Barclays Plc · LSE:BARC
Barclays — Debt Investor Presentation (July 2020)
73 slides from Barclays's debt investor presentation, Jul 29, 2020
Slide 1: Barclays PLC Fixed Income Investor Presentation
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays PLC Fixed Income Investor Presentation Q2 2020 Results Announcement 29 July 2020
Slide 2: Strategy, Targets and Guidance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Strategy, Targets and Guidance
Slide 3: Resilient performance in H120 reflecting the Group's diversified business model
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Resilient performance in H120 reflecting the Group’s diversified business model H120 Financial highlights Resilient operating performance deliver
Slide 4: Diversification is a key strength of Barclays
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Diversification is a key strength of Barclays 59% Resilient performance in H120, despite severe 12% Wholesale 22% global macro-economic downturns
Slide 5: Outlook: Diversification delivering resilient performance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Outlook: Diversification delivering resilient performance Income in BUK and CC&P is expected to gradually recover from Q220 levels, but certain h
Slide 6: Corporate and Investment Bank drivers
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Corporate and Investment Bank drivers Lending Banking Markets Provided support to customers via Investment grade bond issuance saw Volatility spi
Slide 7: Consumer business drivers
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Consumer business drivers Consumer spending1 Unemployment Digital engagement Customer spend levels in the UK and US Remain cautious on the econom
Slide 8: COVID-19 lockdowns have caused unprecedented economic disruption met with bold policy actions
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES COVID-19 lockdowns have caused unprecedented economic disruption met with bold policy actions Our main markets saw severe GDP contractions With a
Slide 9: Remained open for business during the COVID-19 pandemic helping support the economy
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Remained open for business during the COVID-19 pandemic helping support the economy Supporting Supporting Supporting our communities customers bu
Slide 10: Financial targets
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Financial targets Group targets are subject to change depending on the evolution of the COVID-19 pandemic Group RoTE Cost efficiency <60% cost: i
Slide 11: Performance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Performance
Slide 12: H120 Group highlights
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES H120 Group highlights Despite the impacts of the pandemic, Barclays delivered H120 Group PBT of £1.3bn • Pre-provision profits increased 27% to £
Slide 13: Q220 Group highlights
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Group highlights Barclays remained profitable in the second quarter supported by a strong balance sheet • Pre-provision profits were broadly
Slide 14: Income decreased 4% YoY in Q220, as strong performance in CIB was offset by income headwinds
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Income decreased 4% YoY in Q220, as strong performance in CIB was offset by income headwinds in BUK and CC&P £6.3bn £5.5bn £5.5bn £5.3bn £5.3bn O
Slide 15: Income in BUK and CC&P expected to gradually recover from Q220 levels
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Income in BUK and CC&P expected to gradually recover from Q220 levels • Balances in UK and US cards likely to continue to be lower Jan Feb Mar Ap
Slide 16: Continued focus on cost discipline, but short-term headwinds remain from spend on COVID-19 initiatives
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continued focus on cost discipline, but short-term headwinds remain from spend on COVID-19 initiatives Cost: income ratio of 57% in H120 Costs of
Slide 17: Increased impairment charges in Q120 and Q220 have resulted in higher coverage ratios
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Increased impairment charges in Q120 and Q220 have resulted in higher coverage ratios across portfolios Impairment charges (£m) Group loan loss r
Slide 18: Q220 impairment charge driven by updated economic forecasts and expectation of a slower recovery
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 impairment charge driven by updated economic forecasts and expectation of a slower recovery Components of Q220 impairment charge (£m) 1,013
Slide 19: Q220 impairment coverage ratios
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 impairment coverage ratios Increased impairment coverage across all portfolios with the stage 2 unsecured coverage ratio of 23.1% Wholesale
Slide 20: Q220 impairment coverage ratios for credit cards, unsecured loans and other retail lending
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 impairment coverage ratios for credit cards, unsecured loans and other retail lending UK and US cards stage 2 coverage ratios increased to 2
Slide 21: Q220 Barclays UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays UK Loss before tax reflects the impacts of COVID-19 on impairment and income, with costs remaining controlled Financial performance
Slide 22: Q220 Barclays International
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays International Strong income growth offset by higher impairment resulting in RoTE of 5.6% Financial performance • Income increased 3
Slide 23: Q220 Barclays International: Corporate & Investment Bank
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays International: Corporate & Investment Bank RoTE of 9.6% driven by strong income performance and positive jaws • Overall CIB income
