Q3 2026 Barclays Bank PLC Earnings Call

Speaker #1: Venkatakrishnan, Group Chief Executive before I hand over to Anna Cross, Group Finance Director.

Speaker #2: Good morning. And thank you for joining the BARCLAYS results call for the third quarter of 2026. In this call, and in our full-year results discussion in February 2027, we will supplement our usual discussion with two features: first, we will explain the benefits of the investments which we have made to date; and which are delivering the results that we expected.

Speaker #2: And second, we will provide greater insight into the components of our cost profile and trajectory. This will illustrate the operational efficiency which we are driving for, particularly from technology, and it will show our future ambitions.

Speaker #2: I will commence with a brief review of results, followed by a detailed discussion from Anna and then return to these two features. I'm pleased with our year-to-date performance, and I'm confident in achieving our primary financial targets.

Speaker #2: Our income in the third quarter was $7.4 billion, up 3% year-on-year, and we reduced the cost income ratio to 62% for the quarter and 57% year-to-date.

Speaker #2: We grew profit before tax in the quarter by 12%, to 2.3 billion, and we delivered an ROTE of 11.7% in the quarter, and 13.8% year-to-date.

Speaker #2: Given our returns and our robust CET-1 ratio of 14.2%, we are announcing a $500 million share buyback. This brings year-to-date distributions to $2.8 billion, up 47% from the same period last year.

Speaker #2: Our earnings per share is up 18% year-on-year for the third quarter, and on track for a third consecutive year of 20% growth in EPS.

[CEO] (Barclays): Of 11.7% in the quarter and 13.8% year to date. Given our returns and our robust CET1 ratio of 14.2%, we are announcing a GBP 500 million share buyback. This brings year-to-date distributions to GBP 2.8 billion, up 47% from the same period last year. Our EPS is up 18% year on year for Q3 and on track for a third consecutive year of 20% growth in EPS. We remain very confident in achieving the group RoTE target of greater than 12% this year, having achieved 12.4% in the last 12 months. Let me share four main reflections on this quarter. First, the investment that we have made in, and the repositioning of our UK retail and corporate franchises is driving above-market growth. All three businesses had an RoTE of greater than 20% in Q3.

C. S. Venkatakrishnan: Of 11.7% in the quarter and 13.8% year-to-date. Given our returns and our robust CET1 ratio of 14.2%, we are announcing a GBP 500 million share buyback. This brings year-to-date distributions to GBP 2.8 billion, up 47% from the same period last year. Our EPS is up 18% year-on-year for Q3 and on track for a third consecutive year of 20% growth in EPS. We remain very confident in achieving the group RoTE target of greater than 12% this year, having achieved 12.4% in the last 12 months. Let me share four main reflections on this quarter. First, the investment that we have made in, and the repositioning of our UK retail and corporate franchises is driving above-market growth. All three businesses had an RoTE of greater than 20% in Q3.

Speaker #2: We remain very confident in achieving the group ROTE target of greater than 12% this year, having achieved 12.4% in the last 12 months. Let me share four main reflections on this quarter.

Speaker #1: 11.7% in the quarter, and 13.8% year-to-date. Given our returns and our robust CET-1 ratio of 14.2%, we are announcing a $500 million share buyback.

Speaker #2: First, the investment that we have made in and the repositioning of our UK retail and corporate franchises is driving above market growth. All three businesses had an ROTE of greater than 20% in the third quarter, second, I'm pleased to see the continued results of our investment in the equities franchise and the investment bank.

Speaker #1: This brings year-to-date distributions to $2.8 billion, up 47% from the same period last year. Our earnings per share is up 18% year-on-year for the third quarter, and on track for a third consecutive year of 20% growth in EPS.

Speaker #1: We remain very confident in achieving the Group ROTE target of greater than 12% this year, having achieved 12.4% in the last 12 months. Let me share four main reflections on this quarter.

Speaker #2: Their strong revenues this quarter have helped balance the somewhat disappointing results from fixed income intermediation. Third, increased regulatory clarity is providing us with greater capital flexibility, and we will update on our expected CET-1 operating level at the full-year results.

Speaker #1: First, the investment that we have made in and the repositioning of our UK retail and corporate franchises is driving above market growth. All 3 businesses had an ROTE of greater than 20% in the third quarter, second, I'm pleased to see the continued results of our investment in the equities franchise and the investment bank.

Speaker #2: Finally, as I will discuss later, multi-year investments in our businesses are delivering consistent returns and growth. This is the alpha we are creating. Including these investments, we are going to provide you with a clear path for absolute cost and efficiency savings in 2027.

[CEO] (Barclays): Second, I am pleased to see the continued results of our investment in the equities franchise in the investment bank. Their strong revenues this quarter have helped balance the somewhat disappointing results from fixed income intermediation. Third, increased regulatory clarity is providing us with greater capital flexibility, and we will update on our expected CET1 operating level at the full year results. Finally, as I will discuss later, multi-year investments in our businesses are delivering consistent returns and growth. This is the alpha we are creating. Including these investments, we are going to provide you with a clear path for absolute cost and efficiency savings in 2027. I will return to this at the end. First, however, Anna will take you through the financials in detail. Over to you, Anna.

C. S. Venkatakrishnan: Second, I am pleased to see the continued results of our investment in the equities franchise in the investment bank. Their strong revenues this quarter have helped balance the somewhat disappointing results from fixed income intermediation. Third, increased regulatory clarity is providing us with greater capital flexibility, and we will update on our expected CET1 operating level at the full year results. Finally, as I will discuss later, multi-year investments in our businesses are delivering consistent returns and growth. This is the alpha we are creating. Including these investments, we are going to provide you with a clear path for absolute cost and efficiency savings in 2027. I will return to this at the end. First, however, Anna will take you through the financials in detail. Over to you, Anna.

Speaker #1: Their strong revenues this quarter have helped balance the somewhat disappointing results from fixed income intermediation. Third, increased regulatory clarity is providing us with greater capital flexibility, and we will update on our expected CET-1 operating level at the full year results.

Speaker #2: I will return to this at the end. First, however, Anna will take you through the financials in detail. Over to you, Anna.

Speaker #3: Thank you, Venkat. And good morning, everyone. With one quarter left in the original three-year plan, we are confident in delivering all group targets. As I take you through our results, I will focus more than usual on costs.

Speaker #1: Finally, as I will discuss later, multi-year investments in our businesses are delivering consistent returns and growth. This is the alpha we are creating. Including these investments, we are going to provide you with a clear path for absolute cost and efficiency savings in 2027.

Speaker #3: Starting, though, with income. Group income grew 3% year-on-year in Q3, on track for the circa 31.5 billion target in '26. This implies four-year growth of circa 8% versus the more than 5% CAGR targets to '28.

Speaker #1: I will return to this at the end. First, however, Anna will take you through the financials in detail. Over to you, Anna.

Speaker #3: We are building more consistent returns by growing stable income streams. These now cover 125% of group costs versus around 100% before '24, having grown for 6 consecutive years.

[CFO] (Barclays): Thank you, Venkat, and good morning, everyone. With one quarter left in the original three-year plan, we are confident in delivering all group targets. As I take you through our results, I will focus more than usual on costs. Starting, though, with income. Group income grew 3% year on year in Q3, on track for the circa GBP 31.5 billion target in 2026. This implies full-year growth of circa 8% versus the more than 5% CAGR target to 2028. We are building more consistent returns by growing stable income streams. These now cover 125% of group costs versus around 100% before 2024, having grown for six consecutive years. This is underpinned by group NII, which has been around 50% of total income consistently since 2023.

Anna Cross: Thank you, Venkat, and good morning, everyone. With one quarter left in the original three-year plan, we are confident in delivering all group targets. As I take you through our results, I will focus more than usual on costs. Starting, though, with income. Group income grew 3% year-on-year in Q3, on track for the circa GBP 31.5 billion target in 2026. This implies full-year growth of circa 8% versus the more than 5% CAGR target to 2028. We are building more consistent returns by growing stable income streams. These now cover 125% of group costs versus around 100% before 2024, having grown for six consecutive years. This is underpinned by group NII, which has been around 50% of total income consistently since 2023.

Speaker #2: Thank you, Benka. And good morning, everyone. With one quarter left in the original three-year plan, we are confident in delivering all group targets. As I take you through our results, I will focus more than usual on costs.

Speaker #3: This is underpinned by group NII, which has been around 50% of total income consistently since 2023. We are confident in delivering the '26 group NII targets with 7% year-on-year growth in Q3.

Speaker #2: Starting, though, with income. Group income grew 3% year-on-year in Q3, on track for the circa 31.5 billion target in '26. This implies full-year growth of circa 8% versus the more than 5% CAGR target to '28.

Speaker #3: And we expect NII growth to continue underpinned by two levers: first, the quality of deposits, particularly in the UK; these support structural hedge income growth until at least 2030, as I'll discuss later; and second, ongoing lending momentum.

Speaker #2: We are building more consistent returns by growing stable income streams. These now cover 125% of group costs versus around 100% before '24, having grown the 6th consecutive years.

Speaker #3: Starting with UK deposits. Around 80% of group deposits come from UK clients, including in private bank and wealth management and the international corporate bank.

Speaker #2: This is underpinned by group NII, which has been around 50% of total income consistently since 2023. We are confident in delivering the 26 group NII target, with 7% year-on-year growth in Q3.

[CFO] (Barclays): We are confident in delivering the 2026 group NII target with 7% year-on-year growth in Q3, and we expect NII growth to continue, underpinned by two levers. First, the quality of deposits, particularly in the UK. These support structural hedge income growth until at least 2030, as I will discuss later. Second, ongoing lending momentum. Starting with UK deposits. Around 80% of group deposits come from UK clients, including in Private Bank and Wealth Management and the international corporate bank. We bring these together for the first time on the left, with total deposits up 3% year on year. Barclays UK retail deposits also grew 3%, as shown on the top right. Current account customers hold around 90% of Barclays-branded UK retail deposits, with current account balances stable since 2024, as we show on slide 37 in the appendix.

Anna Cross: We are confident in delivering the 2026 group NII target with 7% year-on-year growth in Q3, and we expect NII growth to continue, underpinned by two levers. First, the quality of deposits, particularly in the UK. These support structural hedge income growth until at least 2030, as I will discuss later. Second, ongoing lending momentum. Starting with UK deposits. Around 80% of group deposits come from UK clients, including in Private Bank and Wealth Management and the international corporate bank. We bring these together for the first time on the left, with total deposits up 3% year-on-year. Barclays UK retail deposits also grew 3%, as shown on the top right. Current account customers hold around 90% of Barclays-branded UK retail deposits, with current account balances stable since 2024, as we show on slide 37 in the appendix.

Speaker #3: We bring these together for the first time on the left, with total deposits up 3% year-on-year. BARCLAYS UK retail deposits also grew 3%, as shown on the top right.

Speaker #2: And we expect NII growth to continue, underpinned by two levers: first, the quality of deposits, particularly in the UK. These support structural hedge income growth until at least 2030, as I'll discuss later. And second, ongoing lending momentum.

Speaker #3: Current account customers hold around 90% of BARCLAYS branded UK retail deposits, with current account balances stable since '24, as we show on slide 37 in the appendix.

Speaker #2: Starting with UK deposits: around 80% of group deposits come from UK clients, including those in Private Bank, Wealth Management, and the International Corporate Bank.

Speaker #3: Given our strong funding positions, we take a relationship-led approach to savings, with premier accounting for 90% of BARCLAYS brand ISA growth year-to-date. But retail deposits are only one part of the story.

Speaker #2: We bring these together for the first time on the left, with total deposits up 3% year-on-year. Barclays UK retail deposits also grew 3%, as shown on the top right.

Speaker #3: The bottom right now shows the corresponding split of UK corporate deposits. We are the UK's largest corporate bank, with 220 billion of deposits across three divisions, BARCLAYS UK, UK corporate bank, and ICB in the investment bank.

Speaker #2: Current account customers hold around 90% of Barclays branded UK retail deposits, with current account balances stable since '24, as we show on slide 37 in the appendix.

Speaker #3: These have grown 4% year-on-year. Current accounts are stable, and support deep relationships with around 80% of UK corporate bank clients banking with us for more than five years.

[CFO] (Barclays): Given our strong funding positions, we take a relationship-led approach to savings, with Premier accounting for 90% of Barclays brand ISA growth year to date. Retail deposits are only one part of the story. The bottom right now shows the corresponding spread of UK corporate deposits. We are the UK's largest corporate bank, with GBP 220 billion of deposits across three divisions, Barclays UK Corporate Bank, and ICB in the investment bank. These have grown 4% year on year. Current accounts are stable and support deep relationships with around 80% of UK Corporate Bank clients banking with us for more than five years. The breadth and quality underpin the structural hedge shown on the next slide. The structural hedge provides stable income and predictable growth for all divisions. Average swap rates of 4.2% year to date exceed the 3.5% planning assumption, supporting additional NII in future years.

Anna Cross: Given our strong funding positions, we take a relationship-led approach to savings, with Premier accounting for 90% of Barclays brand ISA growth year to date. Retail deposits are only one part of the story. The bottom right now shows the corresponding spread of UK corporate deposits. We are the UK's largest corporate bank, with GBP 220 billion of deposits across three divisions, Barclays UK Corporate Bank, and ICB in the investment bank. These have grown 4% year-on-year. Current accounts are stable and support deep relationships with around 80% of UK Corporate Bank clients banking with us for more than five years. The breadth and quality underpin the structural hedge shown on the next slide. The structural hedge provides stable income and predictable growth for all divisions. Average swap rates of 4.2% year to date exceed the 3.5% planning assumption, supporting additional NII in future years.

Speaker #2: Given our strong funding positions, we take a relationship-led approach to savings, with Premier accounting for 90% of Barclays brand ISA growth year-to-date. But retail deposits are only one part of the story.

Speaker #3: The breadth and quality underpin the structural hedge, shown on the next slide. The structural hedge provides stable income and predictable growth for all divisions.

Speaker #2: The bottom right now shows the corresponding spread to the UK corporate deposits. We are the UK's largest corporate bank, with £220 billion of deposits across three divisions: Barclays UK, UK Corporate Bank, and ICB in the Investment Bank.

Speaker #3: Average swap rates are 4.2% year-to-date, exceed the 3.5% planning assumption supporting additional NII in future years. Given prevailing and expected swap rates, hedge income is likely to grow until at least 2030, as you can see from the updated maturing yield disclosure on the left.

Speaker #2: These have grown 4% year-on-year. Current accounts are stable, and support deep relationships with around 80% of UK corporate bank clients banking with us for more than 5 years.

Speaker #2: The breadth and quality underpin the structural hedge, shown on the next slide. The structural hedge provides stable income and predictable growth for all divisions.

Speaker #3: Whilst higher rates undoubtedly help structural hedge income, we are also diversifying NII by growing lending. Total UK lending grew by 7%, consistent with the more than 5% target from '25 to '28.

Speaker #2: Average swap rates are 4.2% year-to-date, exceed the 3.5% planning assumption, supporting additional NII in future years. Given prevailing and expected swap rates, hedge income is likely to grow until at least 2030, as you can see from the updated maturing yield disclosure on the left.

Speaker #3: With one quarter to go, we have deployed 28 billion of UK business growth RWAs towards the circa 30 billion target for the three years to '26.

[CFO] (Barclays): Given prevailing and expected swap rates, hedge income is likely to grow until at least 2030, as you can see from the updated maturing yield disclosure on the left. Whilst higher rates undoubtedly help structural hedge income, we are also diversifying NII by growing lending. Total UK lending grew by 7%, consistent with a more than 5% target from 2025 to 2028. With one quarter to go, we have deployed GBP 28 billion of UK business growth RWAs towards the circa GBP 30 billion target for the three years to 2026. Mortgages grew by 7% year on year, with GBP 11 billion of gross lending in the quarter. Corporate and business banking lending grew 13% year on year, excluding the run-off portfolios. Above-market growth in UK Corporate Bank reflects investments in 2023, helping to attract 1,500 new clients, with around 40% borrowing from us. More on this from Ben Cart later.

Anna Cross: Given prevailing and expected swap rates, hedge income is likely to grow until at least 2030, as you can see from the updated maturing yield disclosure on the left. Whilst higher rates undoubtedly help structural hedge income, we are also diversifying NII by growing lending. Total UK lending grew by 7%, consistent with a more than 5% target from 2025 to 2028. With one quarter to go, we have deployed GBP 28 billion of UK business growth RWAs towards the circa GBP 30 billion target for the three years to 2026.

Speaker #3: Mortgages grew by 7% year-on-year, with 11 billion of growth lending in the quarter. Corporate and business banking lending grew 13% year-on-year, excluding the runoff portfolios.

Speaker #2: Whilst higher rates undoubtedly help structural hedge income, we are also diversifying NII by growing lending. Total UK lending grew by 7%, consistent with the more than 5% target from '25 to '28.

Speaker #3: Above-market growth in UK corporate bank reflects investments since '23, helping to attract 1,500 new clients, with around 40% borrowing from us. More on this from Venkat later.

Speaker #2: With one quarter to go, we have deployed 28 billion of UK business growth RWAs toward the circa 30 billion target for the 3 years to '26.

Speaker #3: In summary, our progress in both deposits and lending is driven and sustained by investment in the business in both service and capabilities. Moving on to costs.

Anna Cross: Mortgages grew by 7% year-on-year, with GBP 11 billion of gross lending in the quarter. Corporate and business banking lending grew 13% year-on-year, excluding the run-off portfolios. Above-market growth in UK Corporate Bank reflects investments in 2023, helping to attract 1,500 new clients, with around 40% borrowing from us. More on this from Ben Cart later.

Speaker #2: Mortgages grew by 7% year-on-year, with 11 billion of growth lending in the quarter. Corporate and business banking lending grew 13% year-on-year, excluding the runoff portfolios.

Speaker #3: When we think about costs, we distinguish running the bank from investing in the future. In running the bank, we aim to drive as much operational leverage as possible, by delivering growth efficiencies to offset costs from business growth, inflation, and BAU investment.

Speaker #2: Above market growth in UK corporate bank reflects investments since '23, helping to attract 1,500 new clients, with around 40% borrowing from us. More on this from Benka later.

Speaker #3: We distinguish this from strategic investment to increase returns. Run the bank costs have increased by 0.3 billion, of which 0.2 billion relates to the acquisition of Bessegg & Goh Henry.

[CFO] (Barclays): In summary, our progress in both deposits and lending is driven and sustained by investment in the business in both service and capabilities. Moving on to costs. When we think about costs, we distinguish running the Bank from investing in the future. In running the Bank, we aim to drive as much operational leverage as possible by delivering growth efficiencies to offset costs from business growth, inflation, and BAU investment. We distinguish this from strategic investment to increased returns. Run the Bank costs have increased by GBP 0.3 billion, of which GBP 0.2 billion relates to the acquisition of Best Egg and GoHenry. Put differently, growth efficiencies have meaningfully offset additional costs from business growth, inflation, and BAU investments. This is despite GBP 0.3 billion of additional performance costs, given 8% year-to-date income growth in the investment bank versus the low single-digit target.

Anna Cross: In summary, our progress in both deposits and lending is driven and sustained by investment in the business in both service and capabilities. Moving on to costs. When we think about costs, we distinguish running the Bank from investing in the future. In running the Bank, we aim to drive as much operational leverage as possible by delivering growth efficiencies to offset costs from business growth, inflation, and BAU investment. We distinguish this from strategic investment to increased returns. Run the Bank costs have increased by GBP 0.3 billion, of which GBP 0.2 billion relates to the acquisition of Best Egg and GoHenry. Put differently, growth efficiencies have meaningfully offset additional costs from business growth, inflation, and BAU investments. This is despite GBP 0.3 billion of additional performance costs, given 8% year-to-date income growth in the investment bank versus the low single-digit target.

Speaker #2: In summary, our progress in both deposits and lending is driven and sustained by investment in the business, both in service and capabilities. Moving on to costs.

Speaker #3: Put differently, growth efficiencies have meaningfully offset additional costs from business growth, inflation, and BAU investments. This is despite 0.3 billion of additional performance costs given 8% year-to-date income growth in the investment bank, versus the low single-digit target.

Speaker #2: When we think about costs, we distinguish between running the bank and investing in the future. In running the bank, we aim to drive as much operational leverage as possible by delivering growth efficiencies to offset costs from business growth, inflation, and BAU investment.

Speaker #2: We distinguish this from strategic investment to increase returns. Run-the-bank costs have increased by $0.3 billion, of which $0.2 billion relates to the acquisition of Best Egg and GoHenry.

Speaker #3: We also increased investment by 0.2 billion year-on-year to harmonize systems and processes and grow fee businesses, this results in exit rate costs of circa 18 billion for '26.

Speaker #2: Put differently, growth efficiencies have meaningfully offset additional costs from business growth, inflation, and BAU investments. This is despite $0.3 billion of additional performance costs, given 8% year-to-date income growth in the investment bank versus the low single-digit target.

Speaker #3: As outlined last quarter, we are also deliberately spending an additional 0.3 billion in half two to structurally reduce costs, supported by technology deployment. Inclusive of this, the Q1 motor finance provision and the change to material risk-takers' compensation mix we expect circa 18.5 billion of costs in '26.

