlying other income
1,276
926
689
78
2,969
Total underlying income
5,985
2,692
611
336
9,624
Underlying operating lease depreciation1
(706)
(4)
–
–
(710)
Underlying income, net of underlying operating lease
depreciation
5,279
2,688
611
336
8,914
Underlying operating costs
(2,922)
(1,394)
(466)
(92)
(4,874)
Remediation
(41)
–
(2)
6
(37)
Total underlying costs
(2,963)
(1,394)
(468)
(86)
(4,911)
Underlying impairment (charge) credit
(342)
(100)
1
(1)
(442)
Underlying profit before tax
1,974
1,194
144
249
3,561
External income
7,377
1,767
690
(210)
9,624
External operating lease depreciation1
(706)
(4)
–
–
(710)
Inter-segment (expense) income
(1,392)
925
(79)
546
–
Net income
5,279
2,688
611
336
8,914
Loans and advances to customers2
382,211
88,716
–
671
471,598
External assets
396,606
151,336
197,520
173,820
919,282
Customer deposits
323,365
170,217
–
350
493,932
External liabilities
329,493
215,329
192,760
134,829
872,411
Half-year to 31 December 2025
Underlying net interest income
4,928
1,904
(73)
221
6,980
Underlying other income
1,360
899
742
150
3,151
Total underlying income
6,288
2,803
669
371
10,131
Underlying operating lease depreciation1
(739)
(5)
–
–
(744)
Underlying income, net of underlying operating lease
depreciation
5,549
2,798
669
371
9,387
Underlying operating costs
(2,885)
(1,459)
(467)
(76)
(4,887)
Remediation
(890)
(27)
(13)
(1)
(931)
Total underlying costs
(3,775)
(1,486)
(480)
(77)
(5,818)
Underlying impairment (charge) credit
(392)
40
(3)
2
(353)
Underlying profit before tax
1,382
1,352
186
296
3,216
External income
8,006
1,732
746
(353)
10,131
External operating lease depreciation1
(739)
(5)
–
–
(744)
Inter-segment (expense) income
(1,718)
1,071
(77)
724
–
Net income
5,549
2,798
669
371
9,387
Loans and advances to customers2
390,616
90,307
–
540
481,463
External assets
404,882
147,186
218,137
173,867
944,072
Customer deposits
325,169
171,063
–
225
496,457
External liabilities
331,244
211,175
213,520
140,266
896,205
1Net of losses on disposal of operating lease assets of £3 million in the half-year to 30 June 2025 and £7 million in the half-year
to 31 December 2025.
2Other includes central fair value hedge accounting adjustments.
Schedule of reconciliation of underlying basis to statutory results The table below reconciles the statutory results to the underlying basis.
Group statutory basis
Removal of:
Total of segments’ amounts
£m
Restructuring1
£m
Volatility
and other
items2,3,4
£m
Insurance
gross up5
£m
£m
Half-year to 30 June 2026
Net interest income
7,105
–
172
1
7,278
Underlying net interest
income
Other income
3,521
–
(334)
123
3,310
Underlying other income
–
(841)
–
(841)
Underlying operating
lease depreciation6
Total income
10,626
–
(1,003)
124
9,747
Underlying income, net of
underlying operating
lease depreciation
Operating expenses6
(5,717)
34
891
(123)
(4,915)
Total underlying costs
Impairment charge
(616)
–
–
(1)
(617)
Underlying impairment
charge
Profit before tax
4,293
34
(112)
–
4,215
Underlying profit before
tax
Half-year to 30 June 2025
Net interest income
6,478
–
177
–
6,655
Underlying net interest
income
Other income
2,908
–
(68)
129
2,969
Underlying other income
–
(710)
–
(710)
Underlying operating
lease depreciation6
Total income
9,386
–
(601)
129
8,914
Underlying income, net of
underlying operating
lease depreciation
Operating expenses6
(5,440)
9
649
(129)
(4,911)
Total underlying costs
Impairment charge
(442)
–
–
–
(442)
Underlying impairment
charge
Profit before tax
3,504
9
48
–
3,561
Underlying profit before
tax
Half-year to 31 December 2025
Net interest income
6,752
–
226
2
6,980
Underlying net interest
income
Other income
3,284
–
(258)
125
3,151
Underlying other income
–
(744)
–
(744)
Underlying operating
lease depreciation6
Total income
10,036
–
(776)
127
9,387
Underlying income, net of
underlying operating
lease depreciation
Operating expenses6
(6,526)
37
798
(127)
(5,818)
Total underlying costs
Impairment charge
(353)
–
–
–
(353)
Underlying impairment
charge
Profit before tax
3,157
37
22
–
3,216
Underlying profit before
tax
1Restructuring, previously presented within volatility and other items, is now shown separately. Comparative periods are
represented on a consistent basis.
2In the half-year ended 30 June 2026 this comprised the effects of market and other volatility (gains of £186 million); the
amortisation of purchased intangibles (£65 million); and fair value unwind (losses of £9 million).
3In the half-year ended 30 June 2025 this comprised the effects of market and other volatility (gains of £27 million); the
amortisation of purchased intangibles (£40 million); and fair value unwind (losses of £35 million).
4In the half-year ended 31 December 2025 this comprised the effects of market and other volatility (gains of £45 million); the
amortisation of purchased intangibles (£46 million); and fair value unwind (losses of £21 million).
5Under IFRS 17, expenses which are directly associated with the fulfilment of insurance contracts are reported as part of the
insurance service result within statutory other income. On an underlying basis these expenses remain within costs.
6Net of losses on disposal of operating lease assets of £32 million (half-year to 30 June 2025: £3 million; half-year to 31
December 2025: £7 million). Statutory operating expenses includes operating lease depreciation. On an underlying basis
operating lease depreciation is included in net income.