XML 52 R45.htm IDEA: XBRL DOCUMENT v3.20.2
Accounting policies, presentation and estimates (Details) - GBP (£)
£ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2020
Dec. 31, 2019
Allowance for impairment losses    
Allowance account for credit losses of financial assets £ 6,541 £ 3,455
Averaged period (in years) 5 years  
Modelled ECL    
Allowance for impairment losses    
Allowance account for credit losses of financial assets £ 5,559 3,294
Economic outlook post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 636  
Other post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 346 161
10pp increase in HPI    
Sensitivity of ECL to key economic variables    
ECL impact (149) (110)
10pp decrease in HPI    
Sensitivity of ECL to key economic variables    
ECL impact 185 147
1pp increase in unemployment    
Sensitivity of ECL to key economic variables    
ECL impact 294 141
1pp decrease in unemployment    
Sensitivity of ECL to key economic variables    
ECL impact (276) (143)
Drawn balance    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 6,040 3,278
UK Mortgages    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 1,111  
UK Mortgages | Modelled ECL    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 803  
UK Mortgages | Economic outlook post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 50  
UK Mortgages | Other post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 258  
UK Mortgages | Other post model adjustment | Interest-only mortgages    
Post-model adjustments    
Increase (decrease) in credit loss 171 132
UK Mortgages | Other post model adjustment | Accounts in long-term default    
Post-model adjustments    
Increase (decrease) in credit loss 34 33
UK Mortgages | Other post model adjustment | Additional risk on forborne accounts    
Post-model adjustments    
Increase (decrease) in credit loss 21  
UK Mortgages | Other post model adjustment | Adjustments to possession rate levels    
Post-model adjustments    
Increase (decrease) in credit loss 32  
Other Retail    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 2,404  
Other Retail | Modelled ECL    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 2,008  
Other Retail | Economic outlook post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 358  
Other Retail | Other post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 38  
Other Retail | Other post model adjustment | Modelled lifetime on revolving products    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 38 36
Commercial Banking    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 2,763  
Commercial Banking | Modelled ECL    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 2,685  
Commercial Banking | Economic outlook post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 28  
Commercial Banking | Other post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 50  
Other    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 263  
Other | Modelled ECL    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 63  
Other | Economic outlook post model adjustment    
Allowance for impairment losses    
Allowance account for credit losses of financial assets 200  
Probability-weighted scenario    
Impact of multiple economic scenarios    
ECL allowance 6,541 3,455
Probability-weighted scenario | UK Mortgages    
Impact of multiple economic scenarios    
ECL allowance 1,111 569
Probability-weighted scenario | Other Retail    