[CFO] (Barclays): We also increased investment by GBP 0.2 billion year on year to harmonize systems and processes and growing fee businesses. This results in exit rate costs of circa GBP 18 billion for 2026. As outlined last quarter, we are also deliberately spending an additional GBP 0.3 billion in H2 to structurally reduce costs, supported by technology deployments. Inclusive of this, the Q1 motor finance provision and the change to material risk-takers compensation mix, we expect circa GBP 18.5 billion of costs in 2026. This is consistent with the high fifties cost-income ratio target. We said in February that costs would grow modestly from 2025 to 2028 and the group would deliver positive operating jaws each year. These expectations are fully intact based on statutory total costs. So what drives this? For the group, we expect run the Bank costs to be flat or lower in 2027 versus 2026, reflecting higher anticipated growth efficiencies.

Anna Cross: We also increased investment by GBP 0.2 billion year-on-year to harmonize systems and processes and growing fee businesses. This results in exit rate costs of circa GBP 18 billion for 2026. As outlined last quarter, we are also deliberately spending an additional GBP 0.3 billion in H2 to structurally reduce costs, supported by technology deployments. Inclusive of this, the Q1 motor finance provision and the change to material risk-takers compensation mix, we expect circa GBP 18.5 billion of costs in 2026.

Speaker #2: We also increased investment by $0.2 billion year-on-year to harmonize systems and processes and grow fee businesses. This results in exit rate costs of circa $18 billion for '26.

Speaker #3: This is consistent with the high 50s cost income ratio target. We said in February that costs would grow modestly, from 25 to 28, and the group would deliver positive operating jobs s each year.

Speaker #2: As outlined last quarter, we are also deliberately spending an additional $0.3 billion in H2 to structurally reduce costs, supported by technology deployment. Inclusive of this, the Q1 motor finance provision and the change to material risk-takers' compensation mix, we expect circa $18.5 billion of costs in '26.

Speaker #3: These expectations are fully intact, based on statutory total costs. So what drives this? For the group, we expect run-the-bank costs to be flat or lower in 2027 versus '26, reflecting higher anticipated growth efficiencies.

Anna Cross: This is consistent with the high fifties cost-income ratio target. We said in February that costs would grow modestly from 2025 to 2028 and the group would deliver positive operating jaws each year. These expectations are fully intact based on statutory total costs. So what drives this? For the group, we expect run the Bank costs to be flat or lower in 2027 versus 2026, reflecting higher anticipated growth efficiencies.

Speaker #2: This is consistent with the high 50s cost-income ratio target. We've said in February that costs would grow modestly from 2025 to 2028, and the group would deliver positive operating jaws each year.

Speaker #3: This creates capacity for 0.4 billion of planned additional investment within our modest-cost growth guidance. In absolute terms, we expect statutory costs to fall to circa 18.4 billion in '27.

Speaker #2: These expectations are fully intact, based on statutory total costs. So what drives this? For the group, we expect run-the-bank costs to be flat or lower in 2027 versus '26, reflecting higher anticipated growth efficiencies.

Speaker #3: Cost income ratio remains our north star, so we would expect to flex business growth costs to the extent that income is higher or lower than expectations.

Speaker #3: As a result, we are confident in making meaningful progress next year towards the low 50s cost income ratio target in 2028, from high 50s ratio this year.

[CFO] (Barclays): This creates capacity for GBP 0.4 billion of planned additional investment within our modest cost growth guidance. In absolute terms, we expect statutory costs to fall to circa GBP 18.4 billion in 2027. Cost income ratio remains our North Star, so we would expect to flex business growth costs to the extent that income is higher or lower than expectations. As a result, we are confident in making meaningful progress next year towards the low 50s cost income ratio target in 2028 from high 50s ratio this year. Our confidence in delivering these commitments is underpinned by the generation of cost efficiencies. In the past two years, we have delivered around GBP 0.7 billion of gross efficiency savings annually, facilitated by GBP 0.3 billion of SCAs in the prior year, driving positive operating jaws each year. This was our planning assumption for 2026 to 2028.

Anna Cross: This creates capacity for GBP 0.4 billion of planned additional investment within our modest cost growth guidance. In absolute terms, we expect statutory costs to fall to circa GBP 18.4 billion in 2027. Cost income ratio remains our North Star, so we would expect to flex business growth costs to the extent that income is higher or lower than expectations. As a result, we are confident in making meaningful progress next year towards the low 50s cost income ratio target in 2028 from high 50s ratio this year. Our confidence in delivering these commitments is underpinned by the generation of cost efficiencies. In the past two years, we have delivered around GBP 0.7 billion of gross efficiency savings annually, facilitated by GBP 0.3 billion of SCAs in the prior year, driving positive operating jaws each year. This was our planning assumption for 2026 to 2028.

Speaker #2: This creates capacity for 0.4 billion of planned additional investment within our modest-cost growth guidance. In absolute terms, we expect statutory costs to fall to circa 18.4 billion in '27.

Speaker #3: Our confidence in delivering these commitments is underpinned by the generation of cost efficiencies. In the past two years, we have delivered around 0.7 billion of growth efficiency savings annually, facilitated by 0.3 billion of SDAs in the prior year, driving positive operating jobs each year.

Speaker #2: Cost-income ratio remains our north star, so we would expect to flex business growth costs to the extent that income is higher or lower than expectations.

Speaker #3: This was our planning assumption for '26 to '28. Having increased this for 26 alone, we expect more than 1.1 billion of growth efficiency savings in '27.

Speaker #2: As a result, we are confident in making meaningful progress next year toward the low 50s cost-income ratio target in 2028, from high 50s ratios this year.

Speaker #3: These actions involve an expected reduction of circa 5,000 full-time employees. Around 60% of the group actions relate to support functions, including fewer developers as AI makes our people more productive.

Speaker #2: Our confidence in delivering these commitments is underpinned by the generation of cost efficiencies. In the past 2 years, we have delivered around 0.7 billion of growth efficiency savings annually facilitated by 0.3 billion of SDAs in the prior year, driving positive operating jaws each year.

Speaker #3: Nowhere in the bank is this more relevant than in Barclays UK, where we have taken more structural cost actions than planned, in '26. Whilst this acceleration means I'm no longer expect Barclays UK costs to fall in '26 versus '25, we are more confident in reducing 2027 and 2028 below the '25 level.

Speaker #2: This was our planning assumption for '26 to '28. Having increased this for '26 alone, we expect more than $1.1 billion of growth efficiency savings in '27.

[CFO] (Barclays): Having increased this for 2026 alone, we expect more than GBP 1.1 billion of gross efficiency savings in 2027. These actions involve an expected reduction of circa 5,000 full-time employees. Around 60% of the group actions relates to support functions, including fewer developers as AI makes our people more productive. Nowhere in the Bank is this more relevant than in Barclays UK, where we have taken more structural cost actions than planned in 2026. Whilst this acceleration means I no longer expect Barclays UK costs to fall in 2026 versus 2025, we are more confident in reducing 2027 and 2028 below the 2025 level. This is enabled by improved customer-facing technology, which has reduced call center volumes by 10% in the past year. While technology improvements within call centers have increased colleague productivity.

Anna Cross: Having increased this for 2026 alone, we expect more than GBP 1.1 billion of gross efficiency savings in 2027. These actions involve an expected reduction of circa 5,000 full-time employees. Around 60% of the group actions relates to support functions, including fewer developers as AI makes our people more productive. Nowhere in the Bank is this more relevant than in Barclays UK, where we have taken more structural cost actions than planned in 2026. Whilst this acceleration means I no longer expect Barclays UK costs to fall in 2026 versus 2025, we are more confident in reducing 2027 and 2028 below the 2025 level. This is enabled by improved customer-facing technology, which has reduced call center volumes by 10% in the past year. While technology improvements within call centers have increased colleague productivity.

Speaker #2: These actions involve an expected reduction of circa 5,000 full-time employees. Around 60% of the group actions relate to support functions, including fewer developers as AI makes our people more productive.

Speaker #3: This is enabled by improved customer-facing technology which has reduced call center volumes by 10% in the past year. While technology improvements within call centers have increased colleague productivity, changes to the branch staffing model have also reduced employees per branch by around 10% in the past year, with colleagues focusing on higher value support.

Speaker #2: Nowhere in the Bank is this more relevant than in Barclays UK, where we have taken more structural cost actions than planned in '26. Whilst this acceleration means I no longer expect Barclays UK costs to fall in '26 versus '25, we are more confident in reducing 2027 and 2028 below the '25 level.

Speaker #3: And following the successful integration of Tesco Bank, circa 0.2 billion of cost synergies are flowing through, with the majority split broadly evenly between '27 and '28.

Speaker #2: This has been enabled by improved customer-facing technology, which has reduced call center volumes by 10% in the past year. While technology improvements within call centers have increased colleague productivity, changes to the branch staffing model have also reduced employees per branch by around 10% in the past year, with colleagues focusing on higher-value support.

Speaker #3: In '27, we expect a high 40s cost-to-income ratio before falling to mid-40s in '28. Turning to impairment. Consumer and corporate balance sheets remain robust, and borrowers are behaving rationally, with a year-to-date loan loss rate of 55 basis points.

[CFO] (Barclays): Changes to the branch staffing model have also reduced employees per branch by around 10% in the past year, with colleagues focusing on higher value support. Following the successful integration of Tesco Bank, circa GBP 0.2 billion of cost synergies are flowing through. With a majority split broadly evenly between 2027 and 2028. In 2027, we expect a high 40s cost to income ratio before falling to mid-40s in 2028. Turning to impairment. Consumer and corporate balance sheets remain robust and borrowers are behaving rationally with a year-to-date loan loss rate of 55 basis points. The Barclays UK loan loss rate of 20 basis points benefited from a Tesco Bank debt sale and should normalize towards circa 30 basis points in Q4. Whilst in U.S. Consumer Bank, 90-day delinquencies fell further, as shown on appendix slide 45.

Anna Cross: Changes to the branch staffing model have also reduced employees per branch by around 10% in the past year, with colleagues focusing on higher value support. Following the successful integration of Tesco Bank, circa GBP 0.2 billion of cost synergies are flowing through. With a majority split broadly evenly between 2027 and 2028. In 2027, we expect a high 40s cost to income ratio before falling to mid-40s in 2028. Turning to impairment. Consumer and corporate balance sheets remain robust and borrowers are behaving rationally with a year-to-date loan loss rate of 55 basis points. The Barclays UK loan loss rate of 20 basis points benefited from a Tesco Bank debt sale and should normalize towards circa 30 basis points in Q4. Whilst in U.S. Consumer Bank, 90-day delinquencies fell further, as shown on appendix slide 45.

Speaker #3: The Barclays UK loan loss rate of 20 basis points benefited from a Tesco Bank debt sale and should normalize towards circa 30 basis points in Q4.

Speaker #2: And following the successful integration of Tesco Bank, circa 0.2 billion of cost synergies are flowing through, with the majority split broadly evenly between '27 and '28.

Speaker #3: Whilst in US consumer bank, 90-day delinquencies fell further as shown on appendix slide 45. We expect a seasonally higher reserve build and loan loss rate in Q4 given card spending.

Speaker #2: In '27, we expect a high 40s cost-to-income ratio before falling to mid-40s in '28. Turning to impairment. Consumer and corporate balance sheets remain robust, and borrowers are behaving rationally, with a year-to-date loan loss rate of 55 basis points.

Speaker #3: Given this, and a 552 basis point year-to-date loan loss rate, we still expect circa 550 basis points for the full year. Turning to Barclays UK.

Speaker #2: The Barclays UK loan loss rate of 20 basis points benefited from a Tesco Bank debt sale and should normalize toward circa 30 basis points in Q4.

Speaker #3: Roti was 21.2% in Q3 and income grew by 4%. Costs increased 6% driven entirely by 110 million of SDAs, reflecting the accelerated actions I discussed earlier.

Speaker #2: Whilst in US Consumer Bank, 90-day delinquencies fell further, as shown in the appendix on slide 45. We expect a seasonally higher reserve build and loan loss rate in Q4, given card spending.

Speaker #3: NII increased 6% year-on-year and 4% versus Q2 to 2.1 billion. Structural hedge momentum was complemented by positive product margin effects as guided at Q2.

[CFO] (Barclays): We expect a seasonally higher reserve build and loan loss rate in Q4 given card spending. Given this, and a 552 basis point year-to-date loan loss rate, we still expect circa 550 basis points for the full year. Turning to Barclays UK. RoTE was 21.2% in Q3 and income grew by 4%. Costs increased 6%, driven entirely by GBP 110 million of SCAs, reflecting the accelerated actions I discussed earlier. NII increased 6% year-on-year and 4% versus Q2 to GBP 2.1 billion. Structural hedge momentum was complemented by positive product margin effects as guided at Q2. This reflected dissipating mortgage margin headwinds, card seasonality and day counts. We still expect full year NII around the middle of the GBP 8.1 to GBP 8.3 billion range as guided last quarter.

Anna Cross: We expect a seasonally higher reserve build and loan loss rate in Q4 given card spending. Given this, and a 552 basis point year-to-date loan loss rate, we still expect circa 550 basis points for the full year. Turning to Barclays UK. RoTE was 21.2% in Q3 and income grew by 4%. Costs increased 6%, driven entirely by GBP 110 million of SCAs, reflecting the accelerated actions I discussed earlier. NII increased 6% year-on-year and 4% versus Q2 to GBP 2.1 billion. Structural hedge momentum was complemented by positive product margin effects as guided at Q2. This reflected dissipating mortgage margin headwinds, card seasonality and day counts. We still expect full year NII around the middle of the GBP 8.1 to GBP 8.3 billion range as guided last quarter.

Speaker #2: Given this, and a 552 basis point year-to-date loan loss rate, we still expect circa 550 basis points for the full year. Turning to Barclays UK.

Speaker #3: This reflected dissipating mortgage margin, headwinds, card seasonality, and day counts. We still expect full-year NII around the middle of the 8.1 to 8.3 billion range as guided at last quarter.

Speaker #2: Roti was 21.2% in Q3 and income grew by 4%. Costs increased 6% driven entirely by 110 million of SDAs, reflecting the accelerated actions I discussed earlier.

Speaker #3: An increase in the structural hedge in early October will lead to a negative Q4 product margin movement, offset by higher hedge income with no material net effect.

Speaker #2: NII increased 6% year-on-year and 4% versus Q2 to 2.1 billion. Structural hedge momentum was complemented by positive product margin effects as guided at Q2.

Speaker #3: Moving to UK corporate bank. Q3 Roti was 23.5% and 21.6% year-to-date. e. Income and costs both increased 10%. We grew NII by 14%, driven by structural hedge income and volume growth.

Speaker #2: This reflected dissipating mortgage margin, headwinds, card seasonality, and day counts. We still expect full-year NII to be around the middle of the £8.1 to £8.3 billion range, as guided last quarter.

Speaker #3: As outlined earlier, lending grew by 14% and deposits by 1%, supported by improved propositions. And the loan-to-deposit ratio was 38%, up 4 percentage points year-on-year.

[CFO] (Barclays): An increase in the structural hedge in early October will lead to a negative Q4 product margin movement offset by higher hedge income with no material net effect. Moving to UK Corporate Bank. Q3 RoTE was 23.5% and 21.6% year to date. Income and costs both increased 10%. We grew NII by 14%, driven by structural hedge income and volume growth. As outlined earlier, lending grew by 14% and deposits by 1%, supported by improved propositions. The loan to deposit ratio was 38%, up 4 percentage points year-on-year. Moving to Private Bank and Wealth Management. Q3 RoTE was 23.8% and 25.4% year to date. Client assets and liabilities grew 6% year-on-year and AUM 10%. This included GBP 2.5 billion of net new AUM year to date, including GBP 0.6 billion in Q3. The Private Bank has driven most of the client asset and liability growth in the past three years.

Anna Cross: An increase in the structural hedge in early October will lead to a negative Q4 product margin movement offset by higher hedge income with no material net effect. Moving to UK Corporate Bank. Q3 RoTE was 23.5% and 21.6% year to date. Income and costs both increased 10%. We grew NII by 14%, driven by structural hedge income and volume growth. As outlined earlier, lending grew by 14% and deposits by 1%, supported by improved propositions. The loan to deposit ratio was 38%, up 4 percentage points year-on-year. Moving to Private Bank and Wealth Management. Q3 RoTE was 23.8% and 25.4% year to date. Client assets and liabilities grew 6% year-on-year and AUM 10%. This included GBP 2.5 billion of net new AUM year to date, including GBP 0.6 billion in Q3. The Private Bank has driven most of the client asset and liability growth in the past three years.

Speaker #2: An increase in the structural hedge in early October will lead to a negative Q4 product margin movement, offset by higher hedge income, with no material net effect.

Speaker #3: Moving to private bank and wealth management. Q3 Roti was 23.8% and 25.4% year-to-date. Client assets and liabilities grew 6% year-on-year and AUM 10%. This included 2.5 billion of net new AUM year-to-date, including 0.6 billion in Q3.

Speaker #2: Moving to UK corporate bank. Q3 Roti was 23.5% and 21.6% year-to-date. Income and costs both increased 10%. We grew NII by 14%, driven by structural hedge income and volume growth.

Speaker #2: As outlined earlier, lending grew by 14%, and deposits by 1%, supported by improved propositions. The loan-to-deposit ratio was 38%, up 4 percentage points year-on-year.

Speaker #3: The private bank has driven most of the client asset and liability growth in the past three years. Part of the investment I outlined earlier will drive additional scale in UK wealth, including through advisor recruitment and recently launched marketing.

Speaker #2: Moving to Private Bank and Wealth Management: Q3 ROti was 23.8%, and 25.4% year-to-date. Client assets and liabilities grew 6% year-on-year, and AUM grew 10%. This included $2.5 billion of net new AUM year-to-date, including $0.6 billion in Q3.

Speaker #3: These investments increased costs 7% quarter on quarter and we expect a similar increase into Q4. Moving to the investment bank. Q3 Roti was 9.5% and 13.5% year-to-date.

Speaker #2: The private bank has driven most of the client asset and liability growth in the past 3 years. Part of the investment I outlined earlier will drive additional scale in UK wealth, including through advisor recruitment and recently launched marketing.

Speaker #3: Income was broadly flat year-on-year, with higher RWAs reducing income to average RWAs by 20 basis points to 6.1%. With the investment banking loan book review now largely complete, we deployed additional RWAs to support deal activity, including in the UK.

[CFO] (Barclays): Part of the investment I outlined earlier will drive additional scale in UK wealth, including through adviser recruitment and recently launched marketing. These investments increased costs 7% quarter-on-quarter, and we expect a similar increase into Q4. Moving to the Investment Bank. Q3 RoTE was 9.5% and 13.5% year to date. Income was broadly flat year-on-year, with higher RWAs reducing income to average RWAs by 20 basis points to 6.1%. With the investment banking loan book review now largely complete, we deployed additional RWAs to support deal activity, including in the UK. This will generate income in future quarters. Costs increased GBP 72 million, driven entirely by GBP 112 million of SCAs and changes to material risk takers' compensation mix. We expect Q4 MRT costs to be similar to the Q3 level of GBP 55 million.

Anna Cross: Part of the investment I outlined earlier will drive additional scale in UK wealth, including through adviser recruitment and recently launched marketing. These investments increased costs 7% quarter-on-quarter, and we expect a similar increase into Q4. Moving to the Investment Bank. Q3 RoTE was 9.5% and 13.5% year to date. Income was broadly flat year-on-year, with higher RWAs reducing income to average RWAs by 20 basis points to 6.1%. With the investment banking loan book review now largely complete, we deployed additional RWAs to support deal activity, including in the UK. This will generate income in future quarters. Costs increased GBP 72 million, driven entirely by GBP 112 million of SCAs and changes to material risk takers' compensation mix. We expect Q4 MRT costs to be similar to the Q3 level of GBP 55 million.

Speaker #2: These investments increased costs 7% quarter on quarter and we expect a similar increase into Q4. Moving to the investment bank. Q3 Roti was 9.5% and 13.5% year-to-date.

Speaker #3: This will generate income in future quarters. Costs increased 72 million driven entirely by 112 million of SDAs and changes to material risk takers compensation mix.

Speaker #3: We expect Q4 MRT costs to be similar to the Q3 level of 55 million. Including all H2 costs, we remain focused on delivering a circa 12% Roti, and positive operating jaws in '26, having delivered 2% positive jaws year-to-date.

Speaker #2: Income was broadly flat year-on-year, with higher RWAs reducing income to average RWAs by 20 basis points to 6.1%. With the investment banking loan book review now largely complete, we deployed additional RWAs to support deal activity, including in the UK.

Speaker #2: This will generate income in future quarters. Costs increased 72 million driven entirely by 112 million of SDAs and changes to material risk takers compensation mix.

Speaker #3: In US dollar terms, markets income increased 4% year-on-year. Benefiting from past investments, equities increased 47% and accounted for half of Q3 markets income. Equity derivatives were particularly strong, and we grew prime supporting 8% year-on-year financing growth.

Speaker #2: We expect Q4 MRT costs to be similar to the Q3 level of 55 million. Including all H2 costs, we remain focused on delivering a circa 12% Roti, and positive operating jaws in '26, having delivered 2% positive jaws year-to-date.

[CFO] (Barclays): Including all H2 costs, we remain focused on delivering a circa 12% RoTE and positive operating jaws in 2026, having delivered 2% positive jaws year to date. In U.S. dollar terms, markets income increased 4% year-on-year. Benefiting from past investments, equities increased 47% and accounted for half of Q3 markets income. Equity derivatives were particularly strong, and we grew prime, supporting 8% year-on-year financing growth. This offset weaker FICC intermediation, with lower client activity in rates and credit in the second half of the quarter and further adversity in September given macro movements. Investment banking fees increased 2%. Strong activity in advisory and ECM offset lower DCM fees, reflecting deliberate risk and return decisions in a smaller lev fin wallet. M&A and ECM pipelines remain strong. Lower ICB income reflected GBP 39 million of lev fin marks and higher hedging costs in the corporate lending line.