Slide 24: Q220 Barclays International: Consumer, Cards & Payments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays International: Consumer, Cards & Payments Loss before tax driven by subdued income performance reflecting the impact of COVID-19 Q2
Slide 25: Head Office
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Head Office Q219 Q120 Q220 • Q220 negative income of £139m included: – c.£50m mark-to-market losses on legacy investments Income (65) – c.£30m re
Slide 26: Interest rate sensitivity
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Interest rate sensitivity Illustrative sensitivity of Group NII to a 10bps and 25bps parallel downward shifts in interest rates1 Change in NII ba
Slide 27: Capital & Leverage
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Capital & Leverage
Slide 28: Q220 CET1 ratio increased to 14.2%
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 CET1 ratio1 increased to 14.2% Reflecting resilient profits, regulatory changes and reduced RWAs 9bps CET1 ratio of 14.2% reflecting: 5bps 1
Slide 29: RWAs decreased over Q220
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES RWAs decreased over Q220 RWAs reduced as anticipated procyclical RWA inflation was more than offset by management actions and lower loan demand T
Slide 30: Increase in IFRS 9 transitional relief, now at c.75bps
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Increase in IFRS 9 transitional relief, now at c.75bps Impairment migration to stage 3 would lead to capital impact as it is not eligible for tra
Slide 31: Continue to manage CET1 ratio with appropriate headroom above MDA through the stress
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continue to manage CET1 ratio1 with appropriate headroom above MDA through the stress Illustrative evolution of minimum CET1 requirements and buf
Slide 32: Well positioned to navigate headwinds to capital
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Well positioned to navigate headwinds to capital Drivers of CET1 ratio movements • Profit generation RWA procyclicality • Management actions Migr
Slide 33: 2020 pension update
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES 2020 pension update Capital benefit of £250m in Q2 due to UK Retirement Fund (UKRF) Trustee investment in Senior Notes • As at 30 September 2019,
Slide 34: Managing evolving future Group minimum leverage requirements
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Managing evolving future Group minimum leverage requirements Minimum leverage requirements and buffers under the UK regime • Headroom to minimum
Slide 35: Capital structure well established
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Capital structure well established Expect to hold prudent headroom above AT1 and Tier 2 minimums Illustrative evolution of regulatory capital str
Slide 36: Managing the call and maturity profiles of BPLC and BBPLC capital instruments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Managing the call and maturity profiles of BPLC and BBPLC capital instruments BPLC capital call and maturity profile (£bn) BPLC AT1 capital as at
Slide 37: MREL, Funding and Liquidity
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES MREL, Funding and Liquidity
Slide 38: Successfully transitioning to a HoldCo funding model
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Successfully transitioning to a HoldCo funding model Continue to expect £7-8bn of MREL issuance in 2020 HoldCo MREL position and expected require
Slide 39: Continued progress in HoldCo issuance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continued progress in HoldCo issuance Annual HoldCo issuance volume materially lower compared to 2016-18 (£bn)1 H120 HoldCo issuance by currency3
Slide 40: Balanced HoldCo funding profile by debt class and tenor
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Balanced HoldCo funding profile by debt class and tenor Barclays PLC AT1 Tier 2 Senior unsecured 18% By 15% product £59bn 67% BPLC AT1 capital BP
Slide 41: High quality liquidity position
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES High quality liquidity position Prudently positioned liquidity pool and LDR Highly liquid, comfortably exceeding minimum requirements Conservativ
Slide 42: Illustrative UK approach to resolution
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Illustrative UK approach to resolution1 OpCo waterfall Intercompany investments HoldCo waterfall • Total OpCo losses which exceed its equity • Lo
Slide 43: Divisions and Legal Entities
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Divisions and Legal Entities
Slide 44: Legal entity structure of the Group since April 2018
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Legal entity structure of the Group since April 2018 Barclays PLC Barclays International Barclays UK and Head Office1 Market leading UK retail ba
Slide 45: Strong legal entity capital and liquidity positions
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Strong legal entity capital and liquidity positions Continue to manage legal entity capital ratios with appropriate headroom to requirements Barc
Slide 46: Diversified Funding Sources across all legal entities
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Diversified Funding Sources1 across all legal entities Majority of funding within legal entities through deposits Barclays PLC 57 8% 46 6% 467 77
Slide 47: Deposit and wholesale funding sources of Barclays Bank UK PLC and Barclays Bank PLC
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Deposit and wholesale funding sources of Barclays Bank UK PLC and Barclays Bank PLC Barclays PLC Barclays Bank UK PLC Barclays Bank PLC (and subs
Slide 48: Wholesale funding composition as at 30 June 2020