Impact of multiple economic scenarios    
ECL allowance 2,404 1,521
Probability-weighted scenario | Commercial Banking    
Impact of multiple economic scenarios    
ECL allowance 2,763 1,315
Probability-weighted scenario | Other    
Impact of multiple economic scenarios    
ECL allowance £ 263 £ 50
Base Case Scenario    
Allowance for impairment losses    
Weightage 30.00% 30.00%
Economic assumptions    
GDP 0.40% 1.40%
Interest rate 0.15% 1.25%
Unemployment rate 6.00% 4.30%
House price growth 0.40% 1.00%
CRE price growth (0.60%) 0.00%
Impact of multiple economic scenarios    
Impact of MES £ 510 £ 191
ECL allowance £ 6,031 3,264
Base Case Scenario | 2020    
Economic assumptions    
GDP (10.00%)  
Interest rate 0.10%  
Unemployment rate 7.20%  
House price growth (6.00%)  
CRE price growth (20.00%)  
Base Case Scenario | 2020 Q1    
Economic assumptions    
GDP (1.60%)  
Interest rate 0.10%  
Unemployment rate 3.90%  
House price growth 2.80%  
CRE price growth (5.00%)  
Base Case Scenario | 2020 Q2    
Economic assumptions    
GDP (19.30%)  
Interest rate 0.10%  
Unemployment rate 7.50%  
House price growth 0.90%  
CRE price growth (12.30%)  
Base Case Scenario | 2020 Q3    
Economic assumptions    
GDP (10.90%)  
Interest rate 0.10%  
Unemployment rate 8.50%  
House price growth (2.40%)  
CRE price growth (19.90%)  
Base Case Scenario | 2020 Q4    
Economic assumptions    
GDP (8.10%)  
Interest rate 0.10%  
Unemployment rate 9.00%  
House price growth (6.00%)  
CRE price growth (20.00%)  
Base Case Scenario | 2021    
Economic assumptions    
GDP 6.00%  
Interest rate 0.10%  
Unemployment rate 7.00%  
House price growth (0.10%)  
CRE price growth 10.00%  
Base Case Scenario | 2021 Q1    
Economic assumptions    
GDP (4.70%)  
Interest rate 0.10%  
Unemployment rate 8.00%  
House price growth (6.30%)  
CRE price growth (14.40%)  
Base Case Scenario | 2021 Q2    
Economic assumptions    
GDP 18.10%  
Interest rate 0.10%  
Unemployment rate 7.40%  
House price growth (4.00%)  
CRE price growth (3.70%)  
Base Case Scenario | 2021Q3    
Economic assumptions    
GDP 7.70%  
Interest rate 0.10%  
Unemployment rate 6.60%  
House price growth (1.10%)  
CRE price growth 7.70%  
Base Case Scenario | 2021Q4    
Economic assumptions    
GDP 5.10%  
Interest rate 0.10%  
Unemployment rate 6.20%  
House price growth (0.10%)  
CRE price growth 10.00%  
Base Case Scenario | 2022    
Economic assumptions    
GDP 3.00%  
Interest rate 0.10%  
Unemployment rate 5.70%  
House price growth 2.90%  
CRE price growth 4.00%  
Base Case Scenario | 2020-2022    
Economic assumptions    
GDP (1.80%)  
Interest rate 0.10%  
Unemployment rate 6.70%  
House price growth (3.30%)  
CRE price growth (8.50%)  
Base Case Scenario | UK Mortgages    
Impact of multiple economic scenarios    
ECL allowance £ 929 464
Base Case Scenario | Other Retail    
Impact of multiple economic scenarios    
ECL allowance 2,383 1,492
Base Case Scenario | Commercial Banking    
Impact of multiple economic scenarios    
ECL allowance 2,656 1,258
Base Case Scenario | Other    
Impact of multiple economic scenarios    
ECL allowance £ 63 £ 50
Base Case Scenario | Start to peak    
Economic assumptions    
GDP 1.90% 7.00%
Interest rate 0.25% 1.75%
Unemployment rate 9.00% 4.60%
House price growth 2.10% 5.20%
CRE price growth (2.70%) 0.10%
Base Case Scenario | Start to trough    
Economic assumptions    
GDP (19.70%) 0.40%
Interest rate 0.10% 0.75%
Unemployment rate 3.90% 3.80%