Anna Cross: Including all H2 costs, we remain focused on delivering a circa 12% RoTE and positive operating jaws in 2026, having delivered 2% positive jaws year to date. In U.S. dollar terms, markets income increased 4% year-on-year. Benefiting from past investments, equities increased 47% and accounted for half of Q3 markets income. Equity derivatives were particularly strong, and we grew prime, supporting 8% year-on-year financing growth. This offset weaker FICC intermediation, with lower client activity in rates and credit in the second half of the quarter and further adversity in September given macro movements. Investment banking fees increased 2%. Strong activity in advisory and ECM offset lower DCM fees, reflecting deliberate risk and return decisions in a smaller lev fin wallet. M&A and ECM pipelines remain strong. Lower ICB income reflected GBP 39 million of lev fin marks and higher hedging costs in the corporate lending line.

Speaker #3: This offset weaker FIC intermediation, with lower client activity in rates and credit in the second half of the quarter, and further adversity in September given macro movements.

Speaker #3: Investment banking fees increased 2%. Strong activity in advisory and ECM offset lower DCM fees, reflecting deliberate risk and return decisions in a smaller less-thin wallet.

Speaker #2: In US dollar terms, Markets income increased 4% year-on-year. Benefiting from past investments, equities increased 47% and accounted for half of Q3 Markets income. Equity derivatives were particularly strong, and we grew Prime, supporting 8% year-on-year financing growth.

Speaker #3: M&A and ECM pipelines remain strong. Lower ICB income reflected 39 million of less-thin marks and higher hedging costs in the corporate lending line. Transaction banking income grew 9% year-on-year, reflecting deposit and fee growth, particularly from trade and working capital.

Speaker #2: This offset weaker FIC intermediation, with lower client activity in rates and credit in the second half of the quarter, and further adversity in September given macro movements.

Speaker #2: Investment banking fees increased 2%. Strong activity in advisory and ECM offset lower DCM fees, reflecting deliberate risk and return decisions in a smaller, less thin wallet.

Speaker #3: Moving to US consumer bank. Roti was 10.9% and 19.9% year-to-date. Income increased 1%, with the Q2 American Airlines portfolio exit broadly offset by Best Egg and business growth.

Speaker #2: M&A and ECM pipelines remain strong. Lower ICB income reflected 39 million of less-thin marks and higher hedging costs in the corporate lending line. Transaction banking income grew 9% year-on-year, reflecting deposit and fee growth, particularly from trade and working capital.

Speaker #3: NII increased 3% year-on-year, with lower average balances more than offset by higher NIM. This reflected mixed effects and a circa 10 basis points one-off benefit from a change in the recognition of future customer rewards.

[CFO] (Barclays): Transaction banking income grew 9% year-on-year, reflecting deposit and fee growth, particularly from trade and working capital. Moving to U.S. Consumer Bank. RoCE was 10.9% and 19.9% year to date. Income increased 1% with the Q2 American Airlines portfolio exit broadly offset by Best Egg and business growth. NII increased 3% year-on-year with lower average balances more than offset by higher NIM. This reflected mix effects and a circa 10 basis points one-off benefit from a change in the recognition of future customer rewards. Higher interest rates do not materially affect NIM, as assets typically reprice within a month. Card and consumer loan volumes were as expected, though higher benchmark rates continued to weigh on market-wide pricing of consumer loans distributed through Best Egg. This created a circa GBP 20 million non-NII headwind in the quarter.

Anna Cross: Transaction banking income grew 9% year-on-year, reflecting deposit and fee growth, particularly from trade and working capital. Moving to U.S. Consumer Bank. RoCE was 10.9% and 19.9% year to date. Income increased 1% with the Q2 American Airlines portfolio exit broadly offset by Best Egg and business growth. NII increased 3% year-on-year with lower average balances more than offset by higher NIM. This reflected mix effects and a circa 10 basis points one-off benefit from a change in the recognition of future customer rewards. Higher interest rates do not materially affect NIM, as assets typically reprice within a month. Card and consumer loan volumes were as expected, though higher benchmark rates continued to weigh on market-wide pricing of consumer loans distributed through Best Egg. This created a circa GBP 20 million non-NII headwind in the quarter.

Speaker #2: Moving to US Consumer Bank, ROTI was 10.9% and 19.9% year-to-date. Income increased 1%, with the Q2 American Airlines portfolio exit broadly offset by Best Egg and business growth.

Speaker #3: Higher interest rates do not materially affect NIM. As assets typically reprice within a month. Card and consumer loan volumes were as expected. Though higher benchmark rates continued to weigh on market-wide pricing of consumer loans distributed through Best Egg.

Speaker #2: NII increased 3% year-on-year, with lower average balances more than offset by higher NIM. This reflected mixed effects and a circa 10 basis points one-off benefit from a change in the recognition of future customer rewards.

Speaker #3: This created a circa 20 million non-NII headwind in the quarter. Costs increased 14%, reflecting a full quarter of Best Egg costs and the cost income ratio was 50%.

Speaker #2: Higher interest rates do not materially affect NIM, as assets typically reprice within a month. Card and consumer loan volumes were as expected, though higher benchmark rates continued to weigh on market-wide pricing of consumer loans distributed through Best Egg.

Speaker #3: We still expect a circa 12% Roti in '26, excluding the AA gain on sale. Let me step back from the quarterly performance. In the past three years, we have been transforming into a multi-product digital-only US consumer bank with 23 million customers.

Speaker #2: This created a circa 20 million non-NII headwind in the quarter. Costs increased 14%, reflecting a full quarter of Best Egg costs and the cost income ratio was 50%.

Speaker #3: The partnership cards franchise remains at its core, balances grew 6% organically in the past year as we rebalanced towards retail to improve diversification and risk-adjusted margins.

[CFO] (Barclays): Costs increased 14%, reflecting a full quarter of Best Egg costs, and the cost income ratio was 50%. We still expect a circa 12% RoTE in 2026, excluding the AA gain on sale. Let me step back from the quarterly performance. In the past three years, we have been transforming into a multi-product, digital-only U.S. Consumer Bank with 23 million customers. The partnership cards franchise remains at its core. Balances grew 6% organically in the past year as we rebalance towards retail to improve diversification and risk-adjusted margins. This includes circa 20% growth in General Motors balances since August 2025. The fully digital consumer deposit franchise, shown in the middle, has grown balances by 53% since 2023 to $26.6 billion. These deposits are around 50 to 60 basis points cheaper than wholesale funding and now comprise 84% of total funding.

Anna Cross: Costs increased 14%, reflecting a full quarter of Best Egg costs, and the cost income ratio was 50%. We still expect a circa 12% RoTE in 2026, excluding the AA gain on sale. Let me step back from the quarterly performance. In the past three years, we have been transforming into a multi-product, digital-only U.S. Consumer Bank with 23 million customers. The partnership cards franchise remains at its core. Balances grew 6% organically in the past year as we rebalance towards retail to improve diversification and risk-adjusted margins. This includes circa 20% growth in General Motors balances since August 2025. The fully digital consumer deposit franchise, shown in the middle, has grown balances by 53% since 2023 to $26.6 billion. These deposits are around 50 to 60 basis points cheaper than wholesale funding and now comprise 84% of total funding.

Speaker #3: This includes circa 20% growth in general motor's balances since August '25. The fully digital consumer deposit franchise shown in the middle has grown balances by 53% since '23 to 26.6 billion dollars.

Speaker #2: We still expect a circa 12% ROTI in 2026, excluding the AA gain on sale. Let me step back from the quarterly performance. In the past three years, we have been transforming into a multi-product, digital-only US consumer bank with 23 million customers.

Speaker #3: These deposits are around 50 to 60 basis points cheaper than wholesale funding and now comprise 84% of total funding. Most recently, Best Egg has added consumer lending capabilities with circa 7 billion dollars of annual originations.

Speaker #2: The partnership cards franchise remains at its core. Balances grew 6% organically in the past year as we rebalanced towards retail to improve diversification and risk-adjusted margins.

Speaker #2: This includes approximately 20% growth in General Motors' balances since August 2025. The fully digital consumer deposit franchise shown in the middle has grown balances by 53% since 2023 to $26.6 billion.

Speaker #3: This allows us to deliver even more value to partnership clients and their customers over time. Bringing these propositions together will drive significant further growth in our most digital division.

Speaker #3: Our earnings momentum is driving consistently stronger capital generation. We are on track to generate around 200 basis points of capital this year, and expect more than 230 basis points in '28.

Speaker #2: These deposits are around 50 to 60 basis points cheaper than wholesale funding and now comprise 84% of total funding. Most recently, Best Egg has added consumer lending capabilities with approximately $7 billion of annual originations.

[CFO] (Barclays): Most recently, Best Egg has added consumer lending capabilities with circa $7 billion of annual originations. This allows us to deliver even more value to partnership clients and their customers over time. Bringing these propositions together will drive significant further growth in our most digital division. Our earnings momentum is driving consistently stronger capital generation. We are on track to generate around 200 basis points of capital this year and expect more than 230 basis points in 2028. This supports progressive shareholder distributions. Including the GBP 2 billion planned dividend for 2026, we have now announced GBP 10.7 billion of distributions since the start of the plan, even before any Q4 buyback. We take a prudent approach to both current and future regulatory requirements, regardless of materiality. Noting recent commentary on our TRS exposure on private credit loans, our approach here is no exception.

Anna Cross: Most recently, Best Egg has added consumer lending capabilities with circa $7 billion of annual originations. This allows us to deliver even more value to partnership clients and their customers over time. Bringing these propositions together will drive significant further growth in our most digital division. Our earnings momentum is driving consistently stronger capital generation. We are on track to generate around 200 basis points of capital this year and expect more than 230 basis points in 2028. This supports progressive shareholder distributions. Including the GBP 2 billion planned dividend for 2026, we have now announced GBP 10.7 billion of distributions since the start of the plan, even before any Q4 buyback. We take a prudent approach to both current and future regulatory requirements, regardless of materiality. Noting recent commentary on our TRS exposure on private credit loans, our approach here is no exception.

Speaker #3: This supports progressive shareholder distributions. Including the 2 billion planned dividend for '26, we have now announced 10.7 billion of distributions since the start of the plan, even before any Q4 buyback.

Speaker #2: This allows us to deliver even more value to partnership clients and their customers over time. Bringing these propositions together will drive significant further growth in our most digital division.

Speaker #3: We take a prudent approach to both current and future regulatory requirements regardless of materiality. Noting recent commentary on our TRS exposure on private credit loans, our approach here is no exception.

Speaker #2: Our earnings momentum is driving consistently stronger capital generation. We are on track to generate around 200 basis points of capital this year, and expect more than 230 basis points in 2028.

Speaker #3: The conditions declassify the treatment as trading book were met. And our approach supported by appropriate governance internally and external review. And this approach is unchanged under Basel 3.1 rules.

Speaker #2: This supports progressive shareholder distributions. Including the 2 billion planned dividend for '26, we have now announced 10.7 billion of distributions since the start of the plan, even before any Q4 buyback.

Speaker #3: For context, the mark-to-market of this exposure is small. Currently around 300 million, within the 15 billion private credit book and the equivalent to 1.5 billion of notional.

Speaker #2: We take a prudent approach to both current and future regulatory requirements, regardless of materiality. Noting recent commentary on our TRS exposure on private credit loans, our approach here is no exception.

Speaker #3: Looking ahead, our plan and targets are based on operating around the top of our 13 to 14 percent CET1 ratio, while fully absorbing RWA headwinds in '27.

[CFO] (Barclays): The conditions to classify the treatment as trading book were met, and our approach supported by appropriate governance internally and external review. This approach is unchanged under Basel 3.1 rules. For context, the mark to market of this exposure is small, currently around GBP 300 million within the GBP 15 billion private credit book, and is equivalent to GBP 1.5 billion of notional. Looking ahead, our plan and targets are based on operating around the top of our 13% to 14% CET1 ratio while fully absorbing RWA headwinds in 2027. Put differently, the plan did not assume a reduction in Pillar 2A requirements. As expected, Basel 3.1 will increase RWAs by GBP 8 billion to GBP 15 billion, equivalent to 30 to 55 basis points of CET1. We now have greater clarity on Pillar 2A, which will reduce the MDA by 59 basis points, more than offsetting the impact of higher RWAs.

Anna Cross: The conditions to classify the treatment as trading book were met, and our approach supported by appropriate governance internally and external review. This approach is unchanged under Basel 3.1 rules. For context, the mark to market of this exposure is small, currently around GBP 300 million within the GBP 15 billion private credit book, and is equivalent to GBP 1.5 billion of notional. Looking ahead, our plan and targets are based on operating around the top of our 13% to 14% CET1 ratio while fully absorbing RWA headwinds in 2027.

Speaker #2: The conditions to declassify the treatment as trading book were met. Our approach was supported by appropriate governance internally and external review. This approach remains unchanged under Basel 3.1 rules.

Speaker #3: Put differently, the plan did not assume a reduction in Pillar 2A requirements. As expected, Basel 3.1 will increase RWA by 8 to 15 billion, equivalent to 30 to 55 basis points of CET1.

Speaker #2: For context, the mark-to-market of this exposure is small, currently around $300 million within the $15 billion private credit book, and is equivalent to $1.5 billion of notional.

Speaker #3: We now have greater clarity on Pillar 2A, which will reduce the MDA by 59 basis points, more than offsetting the impact of higher RWAs.

Speaker #2: Looking ahead, our plan and targets are based on operating around the top of our 13–14% CET1 ratio, while fully absorbing RWA headwinds in '27.

Speaker #3: This gives greater capital flexibility and we will update on the expected CET1 operating level within the 13 to 14 percent range, at full-year results.

Anna Cross: Put differently, the plan did not assume a reduction in Pillar 2A requirements. As expected, Basel 3.1 will increase RWAs by GBP 8 billion to GBP 15 billion, equivalent to 30 to 55 basis points of CET1. We now have greater clarity on Pillar 2A, which will reduce the MDA by 59 basis points, more than offsetting the impact of higher RWAs.

Speaker #2: Put differently, the plan did not assume a reduction in Pillar 2A requirements. As expected, Basel 3.1 will increase RWAs by £8 to £15 billion, equivalent to 30 to 55 basis points of CET1.

Speaker #3: Bringing this all together, we are delivering consistent revenue growth and amplifying this with positive operating leverage. This has driven the majority of the double-digit EPS growth in '24, '25, and year-to-date.

Speaker #2: We now have greater clarity on Pillar 2A, which will reduce the MDA by 59 basis points—more than offsetting the impact of higher RWAs.

Speaker #3: In doing so, we are driving more consistent shareholder returns. Buybacks of 5.8 billion since 2023 have reduced the share count by 12%. Further compounding EPS growth and delivering growth in TNAV and dividends of 32%.

[CFO] (Barclays): This gives greater capital flexibility, and we will update on the expected CET1 operating level within the 13% to 14% range at full year results. Bringing this all together, we are delivering consistent revenue growth and amplifying this with positive operating leverage. This has driven the majority of the double-digit EPS growth in 2024, 2025, and year to date. In doing so, we are driving more consistent shareholder returns. Buybacks of GBP 5.8 billion since 2023 have reduced the share count by 12%, further compounding EPS growth and delivering growth in TNAV and dividends of 32%. The plan does not end here. So before we open for Q&A, let me hand back to Venkat.

Anna Cross: This gives greater capital flexibility, and we will update on the expected CET1 operating level within the 13% to 14% range at full year results. Bringing this all together, we are delivering consistent revenue growth and amplifying this with positive operating leverage. This has driven the majority of the double-digit EPS growth in 2024, 2025, and year to date. In doing so, we are driving more consistent shareholder returns. Buybacks of GBP 5.8 billion since 2023 have reduced the share count by 12%, further compounding EPS growth and delivering growth in TNAV and dividends of 32%. The plan does not end here. So before we open for Q&A, let me hand back to Venkat.

Speaker #2: This gives greater capital flexibility, and we will update on the expected CET1 operating level within the 13% to 14% range at full-year results.

Speaker #2: Bringing this all together, we are delivering consistent revenue growth and amplifying this with positive operating leverage. This has driven the majority of the double-digit EPS growth in '24, '25, and year-to-date.

Speaker #3: But the plan does not end here. So before we open for Q&A, let me hand back to Venkat.

Speaker #1: Thank you, Anna. Three years ago, we presented a vision anchored in measured ambition and disciplined delivery. And as I told you in February this year, and as Anna has taught to show you today, our operational performance and our financial success are two sides of the same coin.

Speaker #2: In doing so, we are driving more consistent shareholder returns. Buybacks of $5.8 billion since 2023 have reduced the share count by 12%, further compounding EPS growth and delivering growth in TNAV, as well as dividends of 32%.

Speaker #1: With one quarter to go, until the end of the original three-year plan, I'm very pleased to say that we have met or are positioned to achieve all of our primary group objectives.

Speaker #2: But the plan does not end here. So before we open for Q&A, let me hand back to Venkat.

Speaker #1: I want to illustrate that with examples across our businesses and then discuss the next stage of our execution ambition. This is to reduce our cost structure, and increase operational efficiency.

[CEO] (Barclays): Thank you, Anna. Two years ago, we presented a vision anchored in measured ambition and disciplined delivery. As I told you in February this year, and as Anna has started to show you today, our operational performance and our financial success are two sides of the same coin. With one quarter to go until the end of the original three-year plan, I am very pleased to say that we have met or are positioned to achieve all of our primary group objectives. I want to illustrate that with examples across our businesses and then discuss the next stage of our execution ambition. This is to reduce our cost structure and increase operational efficiency. Let me remind you of our UK retail strategy, the journey on which we have been, and the opportunity from here. This strategy has two pillars.

C. S. Venkatakrishnan: Thank you, Anna. Two years ago, we presented a vision anchored in measured ambition and disciplined delivery. As I told you in February this year, and as Anna has started to show you today, our operational performance and our financial success are two sides of the same coin. With one quarter to go until the end of the original three-year plan, I am very pleased to say that we have met or are positioned to achieve all of our primary group objectives. I want to illustrate that with examples across our businesses and then discuss the next stage of our execution ambition. This is to reduce our cost structure and increase operational efficiency. Let me remind you of our UK retail strategy, the journey on which we have been, and the opportunity from here. This strategy has two pillars.

Speaker #1: Thank you, Anna. Three years ago, we presented a vision anchored in measured ambition and disciplined delivery. And as I told you in February this year, and as Anna has started to show you today, our operational performance and our financial success are two sides of the same coin.

Speaker #1: Let me remind you of our UK retail strategy. The journey on which we have been and the opportunity from here. This strategy has two pillars.

Speaker #1: First, we have repositioned the business into a multi-brand franchise extending our client reach and the ability to trailer services to different customer needs. We acquired Tesco Bank in 2024.

Speaker #1: With one quarter to go until the end of the original three-year plan, I am very pleased to say that we have met our opposition to achieve all of our primary group objectives.

Speaker #1: I want to illustrate that with examples across our businesses, and then discuss the next stage of our execution ambition. This is to reduce our cost structure and increase operational efficiency.

Speaker #1: And it's now accounts for 20% of card acquisitions and is a key lever in our deposit strategy. We acquired Kensington Mortgages in 2023. The Kensington brand and capabilities enable us to lend to more complex borrowers and balance this here have more than tripled since the acquisition.

Speaker #1: Let me remind you of our UK retail strategy, the journey on which we have been, and the opportunity from here. This strategy has two pillars.

Speaker #1: And we are delivering a better client experience by investing in technology. This includes our mortgage broker platform, where we have reduced application times from 45 minutes to less than 15.

[CEO] (Barclays): First, we have repositioned the business into a multi-brand franchise, extending our client reach and the ability to tailor services to different customer needs. We acquired Tesco Bank in 2024, and it now accounts for 20% of card acquisitions and is a key lever in our deposit strategy. We acquired Kensington Mortgages in 2023. The Kensington brand and capabilities enable us to lend to more complex borrowers, and balances here have more than tripled since the acquisition. We are delivering a better client experience by investing in technology. This includes our mortgage broker platform, where we have reduced application times from 45 minutes to less than 15, meaningfully improving our broker NPS score from -51 to +70. As a result, our market share is up 30 basis points since 2023 to 10.4%. The second pillar of our retail strategy is to establish Barclays as the Premier UK bank.

C. S. Venkatakrishnan: First, we have repositioned the business into a multi-brand franchise, extending our client reach and the ability to tailor services to different customer needs. We acquired Tesco Bank in 2024, and it now accounts for 20% of card acquisitions and is a key lever in our deposit strategy. We acquired Kensington Mortgages in 2023. The Kensington brand and capabilities enable us to lend to more complex borrowers, and balances here have more than tripled since the acquisition. We are delivering a better client experience by investing in technology. This includes our mortgage broker platform, where we have reduced application times from 45 minutes to less than 15, meaningfully improving our broker NPS score from -51 to +70. As a result, our market share is up 30 basis points since 2023 to 10.4%. The second pillar of our retail strategy is to establish Barclays as the Premier UK bank.

Speaker #1: First, we have repositioned the business into a multi-brand franchise, extending our client reach and the ability to tailor services to different customer needs. We acquired Tesco Bank in 2024, which now accounts for 20% of card acquisitions and is a key lever in our deposit strategy.

Speaker #1: Meaningfully improving our broker NPS score from minus 51 to plus 70. As a result, our market share is up 30 basis points since 2023 to 10.4%.

Speaker #1: We acquired Kensington Mortgages in 2023. The Kensington brand and capabilities enable us to lend to more complex borrowers, and balances here have more than tripled since the acquisition.

