RBS reported an operating profit before tax of £1,951 million for H1 2017 and an attributable profit(1) of £939 million. An operating profit before tax of £1,238 million and an attributable profit of £680 million were reported in Q2 2017.
Across our Personal & Business Banking (PBB), Commercial & Private Banking (CPB) and NatWest Markets (NWM) businesses, RBS reported an adjusted operating profit(2) of £2,678 million, an increase of £608 million, or 29%, compared with H1 2016. Adjusted return on equity across PBB, CPB and NatWest Markets was 14.1% compared with 10.9% in H1 2016.
Common Equity Tier 1 ratio increased by 70 basis points in the quarter to 14.8%, and remains ahead of our 13.0% target.
NatWest Markets has reviewed ways to minimise disruption to the business and continue to serve its customers well in the event of any loss of EU passporting. Should the outcome of the current EU separation negotiations make it necessary, NatWest Markets is ensuring our existing RBS N.V. banking licence in the Netherlands is operationally ready.
RBS CEO Ross McEwan said:
"Our progress in the first half of the year means that today we can spend less time talking about the bank we were and more about the bank we are becoming.
We have continued, at pace, to build a simpler, safer and even more customer-focused bank that has now delivered two consecutive quarters of bottom line profit – totalling £939 million.
We’re doing what we said we would at our full year results in February – growing income, reducing cost and improving returns for shareholders, while also starting to deliver a better service for customers.
We see the first six months of this year as proof of the investment case for this bank: our path to sustainable profitability is becoming clearer and closer and we have resolved some of the most significant issues this bank faced. "
(1) Attributable to ordinary shareholders.
(2) Operating profit before tax excluding own credit adjustments, (loss)/gain on redemption of own debt, strategic disposals, restructuring, litigation and conduct costs.
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