House price growth (6.10%) (2.70%)
CRE price growth (20.00%) (0.90%)
Upside Scenario    
Allowance for impairment losses    
Weightage 30.00% 30.00%
Economic assumptions    
GDP 0.80% 1.70%
Interest rate 1.06% 2.04%
Unemployment rate 5.50% 3.90%
House price growth 4.70% 4.80%
CRE price growth 2.70% 1.80%
Impact of multiple economic scenarios    
ECL allowance £ 5,460 £ 3,021
Upside Scenario | 2020    
Economic assumptions    
GDP (9.50%)  
Interest rate 0.21%  
Unemployment rate 7.10%  
House price growth (3.70%)  
CRE price growth (8.40%)  
Upside Scenario | 2021    
Economic assumptions    
GDP 7.50%  
Interest rate 1.15%  
Unemployment rate 6.20%  
House price growth 5.00%  
CRE price growth 18.60%  
Upside Scenario | 2022    
Economic assumptions    
GDP 3.10%  
Interest rate 1.42%  
Unemployment rate 4.90%  
House price growth 9.00%  
CRE price growth 3.40%  
Upside Scenario | 2020-2022    
Economic assumptions    
GDP 0.30%  
Interest rate 0.92%  
Unemployment rate 6.10%  
House price growth 10.20%  
CRE price growth 12.40%  
Upside Scenario | UK Mortgages    
Impact of multiple economic scenarios    
ECL allowance £ 773 317
Upside Scenario | Other Retail    
Impact of multiple economic scenarios    
ECL allowance 2,208 1,443
Upside Scenario | Commercial Banking    
Impact of multiple economic scenarios    
ECL allowance 2,416 1,211
Upside Scenario | Other    
Impact of multiple economic scenarios    
ECL allowance £ 63 £ 50
Upside Scenario | Start to peak    
Economic assumptions    
GDP 4.00% 8.60%
Interest rate 1.50% 2.56%
Unemployment rate 8.60% 4.60%
House price growth 25.80% 26.30%
CRE price growth 14.80% 10.40%
Upside Scenario | Start to trough    
Economic assumptions    
GDP (19.50%) 0.70%
Interest rate 0.10% 0.75%
Unemployment rate 3.90% 3.40%
House price growth (3.80%) (0.80%)
CRE price growth (11.50%) 0.30%
Downside Scenario    
Allowance for impairment losses    
Weightage 30.00% 30.00%
Economic assumptions    
GDP 0.30% 1.20%
Interest rate 0.16% 0.49%
Unemployment rate 7.10% 5.80%
House price growth (4.80%) (3.20%)
CRE price growth (3.50%) (3.80%)
Impact of multiple economic scenarios    
ECL allowance £ 6,792 £ 3,649
Downside Scenario | 2020    
Economic assumptions    
GDP (10.20%)  
Interest rate 0.09%  
Unemployment rate 7.30%  
House price growth (8.00%)  
CRE price growth (27.20%)  
Downside Scenario | 2021    
Economic assumptions    
GDP 5.80%  
Interest rate 0.12%  
Unemployment rate 7.70%  
House price growth (6.10%)  
CRE price growth 4.00%  
Downside Scenario | 2022    
Economic assumptions    
GDP 3.10%  
Interest rate 0.19%  
Unemployment rate 6.80%  
House price growth (4.50%)  
CRE price growth 2.90%  
Downside Scenario | 2020-2022    
Economic assumptions    
GDP (2.00%)  
Interest rate 0.13%  
Unemployment rate 7.30%  
House price growth (17.50%)  
CRE price growth (22.10%)  
Downside Scenario | UK Mortgages    
Impact of multiple economic scenarios    
ECL allowance £ 1,264 653
Downside Scenario | Other Retail    
Impact of multiple economic scenarios    
ECL allowance 2,510 1,564
Downside Scenario | Commercial Banking    
Impact of multiple economic scenarios    
ECL allowance 2,954 1,382
Downside Scenario | Other    
Impact of multiple economic scenarios    
ECL allowance £ 64 £ 50
Downside Scenario | Start to peak    
Economic assumptions    
GDP 1.70% 6.20%
Interest rate 0.21% 0.75%
Unemployment rate 9.20% 6.90%
House price growth 0.40% (1.90%)