Speaker #1: The second pillar of our retail strategy is to establish Barclays as the premier UK bank. Improved customer service has culminated in Barclays having the highest premier NPS among UK peers.

Speaker #1: And we are delivering a better client experience by investing in technology. This includes our mortgage broker platform, where we have reduced application times from 45 minutes to less than 15.

Speaker #1: As a result, since the end of 2023, we have increased premier mass apps and customers by 27%, driving 23% deposit growth in this segment.

Speaker #1: We have meaningfully improved our broker NPS score from minus 51 to plus 70. As a result, our market share is up 30 basis points since 2023, to 10.4%.

Speaker #1: In doing so, we have shifted our deposit mix, towards customers with larger balances, and with the greatest need for long-term investment planning. We have the customers, including circa 400,000 in Barclays UK, that could benefit from investment advice.

Speaker #1: The second pillar of our retail strategy is to establish Barclays as the premier UK bank. Improved customer service has culminated in Barclays having the highest Premier NPS among UK peers.

Speaker #1: And we now have the most compelling low-price, high-quality proposition in private bank and wealth management in the UK. These provide financial advice with no upfront fee, and direct investing or investment platform with no custody fees.

[CEO] (Barclays): Improved customer service has culminated in Barclays having the highest Premier NPS among UK peers. As a result, since the end of 2023, we have increased Premier mass affluent customers by 27%, driving 23% deposit growth in this segment. In doing so, we have shifted our deposit mix towards customers with larger balances and with the greatest need for long-term investment planning. We have the customers, including circa 400,000 in Barclays UK, that could benefit from investment advice, and we now have the most compelling low price, high-quality proposition in Private Bank and Wealth Management in the UK. These provide financial advice with no upfront fee and direct investing our investment platform with no custody fees. When it comes to UK corporates, we are uniquely placed to drive growth and investment. We have built the largest UK corporate deposit franchise by investing in transaction banking and having complete client coverage.

C. S. Venkatakrishnan: Improved customer service has culminated in Barclays having the highest Premier NPS among UK peers. As a result, since the end of 2023, we have increased Premier mass affluent customers by 27%, driving 23% deposit growth in this segment. In doing so, we have shifted our deposit mix towards customers with larger balances and with the greatest need for long-term investment planning. We have the customers, including circa 400,000 in Barclays UK, that could benefit from investment advice, and we now have the most compelling low price, high-quality proposition in Private Bank and Wealth Management in the UK. These provide financial advice with no upfront fee and direct investing our investment platform with no custody fees. When it comes to UK corporates, we are uniquely placed to drive growth and investment. We have built the largest UK corporate deposit franchise by investing in transaction banking and having complete client coverage.

Speaker #1: As a result, since the end of 2023, we have increased premier mass affluent customers by 27%, driving 23% deposit growth in this segment. In doing so, we have shifted our deposit mix towards customers with larger balances and with the greatest need for long-term investment planning.

Speaker #1: When it comes to UK corporates, we are uniquely placed to drive growth and investment. We have built the largest UK corporate deposit franchise by investing in transaction banking and having complete client coverage.

Speaker #1: We have the customers, including approximately 400,000 in Barclays UK, that could benefit from investment advice. And we now have the most compelling low-price, high-quality proposition in private banking and wealth management in the UK.

Speaker #1: This starts with business banking in Barclays UK, through to FTSE 350 clients in the UK corporate bank, and as the only full-service UK investment bank, we also serve the very largest FTSE clients in the international corporate bank.

Speaker #1: These provide financial advice with no upfront fee, and direct investing or investment platforms with no custody fees. When it comes to UK corporates, we are uniquely placed to drive growth and investment.

Speaker #1: The UK corporate franchise has historically been the beating heart of Barclays. But it has lacked specific attention for some time. This changed after we resegmented the business at the end of 2023, gave it capital, and started reinvesting in technology.

Speaker #1: We have built the largest UK corporate deposit franchise by investing in transaction banking and having complete client coverage. This starts with business banking in Barclays UK, continues through to FTSE 350 clients in the UK corporate bank, and, as the only full-service UK investment bank, we also serve the very largest FTSE clients in the international corporate bank.

Speaker #1: We are driving differentiated growth on both sides of the balance sheet, with lending growing materially faster than the market since 2024, driven by new and existing clients.

[CEO] (Barclays): This starts with business banking in Barclays UK through to FTSE 350 clients in the UK Corporate Bank, and as the only full-service UK investment bank, we also serve the very largest FTSE clients in the international corporate bank. The UK corporate franchise has historically been the beating heart of Barclays, but it has lacked specific attention for some time. This changed after we resegmented the business at the end of 2023, gave it capital, and started reinvesting in technology. We are driving differentiated growth on both sides of the balance sheet, with lending growing materially faster than the market since 2024, driven by new and existing clients. With a loan-to-deposit ratio of only 38% in the UK Corporate Bank versus 50% to 75% of peers, we have much further to go. We are driving growth by delivering a better client experience.

C. S. Venkatakrishnan: This starts with business banking in Barclays UK through to FTSE 350 clients in the UK Corporate Bank, and as the only full-service UK investment bank, we also serve the very largest FTSE clients in the international corporate bank. The UK corporate franchise has historically been the beating heart of Barclays, but it has lacked specific attention for some time. This changed after we resegmented the business at the end of 2023, gave it capital, and started reinvesting in technology. We are driving differentiated growth on both sides of the balance sheet, with lending growing materially faster than the market since 2024, driven by new and existing clients. With a loan-to-deposit ratio of only 38% in the UK Corporate Bank versus 50% to 75% of peers, we have much further to go. We are driving growth by delivering a better client experience.

Speaker #1: With a loan-to-deposit ratio of only 38% in the UK corporate bank, versus 50 to 75% for peers, we have much further to go. We are driving growth by delivering a better client experience.

Speaker #1: The UK corporate franchise has historically been the beating heart of Barclays, but it has lacked specific attention for some time. This changed after we resegmented the business at the end of 2023, gave it capital, and started reinvesting in technology.

Speaker #1: Around 45% of our clients now use iPortal or digital access platform exclusively, replacing five legacy platforms. And we expect this usage to rise to 100% by the end of this year.

Speaker #1: All of this will drive greater product usage, supporting our fee income, and allow us to decommission legacy tech platforms. In the investment bank, we are improving the returns footprint by altering the business mix and increasing productivity.

Speaker #1: We are driving differentiated growth on both sides of the balance sheet, with lending growing materially faster than the market since 2024, driven by new and existing clients.

Speaker #1: With a loan-to-deposit ratio of only 38% in the UK corporate bank, versus 50% to 75% for peers, we have much further to go. We are driving growth by delivering a better client experience.

Speaker #1: Within a broadly stable RWA footprint, we have increased income to average RWAs by 130 basis points since 2023, to now standing at 6.8% in the last 12 months.

[CEO] (Barclays): Around 45% of our clients now use iPortal, our digital access platform, exclusively replacing five legacy platforms, and we expect this usage to rise to 100% by the end of this year. All of this will drive greater product usage, supporting our fee income, and allow us to decommission legacy tech platforms. In the Investment Bank, we are improving the returns footprint by altering the business mix and increasing productivity. Within a broadly stable RWA footprint, we have increased income to average RWAs by 130 basis points since 2023 to now standing at 6.8% in the last 12 months. Ours is a story of discipline focused on greater client relevance, where we now rank top five with 66 of our top 100 market clients, up from 30 in 2021.

C. S. Venkatakrishnan: Around 45% of our clients now use iPortal, our digital access platform, exclusively replacing five legacy platforms, and we expect this usage to rise to 100% by the end of this year. All of this will drive greater product usage, supporting our fee income, and allow us to decommission legacy tech platforms. In the Investment Bank, we are improving the returns footprint by altering the business mix and increasing productivity. Within a broadly stable RWA footprint, we have increased income to average RWAs by 130 basis points since 2023 to now standing at 6.8% in the last 12 months. Ours is a story of discipline focused on greater client relevance, where we now rank top five with 66 of our top 100 market clients, up from 30 in 2021.

Speaker #1: Around 45% of our clients now use iPortal or the digital access platform exclusively, replacing five legacy platforms. We expect this usage to rise to 100% by the end of this year.

Speaker #1: Ours is a story of discipline, focused on greater client relevance. Where we now rank top five with 66 of our top 100 market clients, up from 30 in 2021.

Speaker #1: All of this will drive greater product usage, supporting our fee income, and allow us to decommission legacy tech platforms. In the investment bank, we are improving the returns footprint by altering the business mix and increasing productivity.

Speaker #1: And to remind you, our target was for 70 out of the top 100 to be top five by the end of this year. We have driven structurally stronger, more predictable global markets income in two ways.

Speaker #1: Within a broadly stable RWA footprint, we have increased income to average RWAs by 130 basis points since 2023, now standing at 6.8% in the last 12 months.

Speaker #1: First, by growing the stable income base, and second, by reducing volatility and the seasonality of the intermediation business. We have increased finance income by about a billion pounds since 2023, reflecting the investment which we have made in liquid financing, where we now rank fifth globally.

Speaker #1: Ours is a story of discipline, focused on greater client relevance. We now rank in the top five with 66 of our top 100 market clients, up from 30 in 2021.

Speaker #1: This creates deeper relationships with 98 of our top 100 markets clients choosing Barclays for their financing needs. And we are rebalancing towards equities which now account for 45% of the year-to-date revenues in the markets business, versus 32% in 2023.

[CEO] (Barclays): To remind you, our target was for 70 out of the top 100 to be top five by the end of this year. We have driven structurally stronger, more predictable global markets income in two ways. First, by growing the stable income base, and second, by reducing volatility and the seasonality of the intermediation business. We have increased finance income by about GBP 1 billion since 2023, reflecting the investment which we have made in liquid financing, where we now rank fifth globally. This creates deeper relationships with 98 of our top 100 markets clients choosing Barclays for their financing needs. We are rebalancing towards equities, which now account for 45% of the year-to-date revenues in the markets business, versus 32% in 2023. Equity derivatives and prime have driven about 90% of this growth.

C. S. Venkatakrishnan: To remind you, our target was for 70 out of the top 100 to be top five by the end of this year. We have driven structurally stronger, more predictable global markets income in two ways. First, by growing the stable income base, and second, by reducing volatility and the seasonality of the intermediation business. We have increased finance income by about GBP 1 billion since 2023, reflecting the investment which we have made in liquid financing, where we now rank fifth globally. This creates deeper relationships with 98 of our top 100 markets clients choosing Barclays for their financing needs. We are rebalancing towards equities, which now account for 45% of the year-to-date revenues in the markets business, versus 32% in 2023. Equity derivatives and prime have driven about 90% of this growth.

Speaker #1: And to remind you, our target was for 70 out of the top 100 to be top 5 by the end of this year. We have driven structurally stronger, more predictable global markets income in two ways.

Speaker #1: First, by growing the stable income base, and second, by reducing volatility and the seasonality of the intermediation business. We have increased finance income by about £1 billion since 2023, reflecting the investment which we have made in liquid financing, where we now rank fifth globally.

Speaker #1: Equity derivatives and prime have driven about 90% of this growth. The diversification of our revenues supports performance in a broader range of environments, with Q3 being a case in point where we saw a 50/50 split in revenues between equities and fixed income.

Speaker #1: This creates deeper relationships, with 98 of our top 100 Markets clients choosing Barclays for their financing needs. And we are rebalancing towards equities, which now account for 45% of year-to-date revenues in the Markets business, versus 32% in 2023.

Speaker #1: We are improving performance across our businesses through disciplined delivery and rigorous execution. We have done so by investing in and building a constellation of segment-leading businesses.

Speaker #1: These include consumer businesses, with over 40 million retail customers globally, the largest UK corporate bank by deposits, and the top-tier global investment bank. As we move from the first three-year plan to the second, we are also transitioning to the next phase of our journey.

Speaker #1: Equity derivatives and prime have driven about 90% of this growth. The diversification of our revenues supports performance in a broader range of environments, with Q3 being a case in point, where we saw a 50/50 split in revenues between equities and fixed income.

[CEO] (Barclays): The diversification of our revenues supports performance in a broader range of environments, with Q3 being a case in point, where we saw a 50/50 split in revenues between equities and fixed income. We are improving performance across our businesses through disciplined delivery and rigorous execution. We have done so by investing in and building a constellation of segment-leading businesses. These include consumer businesses with over 40 million retail customers globally, the largest UK Corporate Bank by deposits, and a top-tier global Investment Bank. As we move from the first three-year plan to the second, we are also transitioning to the next phase of our journey. This is to accelerate operational improvements and drive even greater cost efficiency through deep technological transformation, reducing the unit cost of product manufacturing, service, and innovation. We are achieving this by standardizing our data, modernizing our infrastructure, and harmonizing our processes.

C. S. Venkatakrishnan: The diversification of our revenues supports performance in a broader range of environments, with Q3 being a case in point, where we saw a 50/50 split in revenues between equities and fixed income. We are improving performance across our businesses through disciplined delivery and rigorous execution. We have done so by investing in and building a constellation of segment-leading businesses. These include consumer businesses with over 40 million retail customers globally, the largest UK Corporate Bank by deposits, and a top-tier global Investment Bank. As we move from the first three-year plan to the second, we are also transitioning to the next phase of our journey. This is to accelerate operational improvements and drive even greater cost efficiency through deep technological transformation, reducing the unit cost of product manufacturing, service, and innovation. We are achieving this by standardizing our data, modernizing our infrastructure, and harmonizing our processes.

Speaker #1: And this is to accelerate operational improvements and drive even greater cost efficiency through deep technological transformation, reducing the unit cost of product manufacturing, service, and innovation.

Speaker #1: We are improving performance across our businesses through disciplined delivery and rigorous execution. We have done so by investing in and building a constellation of segment-leading businesses.

Speaker #1: We are achieving this by standardizing our data, modernizing our infrastructure, and harmonizing our processes. And we will employ AI at scale, but AI is the icing on the cake, not the cake.

Speaker #1: These include consumer businesses, with over 40 million retail customers globally, the largest UK corporate bank by deposits, and a top-tier global investment bank. As we move from the first three-year plan to the second, we are also transitioning to the next phase of our journey.

Speaker #1: Investment underpinning this is within the plan we have outlined in February, and is being made possible by our operating leverage. By continuing to execute our strategy with discipline and rigor, we are accelerating our ambition and securing structurally higher and all-weather returns beyond 2028.

Speaker #1: And this is to accelerate operational improvements and drive even greater cost efficiency through deep technological transformation, reducing the unit cost of product manufacturing, service, and innovation.

Speaker #1: Segment-leading businesses ambitious revenue growth, robust cost and operational efficiency, conservative capital and liquidity profiles, rigorous risk management, and strong capital generation. These are the principles and goals by which we aim to live and prosper at Barclays.

Speaker #1: We are achieving this by standardizing our data, modernizing our infrastructure, and harmonizing our processes. And we will employ AI at scale. But AI is the icing on the cake, not the cake.

[CEO] (Barclays): We will employ AI at scale. AI is the icing on the cake, not the cake. Investment underpinning this is within the plan we have outlined in February and is being made possible by our operating leverage. By continuing to execute our strategy with discipline and rigor, we are accelerating our ambition and securing structurally higher and all-weather returns beyond 2028. Segment-leading businesses, ambitious revenue growth, robust cost and operational efficiency, conservative capital and liquidity profiles, rigorous risk management, and strong capital generation. These are the principles and goals by which we aim to live and prosper at Barclays. I am now open to questions and answers. As ever, please limit yourself to two questions so we can get around to as many of you as possible. Please also introduce yourself as you start your questions. Thank you.

C. S. Venkatakrishnan: We will employ AI at scale. AI is the icing on the cake, not the cake. Investment underpinning this is within the plan we have outlined in February and is being made possible by our operating leverage. By continuing to execute our strategy with discipline and rigor, we are accelerating our ambition and securing structurally higher and all-weather returns beyond 2028. Segment-leading businesses, ambitious revenue growth, robust cost and operational efficiency, conservative capital and liquidity profiles, rigorous risk management, and strong capital generation. These are the principles and goals by which we aim to live and prosper at Barclays. I am now open to questions and answers. As ever, please limit yourself to two questions so we can get around to as many of you as possible. Please also introduce yourself as you start your questions. Thank you.

Speaker #1: Investment underpinning this is within the plan we have outlined in February, and is being made possible by our operating leverage. By continuing to execute our strategy with discipline and rigor, we are accelerating our ambition and securing structurally higher and all-weather returns beyond 2028.

Speaker #1: I'm now open to questions and answers, as ever, please limit yourself to two questions so we can get around as many of you as possible.

Speaker #1: And please also introduce yourselves, as you start your questions. Thank you.

Speaker #2: If you wish to ask a question, please press star followed by one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two.

Speaker #1: Segment-leading businesses, ambitious revenue growth, robust cost and operational efficiency, conservative capital and liquidity profiles, rigorous risk management, and strong capital generation. These are the principles and goals by which we aim to live and prosper at Barclays.

Speaker #3: Our first question for today comes from Jonathan Pierce of Jefferies. Your line is now open. Please go ahead.

Speaker #1: Hello, good morning both. Hope you're well. I've got two questions. One on capital and one on cost, please. On capital, the pillar 2A drop, 59 bits in equity terms, things about 105 basis points in total capital terms, it's I mean, it's huge.

Speaker #1: I'm now open to questions and answers. As ever, please limit yourself to two questions so we can get around as many of you as possible.

Speaker #1: And please also introduce yourselves as you start your questions. Thank you.

Operator: If you wish to ask a question, please press star followed by one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two. Our first question for today comes from Jonathan Pierce of Jefferies. Your line is now open. Please go ahead.

Operator: If you wish to ask a question, please press star followed by one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two. Our first question for today comes from Jonathan Pierce of Jefferies. Your line is now open. Please go ahead.

Speaker #2: If you wish to ask a question, please press star followed by one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two.

Speaker #1: I think mathematically it's equivalent to about $50 billion of RWAs moving into pillar one. Not the 8 to 15 that you're flagging for Basel 3.1.

Speaker #1: So I just think we're a bit more colour on this. Is there something else going on here? Is this actually part of a much broader review of pillar 2A and not just Basel 3.1?

Speaker #3: Our first question for today comes from Jonathan Pace of Jefferies. Your line is now open. Please go ahead.

Speaker #1: And maybe as a supplementary to that, if you do land an 11.6%, which is what you're saying in the slide this morning, it's very similar to where Lloyd's and NatWest are at the moment, and they're targeting a 13% equity tier one.

Jonathan Pierce: Hello, good morning, both. Hope you are well. I have got two questions, one on capital, one on cost, please. On capital, the Pillar 2A drop, 59 basis points in equity terms, I think it is about 105 basis points in total capital terms. It is huge. I think mathematically it is equivalent to about GBP 50 billion of RWAs moving into Pillar 1, not the GBP 8 billion to GBP 15 billion that you are flagging for Basel 3.1. So I just think we need a bit more color on this. Is there something else going on here? Is this actually part of a much broader review of Pillar 2A and not just Basel 3.1? And maybe as a supplementary to that, if you do land at 11.6%, which is what you are saying in the slides this morning, it is very similar to where Lloyds and NatWest are at the moment, and they are targeting a 13% equity Tier 1 ratio.

Jonathan Pierce: Hello, good morning, both. Hope you are well. I have got two questions, one on capital, one on cost, please. On capital, the Pillar 2A drop, 59 basis points in equity terms, I think it is about 105 basis points in total capital terms. It is huge. I think mathematically it is equivalent to about GBP 50 billion of RWAs moving into Pillar 1, not the GBP 8 billion to GBP 15 billion that you are flagging for Basel 3.1. So I just think we need a bit more color on this. Is there something else going on here?

Speaker #1: Hello, good morning both. Hope you're well. I've got two questions, one on capital and one on cost, please. On capital, the Pillar 2A drop — 59 bps in equity terms; I think it was about 105 basis points in total capital terms.

Speaker #1: Ratios. So I know you're going to tell me we've got to wait for full year, but any insights into how you're thinking about this, would you need to operate a little bit above or slightly higher buffer than those other two banks, maybe 13.5% would be helpful for some colour on that, please.

Speaker #1: It's huge. I think mathematically it's equivalent to about $50 billion of RWAs moving into pillar one. Not the 8 to 15 that you're flagging for Barzel, 3.1.

Speaker #1: So, I just think we need a bit more colour on this. Is there something else going on here? Is this actually part of a much broader review of Pillar 2A and not just Basel 3.1?

Speaker #1: Secondly, on costs, thanks so much for the absolute cost guidance for 2027. I think that's really helpful. I'm afraid I'm going to ask about 2028, and I'll keep it very simple.

Jonathan Pierce: Is this actually part of a much broader review of Pillar 2A and not just Basel 3.1? And maybe as a supplementary to that, if you do land at 11.6%, which is what you are saying in the slides this morning, it is very similar to where Lloyds and NatWest are at the moment, and they are targeting a 13% equity Tier 1 ratio.

Speaker #1: And maybe as a supplementary to that, if you do land at 11.6%, which is what you're saying in the slide this morning, it's very similar to where Lloyds and NatWest are at the moment, and they're targeting a 13% equity Tier 1.

Speaker #1: Are we still okay to rely on the bridge, the absolute cost bridge that you gave us with full year results 2025 to that slide 66 that gave us a cost number in effect for 2028?

Speaker #1: Ratios. So, I know you're going to tell me we've got to wait for the full year, but any insights into how you're thinking about this?

