NatWest Group is a large financial services company based in the United Kingdom. It offers a wide range of banking, insurance, and investment services to personal, business, commercial, and corporate customers. Some of the key services and operations of NatWest Group are summarized below.
Personal Banking
NatWest Group offers a full suite of banking services for individuals and families under its NatWest brand. This includes:
- Current accounts
- Savings accounts
- Mortgages
- Personal loans
- Credit cards
- Insurance (home, life, travel, etc.)
NatWest aims to provide award-winning customer service through its branch network, online/mobile banking, telephone banking, and relationship managers. It has over 700 branches across the UK.
Business Banking
For small businesses, startups, sole traders and partnerships, NatWest Group provides banking and financial services under the NatWest brand. Services include:
- Business current accounts
- Business loans
- Commercial mortgages
- Business credit cards
- Invoice finance
- Merchant services
- International trade services
For medium and large corporations, NatWest Group offers tailored financial services and lending through its NatWest Corporate and Institutional Banking arms. Industry expertise is focused on real estate, technology, healthcare, renewable energy, infrastructure, and retail and consumer markets.
Commercial Banking
NatWest’s commercial banking unit serves businesses with an annual turnover of £6.5 million to £1 billion. Services include:
- Working capital finance
- Asset finance
- Invoice discounting
- Commercial mortgages
- Treasury services
- International trade finance
Relationship managers provide sector-specific financial advice and lending solutions tailored to the needs of medium-sized enterprises.
Wealth Management
NatWest Group offers investment, insurance, and wealth planning solutions to upmarket retail and affluent customers through its Coutts brand. Coutts provides:
- Discretionary investment management
- Advisory investment services
- Pensions and retirement planning
- Estate planning
- Philanthropy advice
- Property finance
- Art and sports finance
Coutts caters to high net worth individuals, trusts, charities, and foundations requiring specialized bespoke banking.
Investment Banking
NatWest Markets offers corporates, institutions, and governments a range of investment banking solutions including:
- Equities trading and research
- Fixed income securities trading
- Corporate finance advisory
- Risk management services
- Debt capital markets
- Syndicated loans
- Mergers and acquisitions advisory
NatWest Markets has operations across Europe, Middle East, and the United States.
Insurance and Asset Management
NatWest Group operates insurance and asset management businesses as well:
- RBS Insurance – Provides home, motor, travel, pet, and loan insurance products.
- NatWest Life & Pensions – Life insurance, critical illness cover, income protection, and annuity products.
- Lombard – Loans and asset financing solutions.
- RBS Asset Management
– Institutional asset management brand providing equities, fixed income, real estate and multi-asset solutions.
Operations and Technology
Behind the scenes, NatWest Group invests heavily in its operations, processes, and technology capabilities to serve customers seamlessly across channels. Some examples include:
- Developing innovative mobile and online banking platforms.
- Using data analytics and AI to provide personalized offerings.
- Robust cybersecurity systems to protect customer data.
- Omnichannel support integrating branches, call centers, online support.
- Resilient core banking platforms and payment/card processing infrastructure.
- APIs and developer portals to enable banking-as-a-service.
Corporate Social Responsibility
As a large UK financial group, NatWest takes its corporate duties seriously. Some initiatives include:
- Having a diverse and inclusive workforce. Women make up c.40% of top leadership.
- Committing £100 billion of climate and sustainable financing from 2020 to 2025.
- £3 million donated to charitable causes in 2021.
- Being a London Living Wage employer.
- Supporting STEM, entrepreneurship, and employability programs for disadvantaged youth.
Brands and Subsidiaries
NatWest Group operates well-known financial brands such as:
- NatWest
- Royal Bank of Scotland
- Ulster Bank
- Coutts
- Adam & Company
- Child & Co.
- Lombard
- RBS International
Notable subsidiaries include:
- NatWest Markets
- RBS Asset Management
- RBS International
- NatWest Trustee and Depositary Services
- Ulster Bank Ireland DAC
Ownership and Leadership
NatWest Group is headquartered in Edinburgh, UK and has around 60,000 employees globally. It was formed in 1968 via the merger of National Provincial Bank and Westminster Bank.
Key facts about ownership and leadership:
| Category | Details |
|---|---|
| Stock exchange listing | NatWest Group plc trades on the London Stock Exchange under NWG |
| Market capitalization | £24.3 billion (February 2023) |
| Ownership | UK Government owns c.48% stake via UK Government Investments |
| CEO | Alison Rose (since 2019) |
| Chairman | Sir Howard Davies |
| Headquarters | Gogarburn, Edinburgh, Scotland, UK |
Financial Performance
Some key financial metrics for NatWest Group (2022):
- Operating profit before tax – £5.0 billion
- Total income – £12.0 billion
- Operating expenses – £7.6 billion
- CET1 capital ratio – 17.6%
- Return on tangible equity – 12.8%
- Total assets – £771.0 billion
NatWest Group reported a strong financial performance in 2022, with profits more than doubling. Higher interest rates and improved economic conditions in the UK drove income growth. The bank continues to maintain a robust capital position and liquidity.
History and Heritage
NatWest Group has a long and storied history tracing back over 300 years across its constituent banks. Some key historical milestones include:
- 1694 – Bank of Scotland established.
- 1727 – Royal Bank of Scotland founded.
- 1836 – National Provincial Bank formed.
- 1844 – Williams Deacon’s Bank emerged, later becoming Williams & Glyn’s Bank.
- 1930 – Westminster Bank created via merger of National Provincial Bank and Union of London and Smiths Bank.
- 1968 – National Westminster Bank formed via merger of National Provincial Bank and Westminster Bank.
- 1969 – National Westminster Bank acquired by Royal Bank of Scotland Group.
- 2000 – Royal Bank of Scotland Group acquires NatWest bank.
- 2019 – Royal Bank of Scotland Group changes name to NatWest Group.
Via acquisitions and mergers, NatWest Group united many venerable British banking brands with origins going back centuries. The group pays homage to its rich history even as it innovates and transforms into a modern digital bank.
Conclusion
In summary, NatWest Group is a prominent UK-based financial services company offering retail, business, commercial and investment banking services along with insurance and wealth management. It serves over 19 million customers globally through iconic brands steeped in British banking history. Though transforming to a digital-first bank, NatWest retains an extensive UK branch network demonstrating its community focus. With operations spanning the globe and £771 billion in assets backed by strong capital levels, NatWest Group remains a systemically important banking group domestically while expanding internationally.