CRE price growth (2.70%) (0.60%)
Downside Scenario | Start to trough    
Economic assumptions    
GDP (19.80%) 0.20%
Interest rate 0.08% 0.35%
Unemployment rate 3.90% 3.90%
House price growth (21.60%) (14.80%)
CRE price growth (27.20%) (17.50%)
Modelled severe Scenario    
Economic assumptions    
GDP (0.40%) 0.50%
Interest rate 0.03% 0.11%
Unemployment rate 8.10% 7.20%
House price growth (9.60%) (7.70%)
CRE price growth (8.00%) (7.10%)
Modelled severe Scenario | 2020    
Economic assumptions    
GDP (10.90%)  
Interest rate 0.06%  
Unemployment rate 7.50%  
House price growth (9.50%)  
CRE price growth (36.20%)  
Modelled severe Scenario | 2021    
Economic assumptions    
GDP 3.00%  
Interest rate 0.01%  
Unemployment rate 8.90%  
House price growth (11.50%)  
CRE price growth (7.80%)  
Modelled severe Scenario | 2022    
Economic assumptions    
GDP 2.20%  
Interest rate 0.02%  
Unemployment rate 8.40%  
House price growth (11.70%)  
CRE price growth (1.40%)  
Modelled severe Scenario | 2020-2022    
Economic assumptions    
GDP (6.20%)  
Interest rate 0.03%  
Unemployment rate 8.30%  
House price growth (29.20%)  
CRE price growth (41.90%)  
Modelled severe Scenario | Start to peak    
Economic assumptions    
GDP (1.80%) 2.70%
Interest rate 0.10% 0.75%
Unemployment rate 9.70% 8.30%
House price growth 0.40% (2.30%)
CRE price growth (2.70%) (1.10%)
Modelled severe Scenario | Start to trough    
Economic assumptions    
GDP (20.20%) (2.70%)
Interest rate 0.01% 0.01%
Unemployment rate 3.90% 3.90%
House price growth (39.70%) (33.10%)
CRE price growth (42.30%) (30.90%)
Adjusted severe Scenario    
Economic assumptions    
GDP (0.80%)  
Interest rate 0.03%  
Unemployment rate 8.80%  
House price growth (9.60%)  
CRE price growth (8.00%)  
Adjusted severe Scenario | 2020    
Economic assumptions    
GDP (17.20%)  
Interest rate 0.06%  
Unemployment rate 8.00%  
House price growth (9.50%)  
CRE price growth (36.20%)  
Adjusted severe Scenario | 2021    
Economic assumptions    
GDP 4.10%  
Interest rate 0.01%  
Unemployment rate 11.60%  
House price growth (11.50%)  
CRE price growth (7.80%)  
Adjusted severe Scenario | 2022    
Economic assumptions    
GDP 5.20%  
Interest rate 0.02%  
Unemployment rate 9.20%  
House price growth (11.70%)  
CRE price growth (1.40%)  
Adjusted severe Scenario | 2020-2022    
Economic assumptions    
GDP (9.40%)  
Interest rate 0.03%  
Unemployment rate 9.60%  
House price growth (29.20%)  
CRE price growth (41.90%)  
Adjusted severe Scenario | Start to peak    
Economic assumptions    
GDP (2.00%)  
Interest rate 0.10%  
Unemployment rate 12.50%  
House price growth 0.40%  
CRE price growth (2.70%)  
Adjusted severe Scenario | Start to trough    
Economic assumptions    
GDP (26.10%)  
Interest rate 0.01%  
Unemployment rate 3.90%  
House price growth (39.70%)  
CRE price growth (42.30%)  
Severe Downside Scenario    
Allowance for impairment losses    
Weightage 10.00% 10.00%
Impact of multiple economic scenarios    
ECL allowance £ 10,572 £ 4,748
Severe Downside Scenario | UK Mortgages    
Impact of multiple economic scenarios    
ECL allowance 2,214 1,389
Severe Downside Scenario | Other Retail    
Impact of multiple economic scenarios    
ECL allowance 2,741 1,712
Severe Downside Scenario | Commercial Banking    
Impact of multiple economic scenarios    
ECL allowance 3,553 1,597
Severe Downside Scenario | Other    
Impact of multiple economic scenarios    
ECL allowance £ 2,064 £ 50