Jonathan Pierce: I know you are going to tell me we have got to wait for full year, but any insights into how you are thinking about this? Would you need to operate a little bit above or slightly higher buffer than those other two banks, maybe 13.5%? Be helpful with some color on that, please. Secondly, on costs. Thanks so much for the absolute cost guidance for 2027. I think that is really helpful. I am afraid, though, I am going to ask about 2028. And I will keep it very simple. Are we still okay to rely on the bridge, the absolute cost bridge that you gave us with full-year results 2025? So that slide 66 that gave us a cost number in effect for 2028. And if not, how should we think about 2028? Is it another year of run the bank cost being broadly flat like in 2027, and then the delta is investment?

Jonathan Pierce: I know you are going to tell me we have got to wait for full year, but any insights into how you are thinking about this? Would you need to operate a little bit above or slightly higher buffer than those other two banks, maybe 13.5%? Be helpful with some color on that, please. Secondly, on costs. Thanks so much for the absolute cost guidance for 2027. I think that is really helpful. I am afraid, though, I am going to ask about 2028. And I will keep it very simple.

Speaker #1: And if not, how should we think about 2028? Is it another year of run the bank costing broadly flat like in 2027, and then the delta is investments?

Speaker #1: Would you need to operate a little bit above, or at a slightly higher buffer than those other two banks? Maybe 13.5%? It would be helpful to have some colour on that, please.

Speaker #1: How should we think about 2028 costs, please? Thank you.

Speaker #1: Secondly, on costs, thanks so much for the absolute cost guidance for '27. I think that's really helpful. I'm afraid, though, I'm going to ask about 2028, and I'll keep it very simple.

Speaker #4: Okay. Jonathan, let me take both of those. So let me start with pillar 2A. What we're saying is that we're expecting a reduction in our MDA of 59 basis points.

Jonathan Pierce: Are we still okay to rely on the bridge, the absolute cost bridge that you gave us with full-year results 2025? So that slide 66 that gave us a cost number in effect for 2028. And if not, how should we think about 2028? Is it another year of run the bank cost being broadly flat like in 2027, and then the delta is investment? How should we think about 2028 costs, please? Thank you.

Speaker #1: Are we still okay to rely on the bridge? The absolute cost bridge that you gave us with full year results 2025. So that slide 66 that gave us a cost number in effect.

Speaker #4: And essentially where this comes from is we have an annual process around pillar 2A. That includes Basel, but it will include other things. So you're right to say that the Basel component is part of it, but that is an annual normal process and is an ongoing piece of work.

Speaker #1: For 2028—and if not, how should we think about '28? Is it another year of run-the-bank costing broadly flat, like in '27?

Speaker #1: And then the delta is investments. How should we think about 28 cost, please? Thank you.

Jonathan Pierce: How should we think about 2028 costs, please? Thank you.

Speaker #4: The second thing I would say is that Basel is a big complex change. And so you have some quite mechanical offsets, and then you have some that are sort of a lot more complex than that.

[CEO] (Barclays): Jonathan, let me take both of those. Let me start with Pillar 2A. What we are saying is that we are expecting a reduction in our MDA of 59 basis points. Essentially where this comes from is we have an annual process around Pillar 2A that includes Basel, but it will include other things. You are right to say that the Basel component is part of it, but that is an annual normal process and is an ongoing piece of work. The second thing I would say is that Basel is a big, complex change. You have some quite mechanical offsets, and then you have some that are a lot more complex than that. I think it reflects both of those factors, Jonathan. Quite difficult to read from the outside.

Speaker #4: Okay, Jonathan. Let me take both of those. So let me start with Pillar 2A. What we're saying is that we're expecting a reduction in our MDA of 59 basis points.

Anna Cross: Jonathan, let me take both of those. Let me start with Pillar 2A. What we are saying is that we are expecting a reduction in our MDA of 59 basis points. Essentially where this comes from is we have an annual process around Pillar 2A that includes Basel, but it will include other things. You are right to say that the Basel component is part of it, but that is an annual normal process and is an ongoing piece of work. The second thing I would say is that Basel is a big, complex change. You have some quite mechanical offsets, and then you have some that are a lot more complex than that. I think it reflects both of those factors, Jonathan. Quite difficult to read from the outside.

Speaker #4: So I think it reflects both of those factors, Jonathan. So quite difficult to read from the outside. But as I step back from it, what it tells me is that we are well capitalised now in pillar 2A for the capital environment that we're going to go into, number one.

Speaker #4: And essentially, where this comes from is we have an annual process around Pillar 2A. That includes Barzel, but it will include other things. So you're right to say that the Barzel component is part of it, but that is an annual, normal process and is an ongoing piece of work.

Speaker #4: And number two, it gives us more capital flexibility as we go forward in the plan because we had not anticipated this pillar 2 reduction.

Speaker #4: The second thing I would say is that Barzel is a big complex change and so you have some quite mechanical offsets and then you have some that are sort of a lot more complex than that.

Speaker #4: The other thing that I would say in response to your question I mean, obviously we will talk about the range within which we expect to operate at the full year, but you should expect us to operate and appropriate buffer to the MDA as we do now.

Speaker #4: So I think it reflects both of those factors, Jonathan. So quite difficult to read from the outside. But as I step back from it, what it tells me is that we are well capitalised now in pillar 2A for the capital environment that we're going to go into.

[CEO] (Barclays): But as I step back from it, what it tells me is that we are well capitalized now in Pillar 2A for the capital environment that we are going to go into, number one. Number two, it gives us more capital flexibility as we go forward in the plan, because we had not anticipated this Pillar 2 reduction. The other thing that I would say in response to your question, obviously we will talk about the range within which we expect to operate at the full year, but you should expect us to operate an appropriate buffer to the MDA as we do now. Do not expect that to change.

Anna Cross: But as I step back from it, what it tells me is that we are well capitalized now in Pillar 2A for the capital environment that we are going to go into, number one. Number two, it gives us more capital flexibility as we go forward in the plan, because we had not anticipated this Pillar 2 reduction. The other thing that I would say in response to your question, obviously we will talk about the range within which we expect to operate at the full year, but you should expect us to operate an appropriate buffer to the MDA as we do now. Do not expect that to change.

Speaker #4: So don't expect that to change. To go to your second question, what we said at full year remains intact, specifically that you should expect modest cost growth, and you should expect positive jaws.

Speaker #4: Number one. And number two, it gives us more capital flexibility as we go forward in the plan, because we had not anticipated this Pillar 2 reduction.

Speaker #4: What we're trying to highlight for you today is that in this phase of the plan, there is an increased intensity of investment, but we are also highlighting an increased efficiency so that efficiency is up commensurately, so that we can contain costs and make those two things true.

Speaker #4: The other thing that I would say in response to your question—I mean, obviously we will talk about the range within which we expect to operate for the full year, but you should expect us to operate with an appropriate buffer to the MDA, as we do now.

Speaker #4: So that's how we think about it. Venkat, anything you'd want to add?

Speaker #4: So, don't expect that to change. To go to your second question, what we said at full year remains intact—specifically, that you should expect modest cost growth and you should expect positive jaws.

Speaker #1: Yeah, let me add on both Jonathan. First of all, on capital, I think as we've made clear, we've in our planning up to now, we had taken into account what we thought would be the increases coming from the Basel process.

[CFO] (Barclays): To go to your second question, what we said at full year remains intact, specifically that you should expect modest cost growth and you should expect positive jaws. What we are trying to highlight for you today is that in this phase of the plan, there is an increased intensity of investment, but we are also highlighting an increased efficiency, so that efficiency is up commensurately so that we can contain costs and make those two things true.

Anna Cross: To go to your second question, what we said at full year remains intact, specifically that you should expect modest cost growth and you should expect positive jaws. What we are trying to highlight for you today is that in this phase of the plan, there is an increased intensity of investment, but we are also highlighting an increased efficiency, so that efficiency is up commensurately so that we can contain costs and make those two things true.

Speaker #1: That's due to us in early January. And that's as we said, 30 to 55 basis points. We had not in our planning process, as Anna just said, taken into account what this pillar 2A adjustment offset would be negative.

Speaker #4: What we're trying to highlight for you today is that, in this phase of the plan, there is an increased intensity of investment. But we are also highlighting an increased efficiency, so that efficiency is up commensurately, allowing us to contain costs and make those two things true.

Speaker #1: So of course, net net, this is a tailwind as you point out. And then on the efficiency side, just to add context to Anna's answer, what I would say is we have been investing in technology.

[CEO] (Barclays): Oh.

Jonathan Pierce: Oh.

[CFO] (Barclays): That is how we think about it. Venkat, anything you would want to add?

Anna Cross: That is how we think about it. Venkat, anything you would want to add?

Speaker #4: So that's how we think about it. Thank you. Is there anything you'd like to add?

[CEO] (Barclays): Yeah. Let me add on both, Jonathan. First of all, on capital. I think as we have made clear, in our planning up to now, we had taken into account what we thought would be the increases coming from the Basel process that is due to us in early January, and that is as we said, 30 to 55 basis points. We had not in our planning process, as Anna just said, taken into account what this Pillar 2 adjustment offset would be negative. So of course, net-net, this is a tailwind as you point out. Then on the efficiency side, just to add context to Anna's answer, what I would say is we have been investing in technology. We continue deeply to invest in technology, simplifying our processes, modernizing our infrastructure, and I would expect this to yield results over time.

C. S. Venkatakrishnan: Yeah. Let me add on both, Jonathan. First of all, on capital. I think as we have made clear, in our planning up to now, we had taken into account what we thought would be the increases coming from the Basel process that is due to us in early January, and that is as we said, 30 to 55 basis points. We had not in our planning process, as Anna just said, taken into account what this Pillar 2 adjustment offset would be negative. So of course, net-net, this is a tailwind as you point out. Then on the efficiency side, just to add context to Anna's answer, what I would say is we have been investing in technology. We continue deeply to invest in technology, simplifying our processes, modernizing our infrastructure, and I would expect this to yield results over time.

Speaker #1: Yeah, let me add on both Jonathan. First of all, on capital, I think as we've made clear, we've in our planning up to now, we had taken into account what we thought would be the increases coming from the Barzel process.

Speaker #1: We continue deeply to invest in technology, simplifying our processes, modernising our infrastructure. And I would expect this to yield results over time. And as we have clarity on it, we will share it with you.

Speaker #1: That's due to us in early January, and that's, as we said, 30 to 55 basis points. We had not, in our planning process, as Anna just said, taken into account what this Pillar 2A adjustment offset would be—negative.

Speaker #4: Thank you, Jonathan. Can we have the next question, please?

Speaker #3: Our next question comes from Alvaro Serrano of Morgan Stanley. Your line is now open. Please go ahead.

Speaker #1: So, of course, net-net, this is a tailwind, as you point out. And then, on the efficiency side, just to add context to Anna's answer, what I would say is we have been investing in technology.

Speaker #5: Thanks for taking my questions. First one is on the investment bank. Obviously, you think you've called out, I think, Venkat, I think you somewhat disappointing, I think, is the word you used.

Speaker #1: We continue to invest deeply in technology, simplifying our processes and modernising our infrastructure. I would expect this to yield results over time, and as we have clarity on it, we will share it with you.

Speaker #5: And you've also explained that the intermediation sort of activity was slow in the second half of the quarter. Is there something you could sort of help us when we think about going forward, is there any sort of particularly sort of bad sort of, I don't know, marks in the quarter that should bounce back, or is it a reasonable run rate?

[CEO] (Barclays): As we have clarity on it, we will share it with you.

C. S. Venkatakrishnan: As we have clarity on it, we will share it with you.

[CFO] (Barclays): Thank you, Jonathan. Can we have the next question, please?

Anna Cross: Thank you, Jonathan. Can we have the next question, please?

Speaker #4: Thank you, Jonathan. Can we have the next question, please?

Operator: Our next question comes from Alvaro Serrano of Morgan Stanley. Your line is now open. Please go ahead.

Operator: Our next question comes from Alvaro Serrano of Morgan Stanley. Your line is now open. Please go ahead.

Speaker #3: Our next question comes from Alvaro Serrano of Morgan Stanley. Your line is now open. Please go ahead.

Speaker #5: Obviously, considering seasonality from here, maybe a bit of colour in that sort of in particular fig number, but maybe broader IB activity. And related to that, Anna, you mentioned that you were I can't remember the word you used, but you were leaning a bit more with clients and increasing the RWAs to take over, take advantage of opportunities.

Alvaro Serrano: Thanks for taking my questions. My first one is on the investment bank. Obviously, FICC you have called out, I think, Venkat, I think you somewhat disappointing, I think is the word you used. You have also explained that the intermediation activity was slower in the H2 of the quarter. Is there something you could sort of help us when we think about going forward. Is there any particularly bad, I don't know, marks in the quarter that should bounce back. Or is it a reasonable run rate, obviously, considering seasonality from here is maybe a bit of color in that, in particular FICC number, but maybe broader IB activity. Related to that, Anna, you mentioned that you were I cannot remember the word you used, but that you were leaning a bit more in with clients and increasing the RWAs to take advantage of opportunities.

Alvaro Serrano: Thanks for taking my questions. My first one is on the investment bank. Obviously, FICC you have called out, I think, Venkat, I think you somewhat disappointing, I think is the word you used. You have also explained that the intermediation activity was slower in the H2 of the quarter. Is there something you could sort of help us when we think about going forward. Is there any particularly bad, I don't know, marks in the quarter that should bounce back. Or is it a reasonable run rate, obviously, considering seasonality from here is maybe a bit of color in that, in particular FICC number, but maybe broader IB activity. Related to that, Anna, you mentioned that you were I cannot remember the word you used, but that you were leaning a bit more in with clients and increasing the RWAs to take advantage of opportunities.

Speaker #5: Thanks for taking my questions. First one is on the investment bank. Obviously, Vic, you've called out—I think, Venkat, you said it was somewhat disappointing, I think that's the word you used.

Speaker #5: And you've also explained that the intermediation sort of activity was slow in the second half of the quarter. Is there something you could sort of help us when we think about going forward, is there any sort of particularly sort of bad sort of, I don't know, marks in the quarter that should bounce back or is it a reasonable run rate?

Speaker #5: Is that going forward, would you be more open to give the division a bit more balance sheet and RWA growth? Thank you.

Speaker #1: Yeah. Hey, Alvaro, thank you. Look, there's nothing particular to call out. I think this was one of those quarters where in parts of fixed income, in rates, European rates particularly, and parts of credit, the intermediation was just a little weaker we still think we've got a very good strong client franchise.

Speaker #5: Obviously, considering seasonality from here, maybe a bit of colour in that sort of in particular fig number, but maybe broader IB activity. And related to that, Anna, you mentioned that you were I can't remember the word you used, but you were leaning a bit more with clients and increasing the RWAs to take over, take advantage of opportunities.

Speaker #1: We see that in the engagement and the numbers. It was just one of those things where it was just sort of weaker for a period.

Alvaro Serrano: Is that going forward, would you be more open to give the division a bit more balance sheet and RWA growth. Thank you.

Alvaro Serrano: Is that going forward, would you be more open to give the division a bit more balance sheet and RWA growth. Thank you.

Speaker #5: Is that, going forward, would you be more open to giving the division a bit more balance sheet and RWA growth? Thank you.

Speaker #1: So nothing particular to call out. I mean, of course, we are giving this attention to try to understand what how to improve it. I would say also there are other parts of fixed income like securitised products in which we've been investing a lot, which have done very well.

[CEO] (Barclays): Yeah. Hey, Alvaro. Thank you. Look, there is nothing particular to call out. I think this was one of those quarters where in parts of fixed income, in rates, European rates particularly, and parts of credit, the intermediation was just a little weaker. We still think we have got a very good, strong client franchise. We see that in the engagement and the numbers. It was just one of those things where it was just sort of weaker for a period. So nothing particular to call out. Of course, we are giving this attention to try to understand how to improve it. I would say also there are other parts of fixed income like securitized products, in which we have been investing a lot, which have done very well. So this is not a general fixed income story. It is parts of it. Our franchise continues to be strong, and we will do better. Anna?

C. S. Venkatakrishnan: Yeah. Hey, Alvaro. Thank you. Look, there is nothing particular to call out. I think this was one of those quarters where in parts of fixed income, in rates, European rates particularly, and parts of credit, the intermediation was just a little weaker. We still think we have got a very good, strong client franchise. We see that in the engagement and the numbers. It was just one of those things where it was just sort of weaker for a period. So nothing particular to call out.

Speaker #1: Yeah. Hey, Alvaro, thank you. Look, there's nothing particular to call out. I think this was one of those quarters where in parts of fixed income, in rates, European rates particularly, and parts of credit, the intermediation was just a little weaker we still think we've got a very good strong client franchise.

Speaker #1: So this is not a general fixed income story. It's parts of it. Our franchise continues to be strong. And we'll do better. Anna?

Speaker #4: Yeah, let me just add to that before I go into RWAs. So I completely agree with Venkat. The things I would add is what we're really pleased with, Alvaro, is the areas that we've been investing in have done really well.

Speaker #1: We see that in the engagement and the numbers. It was just one of those things where it was sort of weaker for a period.

Speaker #1: So nothing particular to call out. I mean, of course, we are giving this attention to try to understand what how to improve it. I would say also there are other parts of fixed income like securitised products in which we've been investing a lot, which have done very well.

Speaker #4: So if you look at our performance in equities, if you look at our performance in M&A, if you look at our performance in ECM, they have benched very well with the US peer group.

C. S. Venkatakrishnan: Of course, we are giving this attention to try to understand how to improve it. I would say also there are other parts of fixed income like securitized products, in which we have been investing a lot, which have done very well. So this is not a general fixed income story. It is parts of it. Our franchise continues to be strong, and we will do better. Anna?

Speaker #4: And that would not always have been the case and it's really reflective of the investments that we've made. And I think that diversification of income, particularly as we look forward into the fourth quarter, is important.

Speaker #1: So, this is not a general fixed income story; it's parts of it. Our franchise continues to be strong, and we'll do better. Anna?

[CFO] (Barclays): Yeah. Let me just add to that before I go into RWAs. So I completely agree with Venkat. The things I would add is what we are really pleased with, Alvaro, is the areas that we have been investing in have done really well. So if you look at our performance in equities, if you look at our performance in M&A, if you look at our performance in ECM, they have benched very well with the US peer group, and that would not always have been the case. It is really reflective of the investments that we have made. I think that diversification of income, particularly as we look forward into the Q4, is important. As for leaning in on clients, the RWAs and the investment bank have been broadly flat since 2022. Actually, well before the plan that we are about to complete started even.

Anna Cross: Yeah. Let me just add to that before I go into RWAs. So I completely agree with Venkat. The things I would add is what we are really pleased with, Alvaro, is the areas that we have been investing in have done really well. So if you look at our performance in equities, if you look at our performance in M&A, if you look at our performance in ECM, they have benched very well with the US peer group, and that would not always have been the case. It is really reflective of the investments that we have made. I think that diversification of income, particularly as we look forward into the Q4, is important. As for leaning in on clients, the RWAs and the investment bank have been broadly flat since 2022. Actually, well before the plan that we are about to complete started even.

Speaker #4: Yeah, let me just add to that before I go into RWAs. So I completely agree with Venkat. The things I would add are, what we're really pleased with, Alvaro, is the areas that we've been investing in have done really well.

Speaker #4: As we're leaning in on clients, I mean, the RWAs and the investment bank have been broadly flat since 2022. Actually, well before the plan that we're about to complete started even.

Speaker #4: So, if you look at our performance in equities, if you look at our performance in M&A, if you look at our performance in ECM, they have benchmarked very well with the US peer group.

Speaker #4: And they've moved between about 195 and about 205. The thing that we've called out that's perhaps a little bit different is we are nearing the end of the three-year review of our investment banking loan portfolio.

Speaker #4: And that would not always have been the case and it's really reflective of the investments that we've made. And I think that diversification of income, particularly as we look forward into the fourth quarter, is important.

Speaker #4: So you are seeing us lean in a little bit more there in terms of UK lending. And whilst outside of our target, that's completely consistent with our view of the UK.

Speaker #4: As for leaning in on clients, I mean the RWAs and the investment bank have been broadly flat since 2022—actually, well before the plan that we're about to complete started, even.

Speaker #4: So that's the only thing I would specifically call out, Alvaro. But thank you for the question.

Speaker #1: Yeah. And Alvaro, if I may just sort of pick up where Anna left off, when you look now, we're 11 quarters into this three-year plan, and you look at the investment bank, it has delivered exactly what we wanted it to deliver, outperforming in some respects.

[CFO] (Barclays): They have moved between about 195 and about 205. The thing that we called out that is perhaps a little bit different is we are nearing the end of the three-year review of our investment banking loan portfolio. So you are seeing us lean in a little bit more there in terms of UK lending. Whilst outside of our target, that is completely consistent with our view of the UK. That is the only thing I would specifically call out, Alvaro, but thank you for the question.

Anna Cross: They have moved between about 195 and about 205. The thing that we called out that is perhaps a little bit different is we are nearing the end of the three-year review of our investment banking loan portfolio. So you are seeing us lean in a little bit more there in terms of UK lending. Whilst outside of our target, that is completely consistent with our view of the UK. That is the only thing I would specifically call out, Alvaro, but thank you for the question.

Speaker #4: And they've moved between about 195 and about 205. The thing that we've called out that's perhaps a little bit different is that we are nearing the end of the three-year review of our investment banking loan portfolio.

Speaker #1: And it puts us in a very good position. I mean, go back 11 quarters, we said we'd do three things. We said we'd increase the revenues and the investment bank.