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Wholesale funding composition as at 30 June 20201 <1 1-3 3-6 6-12 Total 1-2 2-3 3-4 4-5 As at 30 June 2020 (£bn) >5 years Total month months mont
Slide 49: Credit Ratings
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Credit Ratings
Slide 50: Strategic priority to maintain strong ratings
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Strategic priority to maintain strong ratings Focus on maintaining current ratings profile during COVID-19 stress Current Senior Long and Moody’s
Slide 51: Barclays rating composition for senior debt
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays rating composition for senior debt Moody’s Standard & Poor’s Fitch BPLC BBPLC BBUKPLC BPLC BBPLC BBUKPLC BPLC BBPLC BBUKPLC Adj. Baselin
Slide 52: Barclays rating composition for subordinated debt
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays rating composition for subordinated debt Moody’s Standard & Poor’s Fitch Adj. Baseline Stand-alone Stand-Alone Viability Credit baa2 baa
Slide 53: Asset Quality
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Asset Quality
Slide 54: Exposure to selected sectors vulnerable to the current environment only 13% of total wholesale exposure
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Exposure to selected sectors vulnerable to the current environment only 13% of total wholesale exposure • Our exposure to higher risk sectors as
Slide 55: Balances on payment holidays across portfolios were well covered as at Jun-20
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Balances on payment holidays across portfolios were well covered as at Jun-20 UK mortgages: The average current LTV of balances on UK cards: Tota
Slide 56: Payment holidays granted continue to reduce and net balances are also reducing
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Payment holidays granted continue to reduce and net balances are also reducing as customers roll off UK mortgages UK cards1 Net Balance (£m) 8,30
Slide 57: Retail portfolios in the UK and US prudently positioned ahead of the crisis
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Retail portfolios in the UK and US prudently positioned ahead of the crisis H119 FY19 H120 £138.3bn £143.3bn £145.2bn • Focused on growing mortga
Slide 58: ESG
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES ESG
Slide 59: ESG supporting society and our franchise
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES ESG supporting society and our franchise Five focus areas which encompass the underlying ESG factors most relevant to Barclays Select metrics1 Fi
Slide 60: Intend to play a leading role in the climate change agenda
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Intend to play a leading role in the climate change agenda Size and scale to make a real difference in helping to accelerate the transition to a
Slide 61: Appendix
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Appendix
Slide 62: Support for customers in the UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Support for customers in the UK1 • Mortgage payment holidays granted for c.121,000 accounts Mortgages • 12 month interest only payments granted P
Slide 63: Support for business
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Support for business1 • £14bn three year lending fund for UK SMEs Existing lending • Over £50bn of lending limits available to UK clients and wit
Slide 64: Support for our communities and colleagues
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Support for our communities and colleagues1 • £45m of £100m Community Aid Package allocated to charities Supporting (for charity partners primari
Slide 65: Barclays is set up to continue serving clients based in the European Union
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays is set up to continue serving clients based in the European Union European Union subsidiary operational with a significant number of cli
Slide 66: Other items of interest – Q220 vs. prior year
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Other items of interest – Q220 vs. prior year Other items of interest (£m) Q220 Q219 Income Valuation loss on Barclays’ preference shares in Visa
Slide 67: Q220 Group
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Group Three months ended (£m) Jun-20 Jun-19 % change Income 5,338 5,538 (4%) Impairment (1,623) (480) >(200%) – Operating costs (3,310) (3,5
Slide 68: Q220 Barclays UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays UK Three months ended (£m) Jun-20 Jun-19 % change – Personal Banking 826 946 (13%) – Barclaycard Consumer UK 367 497 (26%) – Busine
Slide 69: Q220 Barclays International
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays International Three months ended (£m) Jun-20 Jun-19 % change – CIB 3,316 2,795 19% – CC&P 694 1,108 (37%) Income 4,010 3,903 3% – C
Slide 70: Q220 Barclays International: Corporate & Investment Bank and Consumer, Cards & Payments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Barclays International: Corporate & Investment Bank and Consumer, Cards & Payments CIB business performance – CC&P business performance – Ju
Slide 71: Q220 Head Office
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q220 Head Office Three months ended (£m) Jun-20 Jun-19 % change Income (139) (136) (2%) Impairment charges (30) (3) >(200%) – Operating costs (10
Slide 72: Contact – Debt Investor Relations Team
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Contact – Debt Investor Relations Team Version 1 Dan Colvin Lis Nguyen Robert Georgiou +44 (0)20 7116 6533 +44 (0)20 7116 1065 +44 (0)20 7116 044
Slide 73: Disclaimer
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY ESG APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Disclaimer Important Notice The terms Barclays or Group refer to Barclays PLC together with its subsidiaries. The information, statements and opi