Allowance for impairment losses

6 Months Ended

Jun. 30, 2018

Allowance for impairment losses.

Allowance for impairment losses

11.Allowance for impairment losses

	Stage 1		Stage 2		Stage 3		Total
	£m		£m		£m		£m
In respect of drawn balances
Balance at 31 December 2017							2,227
Adjustment for IFRS 9 (note 22)							1,033
Balance at 1 January 2018	567		1,105		1,588		3,260
Exchange and other adjustments	—		10		28		38
Advances written off	—		—		(795	)	(795	)
Recoveries of advances written off in previous years	—		—		113		113
Charge to the income statement	(56	)	(142	)	668		470
	511		973		1,602		3,086
In respect of undrawn balances
Balance at 31 December 2017							30
Adjustment for IFRS 9 (note 22)							243
Balance at 1 January 2018	147		126		—		273
Exchange and other adjustments	(15	)	(16	)	21		(10	)
Charge to the income statement	10		(36	)	11		(15	)
	142		74		32		248
At 30 June 2018	653		1,047		1,634		3,334
In respect of:
Loans and advances to banks	1		—		—		1
Loans and advances to customers (note 10)	510		965		1,581		3,056
Debt securities	—		—		19		19
Other assets	—		8		2		10
Drawn balances	511		973		1,602		3,086
Provisions in relation to loan commitments and financial guarantees	142		74		32		248
Total allowance for impairment losses	653		1,047		1,634		3,334