Speaker #4: So you are seeing us lean in a little bit more there, in terms of UK lending. And whilst outside of our target, that's completely consistent with our view of the UK.

Speaker #1: We'd keep capital flat, which Anna has just said we've done for five years. And we'd improve all three. And here we are, profitability is approaching group levels at ROTE.

Speaker #4: So that's the only thing I would specifically call out as our own. But thank you for the question.

[CEO] (Barclays): Yeah. Alvaro, if I may just to pick up where Anna left off. When you look now, we are 11 quarters into this three-year plan, and you look at the investment bank, it has delivered exactly what we wanted it to deliver, outperforming in some respects, and puts us in a very good position. Go back 11 quarters, we said we would do three things. We said we would increase the revenues in the investment bank, we would keep capital flat, which Anna has just said we have done for five years, and we would improve profitability. Nobody thought we could do all three. Here we are. Profitability is approaching group levels at RoTE. Revenues have gone up.

C. S. Venkatakrishnan: Yeah. Alvaro, if I may just to pick up where Anna left off. When you look now, we are 11 quarters into this three-year plan, and you look at the investment bank, it has delivered exactly what we wanted it to deliver, outperforming in some respects, and puts us in a very good position. Go back 11 quarters, we said we would do three things. We said we would increase the revenues in the investment bank, we would keep capital flat, which Anna has just said we have done for five years, and we would improve profitability. Nobody thought we could do all three. Here we are. Profitability is approaching group levels at RoTE. Revenues have gone up.

Speaker #1: Yeah. And Alvaro, if I may, just to pick up where Anna left off—when you look now, we're 11 quarters into this three-year plan, and you look at the investment bank, it has delivered exactly what we wanted it to deliver, outperforming in some respects.

Speaker #1: Revenues have gone up. The areas in which we've invested in, as Anna has said, equity capital market, M&A, and equities generally, and financing, the structural improvements in stable revenue streams and in financing, return per unit RWA, all of that has worked.

Speaker #1: And it puts us in a very good position. I mean, going back 11 quarters, we said we'd do three things: We said we'd increase revenues in the investment bank, we'd keep capital flat—which Anna has just said we've done for five years.

Speaker #1: And we've continued to maintain our ranks in spite of others investing more. And the overall thing about RWAs or capital in the investment bank is we've always said it's a proportional game.

Speaker #1: And we'd improve profitability. And nobody thought we could do all three. And here we are—profitability is approaching group levels at ROTE. Revenues have gone up.

Speaker #1: Right? And that proportion is, in fact, in part by what we do in the IB and part by what happens elsewhere. But in the IB, we stuck to our guns.

[CEO] (Barclays): The areas in which we have invested in, as Anna has said, equity capital markets, M&A, and equities generally and financing, the structural improvements in stable revenue streams and in financing, return per unit RWA, all of that has worked. We have continued to maintain our ranks in spite of others investing more. The overall thing about RWAs or capital in the investment bank, as we have always said, it is a proportional game, right? That proportion is affected in part by what we do in the IB and part by what happens elsewhere. But in the IB, we have stuck to our guns, GBP 200 billion of RWAs has been the average over five years, and the variation has been minimal, GBP 5 billion this way or that way. So this is playing out as advertised, as desired, and it puts us in a good spot continuing forward.

C. S. Venkatakrishnan: The areas in which we have invested in, as Anna has said, equity capital markets, M&A, and equities generally and financing, the structural improvements in stable revenue streams and in financing, return per unit RWA, all of that has worked. We have continued to maintain our ranks in spite of others investing more. The overall thing about RWAs or capital in the investment bank, as we have always said, it is a proportional game, right? That proportion is affected in part by what we do in the IB and part by what happens elsewhere. But in the IB, we have stuck to our guns, GBP 200 billion of RWAs has been the average over five years, and the variation has been minimal, GBP 5 billion this way or that way. So this is playing out as advertised, as desired, and it puts us in a good spot continuing forward.

Speaker #1: The areas in which we've invested in, as Anna has said—equity capital markets, M&A, equities generally, and financing—the structural improvements in stable revenue streams and in financing, return per unit RWA, all of that has worked.

Speaker #1: 200 billion pounds of RWAs has been the average over five years, and the variation has been minimal. 5 billion this way or that way.

Speaker #1: So this is playing out as advertised, as desired. And it puts us in a good spot continuing forward.

Speaker #1: And we've continued to maintain our ranks, in spite of others investing more. The overall thing about RWAs or capital in the investment bank is we've always said it's a proportional game.

Speaker #4: Next question, please. Thank you, Alvaro.

Speaker #5: Our next question comes from Chris Cant of Autonomous. Your line's now open. Please go ahead.

Speaker #1: Right? And that proportion is, in fact, in part due to what we do in the IB and in part due to what happens elsewhere. But in the IB, we stuck to our guns.

Speaker #6: Good morning. Thanks for taking the question. I just wanted to come back on capital please, appreciating that the greater than 15 billion capital return guidance you gave for year 26 was open-ended.

Speaker #1: 200 billion pounds of RWAs has been the average over five years, and the variation has been minimal, 5 billion this way or that way.

Speaker #6: But I do think that was an area that somewhat disappointed the market in terms of the relative level of ambition on capital return versus the plan for 24 to 26.

Speaker #1: So, this is playing out as advertised, as desired, and it puts us in a good spot moving forward.

[CFO] (Barclays): Next question, please. Thank you, Alvaro.

Anna Cross: Next question, please. Thank you, Alvaro.

Speaker #4: Next question, please. Thank you, Alvaro.

Speaker #6: Given that you've been able to accelerate your investment plans because of the revenue surprises this year. So you're getting done what you hoped to get done but more rapidly.

Operator: Our next question comes from Chris Cant of Autonomous. Your line's now open, please go ahead.

Operator: Our next question comes from Chris Cant of Autonomous. Your line's now open, please go ahead.

Speaker #5: Next question comes from Chris Kant of Autonomous. Your line is now open. Please go ahead.

Chris Cant: Good morning. Thanks for taking the question. I just wanted to come back on capital, please. Appreciating that the greater than GBP 15 billion capital return guidance you gave at full year 2026 was open-ended. But I do think that was an area that somewhat disappointed the market in terms of the relative level of ambition on capital return versus the plan for 2024 to 2026. Given that you've been able to accelerate your investment plans because of the revenue surprises this year, so you're getting done what you hope to get done, but more rapidly. And given that you've now got confirmation on Pillar 2, which I think was foreseeable in terms of quantum, but it's not something you had banked in the plan. Now you can bank that. Will you consider revisiting that greater than GBP 15 billion capital return aspiration?

Chris Cant: Good morning. Thanks for taking the question. I just wanted to come back on capital, please. Appreciating that the greater than GBP 15 billion capital return guidance you gave at full year 2026 was open-ended. But I do think that was an area that somewhat disappointed the market in terms of the relative level of ambition on capital return versus the plan for 2024 to 2026. Given that you've been able to accelerate your investment plans because of the revenue surprises this year, so you're getting done what you hope to get done, but more rapidly. And given that you've now got confirmation on Pillar 2, which I think was foreseeable in terms of quantum, but it's not something you had banked in the plan. Now you can bank that. Will you consider revisiting that greater than GBP 15 billion capital return aspiration?

Speaker #6: Good morning. Thanks for taking the question. I just wanted to come back on capital, please, appreciating that the greater than $15 billion capital return guidance you gave for year 2026 was open-ended.

Speaker #6: And given that you've now got confirmation on pillar two, which I think was foreseeable in terms of quantum but it's not something you had banked in the plan.

Speaker #6: But I do think that was an area that somewhat disappointed the market, in terms of the relative level of ambition on capital return versus the plan for '24 to '26.

Speaker #6: Now you can bank that. Will you consider revisiting that greater than 15 billion capital return aspiration? Because I think the reason you left it open-ended was you wanted to leave slack in the plan for either potential M&A or potential accelerations in your investment plans.

Speaker #6: Given that you've been able to accelerate your investment plans because of the revenue surprises this year, you're getting done what you hoped to get done, but more rapidly.

Speaker #6: But in terms of M&A, given performance of the shares year to date, your acquisition currencies may be a bit softer than you would like.

Speaker #6: And given that you've now got confirmation on pillar two—which I think was foreseeable in terms of quantum, but it's not something you had banked in the plan.

Speaker #6: I would assume. And in terms of the investment, you've already been able to accelerate that. So is that something you'll consider revisiting alongside reconsidering the 13 to 14 range?

Speaker #6: Now you can bank that. Will you consider revisiting that greater-than-$15 billion capital return aspiration? Because I think the reason you left it open-ended was you wanted to leave slack in the plan for either potential M&A or potential accelerations in your investment plans.

Speaker #6: Thank you.

Chris Cant: Because I think the reason you left it open-ended, was you wanted to leave slack in the plan for either potential M&A or potential accelerations in your investment plans. But in terms of M&A, given performance of the shares year to date, your acquisition currencies may be a bit softer than you would like, I would assume. And in terms of the investment, you've already been able to accelerate that. So is that something you'll consider revisiting alongside reconsidering the 13% to 14% range? Thank you.

Chris Cant: Because I think the reason you left it open-ended, was you wanted to leave slack in the plan for either potential M&A or potential accelerations in your investment plans. But in terms of M&A, given performance of the shares year to date, your acquisition currencies may be a bit softer than you would like, I would assume. And in terms of the investment, you've already been able to accelerate that. So is that something you'll consider revisiting alongside reconsidering the 13% to 14% range? Thank you.

Speaker #4: So thanks, Chris, for the question. So let me just recap on what we said at full year 25. The first was that we were planning at the top end of our range.

Speaker #6: But in terms of M&A, given performance of the shares year to date, your acquisition currencies may be a bit softer than you would like.

Speaker #4: Because we had clarity on pillar one, but we didn't have clarity on pillar two. And other regulatory changes like, for example, IRB. We are clearly in a different position now.

Speaker #6: I would assume. And in terms of the investment, you've already been able to accelerate that. So is that something you'll consider revisiting, alongside reconsidering the 13 to 14 range?

Speaker #4: So we do have that pillar two clarity. We're very keen to get through Basel 3.1 implementation at the end of the year, before we give further consideration to this point with you.

Speaker #6: Thank you.

[CFO] (Barclays): Thanks, Chris for the question. Let me just recap on what we said at full year 2025. The first was that we were planning at the top end of our range because we had clarity on Pillar 1, but we didn't have clarity on Pillar 2, and other regulatory changes like, for example, IRB. We are clearly in a different position now. So we do have that Pillar 2 clarity. We're very keen to get through Basel 3.1 implementation at the end of the year before we give further consideration to this point with you. The second thing that we called out was that we were very clear that if you took the capital generation in the plan and the investments and the distributions in the plan, the capital generation was clearly bigger than the other two.

Speaker #4: So, thanks, Chris, for the question. Let me just recap what we said at full year '25. The first was that we were planning at the top end of our range.

Anna Cross: Thanks, Chris for the question. Let me just recap on what we said at full year 2025. The first was that we were planning at the top end of our range because we had clarity on Pillar 1, but we didn't have clarity on Pillar 2, and other regulatory changes like, for example, IRB. We are clearly in a different position now. So we do have that Pillar 2 clarity. We're very keen to get through Basel 3.1 implementation at the end of the year before we give further consideration to this point with you. The second thing that we called out was that we were very clear that if you took the capital generation in the plan and the investments and the distributions in the plan, the capital generation was clearly bigger than the other two.

Speaker #4: The second thing that we called out was that we were very clear that if you took the capital generation in the plan and the investments and the distributions in the plan, the capital generation was clearly bigger than the other two.

Speaker #4: Because we had clarity on pillar one, but we didn't have clarity on pillar two. And other regulatory changes, like, for example, IRB. We are clearly in a different position now.

Speaker #4: And we said very deliberately that that gave us flex in order to either return that excess to shareholders or alternatively invest it in the business, but that was a very, very high bar.

Speaker #4: So we do have that Pillar Two clarity. We're very keen to get through Basel 3.1 implementation at the end of the year before we give further consideration to this point with you.

Speaker #4: Those that remains exactly the same. And our capital hierarchy is very clear. Starts with regulatory. Follows with shareholder distributions. Thirdly, investment in the business.

Speaker #4: The second thing that we called out was that we were very clear that, if you took the capital generation in the plan and the investments and the distributions in the plan, the capital generation was clearly bigger than the other two.

Speaker #4: So all of that remains as was. The only new piece here is the pillar two A. So we will come back at the year end, Chris, and we will talk about the range within which we operate.

Speaker #4: And you can see the focus that we have on returning capital to shareholders through the actions that we have taken in distributions in this plan alone, but specifically in this year.

[CFO] (Barclays): And we said very deliberately that that gave us flex in order to either return that excess to shareholders or alternatively invest it in the business, but that was a very, very high bar. That remains exactly the same, and our capital hierarchy is very clear. Starts with regulatory, follows with shareholder distributions, thirdly, investment in the business. So all of that remains as was. The only new piece here is the Pillar 2A. So we will come back at the year-end, Chris, and we will talk about the range within which we operate. And you can see the focus that we have on returning capital to shareholders through the actions that we have taken in distributions in this plan alone, but specifically in this year.

Anna Cross: And we said very deliberately that that gave us flex in order to either return that excess to shareholders or alternatively invest it in the business, but that was a very, very high bar. That remains exactly the same, and our capital hierarchy is very clear. Starts with regulatory, follows with shareholder distributions, thirdly, investment in the business. So all of that remains as was. The only new piece here is the Pillar 2A. So we will come back at the year-end, Chris, and we will talk about the range within which we operate. And you can see the focus that we have on returning capital to shareholders through the actions that we have taken in distributions in this plan alone, but specifically in this year.

Speaker #4: And we said very deliberately that that gave us flex in order to either return that excess to shareholders or alternatively invest it in the business, but that was a very, very high bar.

Speaker #4: Those remain exactly the same. Our capital hierarchy is very clear: it starts with regulatory, followed by shareholder distributions, and thirdly, investment in the business.

Speaker #4: I mean, we're at 10.7 now, including the planned dividend that we have the full year and that's before we've done a full year buyback.

Speaker #4: So I'm not going to be pressed for an answer now, but we are clearly considering these matters and we will come back to you.

Speaker #4: So, all of that remains as it was. The only new piece here is the pillar 2A. So, we will come back at the year end, Chris, and we will talk about the range within which we operate.

Speaker #4: Thank you. Next question, please.

Speaker #4: And you can see the focus that we have on returning capital to shareholders through the actions that we have taken in distributions in this plan alone, but specifically in this year.

Speaker #5: Our next question comes from Guy Stebbings of BNP Paribas. Your line's now open. Please go ahead.

Speaker #6: Hi, morning. I want to come back on capital and cost, please. On capital, just in terms of the pillar two A goals, it's clearly very specific to the start of next year, whereas the RWA range is still a little bit wide.

[CFO] (Barclays): We're at 10.7 now, including the planned dividend that we have for the full year, and that's before we've done a full year buyback. So I'm not going to be pressed for an answer now, but we are clearly considering these matters and we will come back to you. Thank you. Next question, please.

Anna Cross: We're at 10.7 now, including the planned dividend that we have for the full year, and that's before we've done a full year buyback. So I'm not going to be pressed for an answer now, but we are clearly considering these matters and we will come back to you. Thank you. Next question, please.

Speaker #4: I mean, we're at 10.7 now, including the planned dividend that we have for the full year, and that's before we've done a full-year buyback.

Speaker #6: So I just wonder if you could maybe narrow that range at all or whether the fact that the pillar two A benefit is coming in a bit better than most of us anticipated, whether that implies the RWA headwinds might be a little bit towards the upper end of that range at all.

Speaker #4: So I'm not going to be pressed for an answer now, but we are clearly considering these matters and we will come back to you.

Speaker #4: Thank you. Next question, please.

Speaker #6: And then on the cost, thanks for all the new disclosure and guidance. I also want to come back on the 2028 costs I mean, before Q2 and the extra structural cost actions consents have been assuming of 28 cost numbers sub 18.4 billion, if we use slide 9 in terms of the sort of building blocks, I'm just trying to understand whether it's sort of realistic to assume that efficiencies can more than offset the business growth and investments from the 18.4 billion we start from in 27, if you like.

Operator: Our next question comes from Guy Stebbings of BNP Paribas. Your line is now open. Please go ahead.

Operator: Our next question comes from Guy Stebbings of BNP Paribas. Your line is now open. Please go ahead.

Speaker #5: Next question comes from Guy Stebbings of BNP Paribas. Your line is now open. Please go ahead.

Guy Stebbings: Hi. Morning. I want to come back on capital and cost, please. On capital, just in terms of the Pillar 2A guidance, it's clearly very specific to the start of next year, whereas the RWA range is still a little bit wide. So I just wonder if you could maybe narrow that range at all, or whether the fact that the Pillar 2A benefit is coming in a bit better than most of us anticipated, whether that implies the RWA headwinds might be a little bit towards the upper end of that range at all. And then on the costs, thanks for all the new disclosure and guidance. I also want to come back on the 2028 costs. Before Q2 and the extra structural cost actions, consensus had been assuming a 2028 cost number sub GBP 18.4 billion.

Guy Stebbings: Hi. Morning. I want to come back on capital and cost, please. On capital, just in terms of the Pillar 2A guidance, it's clearly very specific to the start of next year, whereas the RWA range is still a little bit wide. So I just wonder if you could maybe narrow that range at all, or whether the fact that the Pillar 2A benefit is coming in a bit better than most of us anticipated, whether that implies the RWA headwinds might be a little bit towards the upper end of that range at all. And then on the costs, thanks for all the new disclosure and guidance. I also want to come back on the 2028 costs. Before Q2 and the extra structural cost actions, consensus had been assuming a 2028 cost number sub GBP 18.4 billion.

Speaker #6: Hi, morning. I want to come back on capital and cost, please. On capital, just in terms of the pillar 2A goals, it's clearly very specific to the start of next year, whereas the RWA range is still a little bit wide.

Speaker #6: So I just wonder if you could maybe narrow that range at all, or whether the fact that the Pillar 2A benefit is coming in a bit better than most of us anticipated would imply that the RWA headwinds might be a little bit towards the upper end of that range at all?

Speaker #6: Thank you.

Speaker #4: Thank you, Guy. I'll take the first one. I'll start on the second one and then invite Venkat to add. So we've given you a pillar one range, if you like, an RWA range.

Speaker #6: And then on the cost, thanks for all the new disclosure and guidance. I also want to come back on the 2028 costs. I mean, before Q2 and the extra structural cost actions, consensus had been assuming a 2028 cost number sub £18.4 billion. If we use slide 9 in terms of the sort of building blocks, I'm just trying to understand whether it's sort of realistic to assume that efficiencies can more than offset the business growth and investments from the £18.4 billion we start from in 2027, if you like.

Speaker #4: Just because reflecting on what I said before, Basel 3.1 is a big and complex change. And that range reflects the degree of mitigation that we will be able to implement as we go through that transition.

Guy Stebbings: If we use slide 9 in terms of the building blocks, I am just trying to understand whether it is realistic to assume that efficiencies can more than offset the business growth and investments from the GBP 18.4 billion we start from in 2027, if you like. Thank you.

Guy Stebbings: If we use slide 9 in terms of the building blocks, I am just trying to understand whether it is realistic to assume that efficiencies can more than offset the business growth and investments from the GBP 18.4 billion we start from in 2027, if you like. Thank you.

Speaker #4: It doesn't relate to any specific FRTB point or anything. It's more broadly an implementation range, given its complexity. So we are being cautious at this stage.

Speaker #6: Thank you.

[CFO] (Barclays): Thank you, Guy. I will take the first one, and I will start on the second one and then invite Venkat to add. So we have given you a Pillar 1 range, if you like, an RWA range, just because reflecting on what I said before, Basel 3.1 is a big and complex change. That range reflects the degree of mitigation that we will be able to implement as we go through that transition. It does not relate to any specific FRTB point or anything. It is more broadly an implementation range given its complexity. So we are being cautious at this stage. That is why we are saying we will speak to you at the full year. So I would not narrow that range for you at this point. On your second point, recognizing 2028 costs, but also recognizing that consensus for 2028 is very wide.

Anna Cross: Thank you, Guy. I will take the first one, and I will start on the second one and then invite Venkat to add. So we have given you a Pillar 1 range, if you like, an RWA range, just because reflecting on what I said before, Basel 3.1 is a big and complex change. That range reflects the degree of mitigation that we will be able to implement as we go through that transition. It does not relate to any specific FRTB point or anything. It is more broadly an implementation range given its complexity. So we are being cautious at this stage. That is why we are saying we will speak to you at the full year. So I would not narrow that range for you at this point. On your second point, recognizing 2028 costs, but also recognizing that consensus for 2028 is very wide.

Speaker #4: Thank you, Guy. I'll take the first one. I'll start on the second one and then invite Venkat to add. So we've given you a pillar one range, if you like, an RWA range.

Speaker #4: That's why we're saying we will speak to you at the full year. So I wouldn't narrow that range for you at this point. On your second point, recognizing 2028 cost, but also recognizing that consensus for 2028 is very wide.

Speaker #4: Just reflecting on what I said before, Basel 3.1 is a big and complex change. That range reflects the degree of mitigation we will be able to implement as we go through that transition.

Speaker #4: And what we would reiterate here is we do expect modest cost growth. We do expect the cost income ratio in 2028 to be in the low 50s.

Speaker #4: It doesn't relate to any specific FRTB point or anything. It's more broadly an implementation range, given its complexity. So, we are being cautious at this stage.

Speaker #4: All of that remains intact. And what we're trying to help you here with is to understand that the way we are managing our costs is not by constraining investments, but by driving the operational efficiency of the bank in order to bring the run the bank costs down and create operating leverage.

Speaker #4: That's why we're saying we will speak to you at the full year. So, I wouldn't narrow that range for you at this point. On your second point, recognizing 2028 costs, but also recognizing that consensus for 2028 is very wide.

Speaker #4: So that is our focus. You should assume that that is going to continue into 2028. Venkat?

[CFO] (Barclays): What we would reiterate here is we do expect modest cost growth. We do expect the cost income ratio in 2028 to be in the low 50s. All of that remains intact. What we are trying to help you here with is to understand that the way we are managing our costs is not by constraining investments, but by driving the operational efficiency of the Bank in order to bring the run the Bank cost down and create operating leverage. So that is our focus. You should assume that that is going to continue into 2028. Venkat?

Speaker #4: And what we would reiterate here is that we do expect modest cost growth. We expect the cost-income ratio in 2028 to be in the low 50s.

Anna Cross: What we would reiterate here is we do expect modest cost growth. We do expect the cost income ratio in 2028 to be in the low 50s. All of that remains intact. What we are trying to help you here with is to understand that the way we are managing our costs is not by constraining investments, but by driving the operational efficiency of the Bank in order to bring the run the Bank cost down and create operating leverage. So that is our focus. You should assume that that is going to continue into 2028. Venkat?

Speaker #3: Yeah, absolutely. That is our focus. We think that the promise of technology and our implementation of the technology is being realized. We think more will be realized.

Speaker #4: All of that remains intact. What we're trying to help you understand here is that the way we are managing our costs is not by constraining investments, but by driving the operational efficiency of the bank in order to bring the 'run the bank' cost down and create operating leverage.

Speaker #3: And we are going to drive hard at that realization. So know that there is a great ambition and focus and discipline to bring to pass and cost efficiency what you have seen in other parts of this plan in the last three years, which is business growth, customer service, capital discipline, revenue growth.

Speaker #4: So that is our focus. You should assume that that is going to continue into 2028. Venkat?

[CEO] (Barclays): Yeah, absolutely. That is our focus. We think that the promise of technology and our implementation of the technology is being realized. We think more will be realized, and we are going to drive hard at that realization. So know that there is a great ambition and focus and discipline to bring to cost and cost efficiency what you have seen in other parts of this plan in the last three years, which is business growth, customer service, capital discipline, revenue growth.

C. S. Venkatakrishnan: Yeah, absolutely. That is our focus. We think that the promise of technology and our implementation of the technology is being realized. We think more will be realized, and we are going to drive hard at that realization. So know that there is a great ambition and focus and discipline to bring to cost and cost efficiency what you have seen in other parts of this plan in the last three years, which is business growth, customer service, capital discipline, revenue growth.

Speaker #2: Yeah, absolutely. That is our focus. We think that the promise of technology, and our implementation of the technology, is being realized. We think more will be realized.

Speaker #4: Okay. Thank you so much for that. Can we have the next question, please?

Speaker #5: Our next question comes from Rob Noble of Deutsche Bank. Your line's now open. Please go ahead.

Speaker #2: And we are going to drive hard at that realization. So know that there is a great ambition, focus, and discipline to bring to pass—and cost efficiency—what you have seen in other parts of this plan in the last three years, which is business growth, customer service, capital discipline, and revenue growth.

Speaker #6: Morning. Another one on capital I'm afraid. So just the opposite question. The USCB leading to IRB, I think you say there's only going to be a minimal pillar two A change there.

Speaker #6: Is that why is that one smaller than the offsetting benefit that you get from Basel? Or is that something that could come down over time as well?

Speaker #6: And then the leverage ratio, as well, should I expect the common equity tier one component of the leverage ratio to come down and could that potentially be binding you from going too low relative to 13%?

[CFO] (Barclays): Okay. Thank you so much for that. Can we have the next question, please?

Anna Cross: Okay. Thank you so much for that. Can we have the next question, please?

Speaker #4: Okay, thank you so much for that. Can we have the next question, please?

Operator: Our next question comes from Rob Noble of Deutsche Bank. Your line is now open. Please go ahead.

Operator: Our next question comes from Rob Noble of Deutsche Bank. Your line is now open. Please go ahead.

Speaker #5: Next question comes from Rob Noble of Deutsche Bank. Your line is now open. Please go ahead.

Speaker #6: And then lastly, just on the outlook with rates at the moment, could you give us any color on what you think the rate curve will do to the UK business specifically?

Rob Noble: Morning. Another one on capital, I am afraid. So, just the opposite question. The USCB moving to IRB, I think you say there is only going to be a minimal Pillar 2A change there. Why is that one smaller than the offsetting benefit that you get from Basel? Is that something that could come down over time as well? The leverage ratio as well. Should I expect the common equity Tier 1 component of the leverage ratio to come down? Could that potentially be binding you from going too low relative to 13%? Lastly, just on the outlook with rates at the moment, can you give us any color on what you think the rate curve will do to the UK business specifically? I presume we shouldn't just reprice our hedges to higher rates.

Rob Noble: Morning. Another one on capital, I am afraid. So, just the opposite question. The USCB moving to IRB, I think you say there is only going to be a minimal Pillar 2A change there. Why is that one smaller than the offsetting benefit that you get from Basel? Is that something that could come down over time as well? The leverage ratio as well. Should I expect the common equity Tier 1 component of the leverage ratio to come down? Could that potentially be binding you from going too low relative to 13%? Lastly, just on the outlook with rates at the moment, can you give us any color on what you think the rate curve will do to the UK business specifically? I presume we shouldn't just reprice our hedges to higher rates.

Speaker #6: Morning. Another one on capital I'm afraid. So just the opposite question. The USCB moving to IRB, I think you say there's only going to be a minimal pillar 2A change there.

Speaker #6: So I presume we shouldn't just reprice our hedges to higher rates. What do you think are the main potential offsets within the UK business from a higher rate environment?

Speaker #6: Is that why that one is smaller than the offsetting benefit you get from Basel? Or is that something that could come down over time as well?

Speaker #4: Okay. Thanks. Thanks, Rob. Look, in terms of capital and pillar two A with IRB, you might recall that in I want to say Q1 2025, the increase associated with this was about 0.1 of CT of NDA.

Speaker #6: And then the leverage ratio as well—should I expect the Common Equity Tier 1 component of the leverage ratio to come down, and could that potentially be binding you from going too low relative to 13%?

Speaker #6: And then, lastly, just on the outlook with rates at the moment, can you give us any color on what you think the rate curve will do to the UK business specifically?

Speaker #6: So I presume we shouldn't just reprice our hedges to higher rates. What do you think are the main potential offsets within the UK business from a higher rate environment?

Speaker #4: So we do expect it to be more modest or modest. And the reason I say that is this is much more BAU. This is much more we're used to implementing these models It's not the kind of big, complex change that we see with Basel.

Rob Noble: What do you think are the main potential offsets within the UK business from a higher rate environment?

Rob Noble: What do you think are the main potential offsets within the UK business from a higher rate environment?

[CFO] (Barclays): Okay. Thanks. Thanks, Rob. Look, in terms of capital and Pillar 2A with IRB, you might recall that in, I want to say Q1 2025, the increase associated with this was about 0.1 of CET1 of MDA. We do expect it to be more modest or modest. The reason I say that is this is much more BAU. We are used to implementing these models. It is not the kind of big complex change that we see with Basel. I definitely wouldn't scale them to try and get another Pillar 2 meaningful Pillar 2 offset here. That is certainly not what we are expecting. We might see something modest. To be clear, we have got nothing in the plan. Hopefully that is clear. Just on the UK and the rates curve. Okay. I am going to answer your question by going in a different direction to start with.

Anna Cross: Okay. Thanks. Thanks, Rob. Look, in terms of capital and Pillar 2A with IRB, you might recall that in, I want to say Q1 2025, the increase associated with this was about 0.1 of CET1 of MDA. We do expect it to be more modest or modest. The reason I say that is this is much more BAU. We are used to implementing these models. It is not the kind of big complex change that we see with Basel. I definitely wouldn't scale them to try and get another Pillar 2 meaningful Pillar 2 offset here. That is certainly not what we are expecting. We might see something modest. To be clear, we have got nothing in the plan. Hopefully that is clear. Just on the UK and the rates curve. Okay. I am going to answer your question by going in a different direction to start with.

Speaker #4: Okay, thanks. Thanks, Rob. Look, in terms of capital and Pillar 2A with IRB, you might recall that in, I want to say, Q1 2025, the increase associated with this was about 0.1 of CAT of NDA.

Speaker #4: So I definitely wouldn't scale them to try and get another pillar two A meaningful pillar two offset here. That's certainly not what we're expecting.

Speaker #4: We might see something modest. To be clear, we've got nothing in the plan. So hopefully that's clear. So just on the UK and the rates curve.

Speaker #4: So we do expect it to be more modest, or modest. And the reason I say that is this is much more BAU. This is much more we're used to implementing these models. It's not the kind of big, complex change that we see with Basel.

Speaker #4: Okay. So I'm going to answer your question by going in a different direction to start with. So bear with me. I think the thing that is most prevalent in the market at the moment is obviously competition around deposits.

Speaker #4: So I definitely wouldn't scale them to try and get another Pillar 2A, a meaningful Pillar 2 offset here. That's certainly not what we're expecting. We might see something modest.

Speaker #4: And we think that that comes not from the structural hedge directly, but it's actually coming from the fact that there has been strong lending in the sector.

Speaker #4: To be clear, we've got nothing in the plan—so hopefully that's clear. Just on BUK and the rates curve, okay, I'm going to answer your question by going in a different direction to start with.

Speaker #4: You see paydown of TFSME, you also see some deposit takers who are not loan makers in this part of the sector. And what that's doing is putting a bit of funding pressure into this area.

Speaker #4: And that's manifesting in two ways. One is more covered bond issuance. And the second is intense competition around term deposits. So that's what we believe is happening.

[CFO] (Barclays): Bear with me. I think the thing that is most prevalent in the market at the moment is obviously competition around deposits. We think that that comes not from the structural hedge directly, but it is actually coming from the fact that there has been strong lending in the sector. You see pay down of TFSME. You also see some deposit takers who are not loan makers in this part of the sector. What that is doing is putting a bit of funding pressure into this area, and that is manifesting in two ways. One is more covered bond issuance, and the second is intense competition around term deposits. That is what we believe is happening. We would see that as being not transitory, given what I have just described. What does it mean for us?

Anna Cross: Bear with me. I think the thing that is most prevalent in the market at the moment is obviously competition around deposits. We think that that comes not from the structural hedge directly, but it is actually coming from the fact that there has been strong lending in the sector. You see pay down of TFSME. You also see some deposit takers who are not loan makers in this part of the sector. What that is doing is putting a bit of funding pressure into this area, and that is manifesting in two ways. One is more covered bond issuance, and the second is intense competition around term deposits. That is what we believe is happening. We would see that as being not transitory, given what I have just described. What does it mean for us?

Speaker #4: So bear with me. I think the thing that is most prevalent in the market at the moment is, obviously, competition around deposits. And we think that that comes not from the structural hedge directly, but it's actually coming from the fact that there has been strong lending in the sector.

Speaker #4: We would see that as being not transitory, given what I've just described. So what does it mean for us? Well, we're in a slightly different position because clearly what we are doing here is we have a different funding reality.

Speaker #4: You see paydown of TFSME. You also see some deposit takers who are not loan makers in this part of the sector, and what that's doing is putting a bit of funding pressure into this area.

Speaker #4: This business has a loans deposit ratio of 90%. It has an LCR last time we reported it of about 167. So it has really good liquidity levels.

Speaker #4: And that's manifesting in two ways. One is more covered bond issuance, and the second is intense competition around term deposits. So that's what we believe is happening.

Speaker #4: But we will lean in because we are we see the relationship and the ongoing relationship of deposits being really important here. But that means we can be more selective if you like, more disciplined.

Speaker #4: We would see that as being not transitory, given what I've just described. So, what does it mean for us? Well, we're in a slightly different position, because clearly what we are doing here is we have a different funding reality.

Speaker #4: And of course, from our perspective, we have a very, very powerful structural hedge. So what you are seeing at the moment is that we're able to balance these things in a few ways.

[CFO] (Barclays): Well, we are in a slightly different position because clearly what we are doing here is we have a different funding reality. This business has a loans to deposit ratio of 90%. It has an LCR last time we reported it of about 167. So it has really good liquidity levels. But we will lean in because we see the relationship and the ongoing relationship of deposits being really important here. But that means we can be more selective, if you like, more disciplined. Of course, from our perspective, we have a very, very powerful structural hedge. What you are seeing at the moment is that we are able to balance these things in a few ways. Firstly, our focus on deposits is not just on term deposits, it is actually more broadly across the relationship, and you can see that in the growth in our Premier current accounts.

Anna Cross: Well, we are in a slightly different position because clearly what we are doing here is we have a different funding reality. This business has a loans to deposit ratio of 90%. It has an LCR last time we reported it of about 167. So it has really good liquidity levels. But we will lean in because we see the relationship and the ongoing relationship of deposits being really important here. But that means we can be more selective, if you like, more disciplined. Of course, from our perspective, we have a very, very powerful structural hedge. What you are seeing at the moment is that we are able to balance these things in a few ways. Firstly, our focus on deposits is not just on term deposits, it is actually more broadly across the relationship, and you can see that in the growth in our Premier current accounts.

Speaker #4: This business has a loan-to-deposit ratio of 90%. Its LCR, last time we reported it, was about 167%. So it has really good liquidity levels.

Speaker #4: So firstly, our focus on deposit is not just on term deposits. It's actually more broadly across the relationship. And you can see that in the growth in our premier current accounts.

Speaker #4: But we will lean in because we are we see the relationship and the ongoing relationship of deposits being really important here. But that means we can be more selective if you like, more disciplined.

Speaker #4: That's really important. Secondly, as we approach the fixed term market, we're approaching it through the lender relationship. So about 90% of our growth year to date in ISIS is from premier.

Speaker #4: And of course, from our perspective, we have a very, very powerful structural hedge. So what you are seeing at the moment is that we're able to balance these things in a few ways.

Speaker #4: So we're being able to be very, very disciplined there. And also, that's allowing us to balance the margin impact, if you like, on the business as a whole.

Speaker #4: So, firstly, our focus on deposits is not just on term deposits. It's actually more broadly across the relationship, and you can see that in the growth in our Premier current accounts.

Speaker #4: And that's why you're seeing a broadly stable name. It's moving around a little bit, but we're being able to contain that point. So I wouldn't drop the upside in the structural hedge straight through to the bottom of your calculation.

[CFO] (Barclays): That is really important. Secondly, as we approach the fixed term market, we are approaching it through the lens of relationships. About 90% of our growth year to date in ISAs is from Premier. So we are being able to be very, very disciplined there. Also, that is allowing us to balance the margin impact, if you like, on the business as a whole. That is why you are seeing a broadly stable NIM. It is moving around a little bit, but we are being able to contain that point. I wouldn't drop the upside in the structural hedge straight through to the bottom of your calculation. There will be some offsets here, and it is coming from increased funding costs, which are prevalent across the industry. But for those banks who have more liquidity and who have that more powerful structural hedge, they will fare better in this environment. Okay.

Anna Cross: That is really important. Secondly, as we approach the fixed term market, we are approaching it through the lens of relationships. About 90% of our growth year to date in ISAs is from Premier. So we are being able to be very, very disciplined there. Also, that is allowing us to balance the margin impact, if you like, on the business as a whole. That is why you are seeing a broadly stable NIM. It is moving around a little bit, but we are being able to contain that point.

Speaker #4: That's really important. Secondly, as we approach the fixed-term market, we're approaching it through the lens of relationships. About 90% of our growth year to date in ISIS is from Premier.

Speaker #4: There will be some offsets here, and it's coming from increased funding costs. Which are prevalent across the industry. But for those banks who have more liquidity, and who have that more powerful structural hedge, they will fare better in this environment.

Speaker #4: So we're able to be very, very disciplined there, and that's also allowing us to balance the margin impact, if you like, on the business as a whole.

Speaker #4: Okay. Sorry. On the leverage ratio, I mean, no, not really. It's the easy answer to that question. Venkat's just reminding me before I go on to the next question.

Speaker #4: And that's why you're seeing a broadly stable name. It's moving around a little bit, but we're being able to contain that point. So I wouldn't drop the upside in the structural hedge straight through to the bottom of your calculation.

Anna Cross: I wouldn't drop the upside in the structural hedge straight through to the bottom of your calculation. There will be some offsets here, and it is coming from increased funding costs, which are prevalent across the industry. But for those banks who have more liquidity and who have that more powerful structural hedge, they will fare better in this environment. Okay. Sorry, on the leverage ratio. I mean, not really is the easy answer to that question. Venkat's just reminding me before I go on to the next question. Thank you, Rob. Can we have the next question, please?

Speaker #4: But thank you, Rob. Can we have the next question, please?

Speaker #4: There will be some offsets here, and it's coming from increased funding costs, which are prevalent across the industry. But for those banks who have more liquidity, and who have that more powerful structural hedge, they will fare better in this environment.

Speaker #6: Our next question comes from Perley Mong of Bank of America. Your line's now open. Please go ahead.

Speaker #7: Hello. Good morning. So just picking up a little bit more on the UK maybe. So thank you for the color you've given just now.

Speaker #7: But if I look at slide six, it does look like this continual mix shift between savings accounts and time deposits. And that's consistent with sector data we have seen.

Speaker #4: Okay, sorry. On the leverage ratio—I mean, no, not really—is the easy answer to that question. Bankat's just reminding me before I go on to the next question.

[CFO] (Barclays): Sorry, on the leverage ratio. I mean, not really is the easy answer to that question. Venkat's just reminding me before I go on to the next question. Thank you, Rob. Can we have the next question, please?

Speaker #7: And I think in the last few weeks and months, we have maybe seen more competitors coming in, more constantly and raising. And also NSNI maybe stepping up a little bit more as well.

Speaker #4: But thank you, Rob. Can we have the next question, please?

Speaker #7: So what are you seeing in terms of a front-end trend in terms of the deposit market? And I think you said that an increase in hedge in October.

Operator: Our next question comes from Perlie Mong of Bank of America. Your line is now open. Please go ahead.

Operator: Our next question comes from Perlie Mong of Bank of America. Your line is now open. Please go ahead.

Speaker #6: Our next question comes from Perley Mong of Bank of America. Your lines now open. Please go ahead.

Speaker #7: Would reduce this product margin next quarter. So what is the underlying product margin you're expecting excluding that effect? So that's number one. And second question is on the USCB.

Perlie Mong: Hello. Good morning. Just picking up a little bit more on the UK maybe. Thank you for the color you've given just now. If I look at Slide 6, it does look like there's continued mixed shift between savings accounts and time deposit, and that's consistent with sector data we have seen. I think in the last few weeks and months, we have maybe seen more competitors coming in, Morgan Stanley and Raisin, and also NS&I maybe stepping up a little bit more as well. What are you seeing in terms of the front end trends in terms of the deposit market? I think you said that an increase in hedge in October would reduce product margin next quarter. What is the underlying product margin you're expecting excluding that effect? That's number 1. My second question is on the USCB.

Perlie Mong: Hello. Good morning. Just picking up a little bit more on the UK maybe. Thank you for the color you've given just now. If I look at Slide 6, it does look like there's continued mixed shift between savings accounts and time deposit, and that's consistent with sector data we have seen. I think in the last few weeks and months, we have maybe seen more competitors coming in, Morgan Stanley and Raisin, and also NS&I maybe stepping up a little bit more as well. What are you seeing in terms of the front end trends in terms of the deposit market? I think you said that an increase in hedge in October would reduce product margin next quarter. What is the underlying product margin you're expecting excluding that effect? That's number 1. My second question is on the USCB.

Speaker #7: Hello. Good morning. So just picking up a little bit more on the UK maybe. So thank you for the color you've given just now.

Speaker #7: But if I look at slide 6, it does look like this continual mix shift between savings accounts and time deposits, and that's consistent with sector data we have seen.

Speaker #7: I think the higher benchmark rate is maybe a 20 million headwind in non-NII. I suppose even if we were to add it back, total income is still a little bit below where Q1 was.

Speaker #7: And I think in the last few weeks and months, we have maybe seen more competitors coming in, Morgan Stanley and Raisin, and also NSNI maybe stepping up a little bit more as well.

Speaker #7: And I think at the time you said that it was not it wouldn't be a bad guide to use Q1 as a guide for the rest of the year.

Speaker #7: So what are the moving parts there? And how should we think about that line going forward?

Speaker #7: So, what are you seeing in terms of the front-end trend in the deposit market? And I think you said that there was an increase in hedge in October.

Speaker #4: Okay. Perley, I'll take those. So what you see in Barclays UK is that clearly there is growth in term deposits, but current accounts are absolutely flat.

Speaker #7: Would that reduce this product margin next quarter? So, what is the underlying product margin you're expecting, excluding that effect? That's number one. And the second question is on the USCB.

Perlie Mong: I think the higher benchmark rate is maybe a GBP 20 million headwind in non-NII. I suppose even if we were to add it back, total income is still a little bit below where Q1 was, and I think at the time you said that it wouldn't be a bad guide to use Q1 as a guide for the rest of the year. What are the moving parts there, and how should we think about that line going forward?

Perlie Mong: I think the higher benchmark rate is maybe a GBP 20 million headwind in non-NII. I suppose even if we were to add it back, total income is still a little bit below where Q1 was, and I think at the time you said that it wouldn't be a bad guide to use Q1 as a guide for the rest of the year. What are the moving parts there, and how should we think about that line going forward?

Speaker #7: I think the higher benchmark rate is maybe a $20 million headwind in non-NII. I suppose even if we were to add it back, total income is still a little bit below where Q1 was.

Speaker #4: And have been for some considerable time. And actually, there's a slide in the back of the deck. It's in the appendix that you can have a look at there.

Speaker #7: And I think at the time you said that it was not—it wouldn't be a bad guide to use Q1 as a guide for the rest of the year.

Speaker #4: So I think what you're seeing is intense competition, as I said. But you're also in terms of fixed term deposit, but somewhat churn within fixed term deposits as opposed to migration.

Speaker #7: So, what are the moving parts there? And how should we think about that line going forward?

[CFO] (Barclays): Pearly, why don't I take those? So what you see in Barclays UK is that clearly there is growth in term deposits, but current accounts are absolutely flat and have been for some considerable time. Actually, there's a slide in the back of the deck. It's in the appendix that you can have a look at there. So I think what you're seeing is intense competition, as I said, but you're also in terms of fixed term deposits, but somewhat churn within fixed term deposits as opposed to migration out of current accounts. In terms of product margin, we're not guiding to NIM at all.

Speaker #4: Okay. Perley, why don't I take those? So what you see in Barclays UK is that clearly there is growth in term deposits, but current accounts are absolutely flat.

Anna Cross: Pearly, why don't I take those? So what you see in Barclays UK is that clearly there is growth in term deposits, but current accounts are absolutely flat and have been for some considerable time. Actually, there's a slide in the back of the deck. It's in the appendix that you can have a look at there. So I think what you're seeing is intense competition, as I said, but you're also in terms of fixed term deposits, but somewhat churn within fixed term deposits as opposed to migration out of current accounts. In terms of product margin, we're not guiding to NIM at all.

Speaker #4: Out of current accounts. In terms of product margin, we're not guiding to NIM. At all. And all we were calling out is that flight path or that chart is actually quite difficult to interpret because to the extent that we increase the size of the structural hedge, that means that that income is coming out of product margin and going into the structural hedge bucket.

Speaker #4: And have been for some considerable time. And actually, there's a slide at the back of the deck—it's in the appendix—that you can have a look at there.

Speaker #4: So I think what you're seeing is intense competition, as I said, but you're also, in terms of fixed-term deposit, seeing somewhat of churn within fixed-term deposits as opposed to migration.

Speaker #4: That's the only thing we're warning you about. Net nil impacts on margin. I would remind everybody, though, that particularly given the new disclosure that we've given you today, our deposit story is much broader than the UK.

Speaker #4: Out of current accounts, in terms of product margin, we're not guiding to NIM at all. All we were calling out is that the flight path, or that chart, is actually quite difficult to interpret because, to the extent that we increase the size of the structural hedge, that means that income is coming out of product margin and going into the structural hedge bucket.

Speaker #4: Particularly across the UK. And you can see that in the strength of our corporate deposits and equally, you can see there the stability that we have in the underlying operational accounts or current accounts, if you like.

[CFO] (Barclays): All we were calling out is that flight path or that chart is actually quite difficult to interpret because to the extent that we increase the size of the structural hedge, that means that that income is coming out of product margin and going into the structural hedge bucket. That's the only thing we're warning you about. Net nil impact on margin. I would remind everybody, though, that particularly given the new disclosure that we've given you today, our deposit story is much broader than the UK. Particularly across the UK, you can see that in the strength of our corporate deposits. Equally, you can see there the stability that we have in the underlying operational accounts or current accounts, if you like, within corporate. So very, very similar story there. An ongoing increase in deposits, but real stability in the comp.

Anna Cross: All we were calling out is that flight path or that chart is actually quite difficult to interpret because to the extent that we increase the size of the structural hedge, that means that that income is coming out of product margin and going into the structural hedge bucket. That's the only thing we're warning you about. Net nil impact on margin. I would remind everybody, though, that particularly given the new disclosure that we've given you today, our deposit story is much broader than the UK. Particularly across the UK, you can see that in the strength of our corporate deposits. Equally, you can see there the stability that we have in the underlying operational accounts or current accounts, if you like, within corporate. So very, very similar story there. An ongoing increase in deposits, but real stability in the comp.

Speaker #4: Within corporate. So very, very similar story there. An ongoing increase in deposits, but real stability in the core. Your second question, which is about the roughly 20 million headwind.

Speaker #4: That's the only thing we're warning you about—net nil impacts on margin. I would remind everybody, though, that particularly given the new disclosure we've provided today, our deposit story is much broader than the UK.

Speaker #4: I mean, what we said at the beginning of the year was we expected to build back by the end of the year to broadly the same sort of level as we saw in Q1.

Speaker #4: Particularly across the UK. You can see that in the strength of our corporate deposits, and equally, you can see the stability we have in the underlying operational accounts, or current accounts, if you like.

Speaker #4: The only difference that we are calling out is in relation to the sold prices on Best Egg. Everything else remains the same. So we've got good underlying organic growth in cards.

Speaker #4: Within Corporate, so a very, very similar story there—an ongoing increase in deposits, but real stability in the core. Your second question, which is about the roughly $20 million headwind...

Speaker #4: They're growing at about 6%, exactly the same as we're seeing in the UK, actually. Best Egg originations were 2 billion in the quarter. We said it would be 7 billion over the year.

[CFO] (Barclays): Your second question, which is about the roughly GBP 20 million headwind. I mean, what we said at the beginning of the year was we expected to build back by the end of the year to broadly the same sort of level as we saw in Q1. The only difference that we are calling out is in relation to the sold prices on Best Egg. Everything else remains the same. So we've got good underlying organic growth in cards. They're growing at about 6%, exactly the same as we're seeing in the UK, actually. Best Egg originations were $2 billion in the quarter. We said it would be $7 billion over the year. So all of that loan origination, the NIM is at 13.7%. Deposits are up by 15% year-on-year. So all of those factors are playing out exactly as we said.

Anna Cross: Your second question, which is about the roughly GBP 20 million headwind. I mean, what we said at the beginning of the year was we expected to build back by the end of the year to broadly the same sort of level as we saw in Q1. The only difference that we are calling out is in relation to the sold prices on Best Egg. Everything else remains the same. So we've got good underlying organic growth in cards. They're growing at about 6%, exactly the same as we're seeing in the UK, actually. Best Egg originations were $2 billion in the quarter. We said it would be $7 billion over the year. So all of that loan origination, the NIM is at 13.7%. Deposits are up by 15% year-on-year. So all of those factors are playing out exactly as we said.

Speaker #4: So all of that loan origination, the NIM is at 13.7. Deposits are up by 15% year on year. So all of those factors are playing out exactly as we said.

Speaker #4: I mean, what we said at the beginning of the year was that we expected to build back by the end of the year to broadly the same sort of level as we saw in Q1.

Speaker #4: The only difference that we are calling out is in relation to the sold prices on Best Egg. Everything else remains the same, so we've got good underlying organic growth in cards.

Speaker #3: And employment toggles are here.

Speaker #4: And impairments are very well behaved, actually. I mean, they're flat, like the fact that AA has left the platform and we would have expected that to have a 30 base point impact.

Speaker #4: So the only thing we are calling out that is different, Perley, is that 20 million. So hopefully that gives you a good guide. But thank you, Perley.

Speaker #4: They're growing at about 6%—exactly the same as we're seeing in the UK, actually. Best egg originations were $2 billion in the quarter. We said it would be $7 billion over the year.

Speaker #4: Next question, please.

Speaker #4: So, all of that loan origination—the NIM is at 13.7. Deposits are up by 15% year-on-year. So, all of those factors are playing out exactly as we said.

Speaker #6: Our next question comes from Chris Hallam of Goldman Sachs. Your line is now open. Please go ahead.

Speaker #5: Yeah. Good morning, everybody. Thank you for the question. So within financing in the IB, is it possible to provide the split of growth or of revenues between equities and FIC?

[CEO] (Barclays): Impairments are over here.

C. S. Venkatakrishnan: Impairments are over here.

Speaker #2: And impairments over the year.

[CFO] (Barclays): Impairments are very well-behaved, actually. I mean, they are flat, despite the fact that AA has left the platform, and we would have expected that to have about a 30 basis point impact. The only thing we are calling out that is different, Pearlie, is that $20 million. Hopefully that gives you a good guide. Thank you, Pearlie. Next question, please.

Anna Cross: Impairments are very well-behaved, actually. I mean, they are flat, despite the fact that AA has left the platform, and we would have expected that to have about a 30 basis point impact. The only thing we are calling out that is different, Pearlie, is that $20 million. Hopefully that gives you a good guide. Thank you, Pearlie. Next question, please.

Speaker #4: And impairments are very well behaved, actually. I mean, they're flat despite the fact that AA has left the platform, and we would have expected that to have a 30-basis-point impact.

Speaker #5: You mentioned on slide 29, I think it is, that 90% of the equities growth year to date has come via prime and derives. Therefore, it seems as though FIC financing must have been particularly weak in Q3.

Speaker #4: So the only thing we are calling out that is different, Perley, is that $20 million. So hopefully that gives you a good guide. But thank you, Perley.

Speaker #5: And I'm wondering how much of that would have been the conditions you flagged in late September versus a proactive decision, if at all, to reallocate capital between FIC and equities.

Speaker #4: Next question, please.

Operator: Our next question comes from Chris Hallam of Goldman Sachs. Your line is now open. Please go ahead.

Operator: Our next question comes from Chris Hallam of Goldman Sachs. Your line is now open. Please go ahead.

Speaker #6: Our next question comes from Chris Hallam of Goldman Sachs. Your line is now open. Please go ahead.

Speaker #5: And then mindful of the group revenue target for this year, would you be able to tell us whether those conditions persisted into November and how we should think about FIC seasonality to trend in Q4 this year versus the typical patterns we can see from prior years?

Chris Hallam: Good morning, everybody. Thank you for the question. Within financing in the IB, is it possible to provide the split of growth of revenues between equities and FICC? You mentioned on slide 29, I think it is, that 90% of the equities growth year to date has come via prime and derivs. Therefore, it seems as though FICC financing must have been particularly weak in Q3, and I am wondering how much of that would have been the conditions you flagged in late September versus a proactive decision, if at all, to reallocate capital between FICC and equities? Then mindful of the group revenue target for this year, would you be able to tell us whether those conditions persisted into November and how we should think about FICC seasonality to trend in Q4 this year versus the typical patterns we can see from prior years? Second question.

Chris Hallam: Good morning, everybody. Thank you for the question. Within financing in the IB, is it possible to provide the split of growth of revenues between equities and FICC? You mentioned on slide 29, I think it is, that 90% of the equities growth year to date has come via prime and derivs. Therefore, it seems as though FICC financing must have been particularly weak in Q3, and I am wondering how much of that would have been the conditions you flagged in late September versus a proactive decision, if at all, to reallocate capital between FICC and equities? Then mindful of the group revenue target for this year, would you be able to tell us whether those conditions persisted into November and how we should think about FICC seasonality to trend in Q4 this year versus the typical patterns we can see from prior years? Second question.

Speaker #5: Yeah, good morning, everybody. Thank you for the question. So, within financing in the IB, is it possible to provide the split of growth or of revenues between equities and FIC?

Speaker #5: Second question, the small box you have on slide 10. I think that's probably one of the clearest callouts we've had in the sector on the tangible benefits of AI-enabled savings.

Speaker #5: You mentioned on slide 29—I think it is—that 90% of the equities growth year to date has come via Prime and Derives. Therefore, it seems as though FIC financing must have been particularly weak in Q3.

Speaker #5: And it feels like the opportunity set there basically shifted higher, probably between February and July, which partly explains the additional SCAs. So looking ahead, is the annual efficiency opportunity you see now in 2028 also greater than perhaps it was earlier this year?

Speaker #5: And I'm wondering how much of that would have been the conditions you flagged in late September versus a proactive decision, if at all, to reallocate capital between FIC and equities.

Speaker #5: And then, mindful of the group revenue target for this year, would you be able to tell us whether those conditions persisted into November, and how we should think about FIC seasonality to trend in Q4 this year versus the typical patterns we can see from prior years?

Speaker #4: Okay. Chris, I'm going to start. Then I'm going to hand to Venkat. And then I'll pick up on slide 10. And I'm sure he'll have something to say as well.

Speaker #5: Second question: The small box you have on slide 10—I think that's probably one of the clearest callouts we've had in the sector on the tangible benefits of AI-enabled savings.

Chris Hallam: The small box you have on slide 10, I think that is probably one of the clearest call-outs we have had in the sector on the tangible benefits of AI-enabled savings. It feels like the opportunity set there basically shifted higher, probably between February and July, which partly explains the additional SCAs. Looking ahead, is the annual efficiency opportunity you see now in 2028 also greater than perhaps it was earlier this year?

Chris Hallam: The small box you have on slide 10, I think that is probably one of the clearest call-outs we have had in the sector on the tangible benefits of AI-enabled savings. It feels like the opportunity set there basically shifted higher, probably between February and July, which partly explains the additional SCAs. Looking ahead, is the annual efficiency opportunity you see now in 2028 also greater than perhaps it was earlier this year?

Speaker #4: So just, I mean, I think like most participants in the industry, most of the growth in financing has come from prime. We've also seen a very strong performance in deriv in equities.

Speaker #5: And it feels like the opportunity set there basically shifted higher, probably between February and July, which partly explains the additional SCAs. So, looking ahead, is the annual efficiency opportunity you see now in 2028 also greater than perhaps it was earlier this year?

Speaker #4: So I wouldn't attribute all of the growth to prime. And this really isn't a capital matter. This is a prime and FIS, fixed income financing, a leverage-heavy, not capital-heavy.

Speaker #4: So capital would not be a consideration here. Venkat, do you want to talk about that?

[CFO] (Barclays): Okay. Chris, I am going to start, then I am going to hand to Venkat, and then I will pick up on slide 10, and I am sure he will have something to say as well. I think like most participants in the industry, most of the growth in financing has come from prime. We have also seen a very strong performance in derivs in equity, so I would not attribute all of the growth to prime. This really is not a capital matter. This is prime and FICC. Fixed income financing are leverage heavy, not capital heavy. So capital would not be in consideration here. Venkat, do you want to talk about it?

Anna Cross: Okay. Chris, I am going to start, then I am going to hand to Venkat, and then I will pick up on slide 10, and I am sure he will have something to say as well. I think like most participants in the industry, most of the growth in financing has come from prime. We have also seen a very strong performance in derivs in equity, so I would not attribute all of the growth to prime. This really is not a capital matter. This is prime and FICC. Fixed income financing are leverage heavy, not capital heavy. So capital would not be in consideration here. Venkat, do you want to talk about it?

Speaker #4: Okay, Chris, I'm going to start. Then I'm going to hand it to Venkat, and then I'll pick up on slide 10. I'm sure he'll have something to say as well.

Speaker #3: Yeah. So Chris, I mean, the way I think about it is this isn't to a couple of things. First of all, financing revenues grow because of relationships, because that's really, really important.

Speaker #4: So, just—I mean, I think, like most participants in the industry—most of the growth in financing has come from Prime. We've also seen a very strong performance in Derives.

Speaker #3: You have to get on somebody's financing platform. As we said, 98 of our top 100 clients have financing relationships with us. That financing relationship is strong both in equities and in fixed income.

Speaker #4: In equities, so I wouldn't attribute all of the growth to prime. And this really isn't a capital matter. This is a prime and FIF, fixed income financing, a leverage-heavy, not capital-heavy.

Speaker #3: We've been one of the top fixed income financiers forever and ever. And we continue to retain that market position. So that's structural. Capability, the relationship with the client, and for us, differentiating is we look at it as one.

Speaker #4: So capital would not be in consideration here. Venkat, do you want to talk about that?

[CEO] (Barclays): Yeah. Chris, the way I think about it, this is into a couple of things. First of all, financing revenues grow because of relationships, because that is really, really important. You have to get on somebody's financing platform. As we said, 98 of our top 100 clients have a financing relationship with us. That financing relationship is strong both in equities and in fixed income. We have been one of the top fixed income financiers forever and ever. We continue to retain that market position. So that is structural. Capability, the relationship with the client, and for us, differentiating, is we look at it as one. So the client has one offering which they receive from us, as opposed to different salespeople coming in with different offerings. That is structure. Then cyclically or seasonally, what you get is what is happening in the equity markets, what is happening in proportions of the equity markets.

C. S. Venkatakrishnan: Yeah. Chris, the way I think about it, this is into a couple of things. First of all, financing revenues grow because of relationships, because that is really, really important. You have to get on somebody's financing platform. As we said, 98 of our top 100 clients have a financing relationship with us. That financing relationship is strong both in equities and in fixed income. We have been one of the top fixed income financiers forever and ever. We continue to retain that market position.

Speaker #2: Yeah. So Chris, I mean, the way I think about it is this isn't two or a couple of things. First of all, financing revenues grow because of relationships, because that's really, really important.

Speaker #3: So the client has one offering, which they receive from us, as opposed to different salespeople coming in with different offerings. That's structural. Then cyclically or seasonally, what you get is what's happening in the equity markets, what's happening in proportions of the equity markets.

Speaker #2: You have to get on somebody's financing platform. As we said, 98 of our top 100 clients have financing relationships with us. That financing relationship is strong both in equities and in fixed income.

Speaker #3: Over time, people have called out what's been happening in semiconductor stocks, what's been happening in Asian equities, and those are things that seasonally come up and down.

Speaker #2: We've been one of the top fixed income financiers forever and ever. And we continue to retain that market position. So that's structural. Capability, the relationship with the client, and for us, differentiating is we look at it as one.

C. S. Venkatakrishnan: So that is structural. Capability, the relationship with the client, and for us, differentiating, is we look at it as one. So the client has one offering which they receive from us, as opposed to different salespeople coming in with different offerings. That is structure. Then cyclically or seasonally, what you get is what is happening in the equity markets, what is happening in proportions of the equity markets.

Speaker #3: And in fixed income, it is levels of rates and types of spreads. And therefore, what are people trying to borrow and lend? So what I would expect coming into the fall, it's very hard to say.

Speaker #2: So the client has one offering, which they receive from us, as opposed to different salespeople coming in with different offerings. That's structural. Then cyclically or seasonally, what you get is what's happening in the equity markets, what's happening in proportions of the equity markets.

Speaker #3: Equity market volatility can certainly cut both ways in terms of how people want to borrow. And I think in fixed income, what you've got is greater interest because of some greater spread volatility than you've seen in a long, long time, which should, coming off the low base it has had, increase interest and rates are higher and that should help.

[CEO] (Barclays): Over time, people have called out what has been happening in semiconductor stocks, what has been happening in Asian equities, and those are things that seasonally come up and down. In fixed income, it is levels of risk and types of spreads, and therefore what are people trying to borrow and lend. So what I would expect coming into the fall, it is very hard to say. Equity market volatility can certainly cut both ways in terms of how people want to borrow. I think in fixed income, what you have got is greater interest because of some greater spread volatility than you have seen in a long, long time, which should, coming off the low base it has had, increase interest and raise to higher, and that should help. But these are very crude ways to describe it.

C. S. Venkatakrishnan: Over time, people have called out what has been happening in semiconductor stocks, what has been happening in Asian equities, and those are things that seasonally come up and down. In fixed income, it is levels of risk and types of spreads, and therefore what are people trying to borrow and lend. So what I would expect coming into the fall, it is very hard to say. Equity market volatility can certainly cut both ways in terms of how people want to borrow. I think in fixed income, what you have got is greater interest because of some greater spread volatility than you have seen in a long, long time, which should, coming off the low base it has had, increase interest and raise to higher, and that should help. But these are very crude ways to describe it.

Speaker #2: Over time, people have called out what's been happening in semiconductor stocks, what's been happening in Asian equities. And those are things that seasonally come up and down.

Speaker #3: But these are very crude ways to describe it.

Speaker #2: And in fixed income, it is levels of rates and types of spreads. And therefore, what are people trying to borrow and lend? So what I would expect coming into the fall, it's very hard to say.

Speaker #4: Okay. So let me start on slide 10. And then I'll ask Venkat to comment. I mean, what you see here is that we've got pretty good cadence, Chris, going where we've been spending typically around 300 million getting about 700 million back.

Speaker #2: Equity market volatility can certainly cut both ways in terms of how people want to borrow. And I think in fixed income, what you've got is greater interest because of some greater spread volatility than you've seen in a long, long time, which should, coming off the low base, it has had increased interest and rates are higher, and that should help.

Speaker #4: That's because the growth efficiencies that we are targeting relate in part to people actions over the last couple of years, but also sort of more general process improvements, etc., which have fewer costs associated with them.

Speaker #2: But these are very crude ways to describe it.

Speaker #4: I think more specifically to your question, look, the changes that we're making in the third and fourth quarters of this year are sizable in terms of the impact.

[CFO] (Barclays): Okay. So let me start on slide 10, and then I will ask Venkat to comment. What you see here is that we have got pretty good cadence, Chris, going where we have been spending typically around GBP 300 million, getting about GBP 700 million back. That is because the growth efficiencies that we are targeting relate in part to people actions over the last couple of years, but also sort of more general process improvements, et cetera, which have fewer costs associated with them. I think more specifically to your question, look, the changes that we are making in the Q3 and Q4 of this year are sizable, in terms of the impact. They relate both to the simplification of the organization and to some of the impacts that we are starting to see from AI. So I would say that they are very large in comparison to what we have previously sort of undertaken.

Anna Cross: Okay. So let me start on slide 10, and then I will ask Venkat to comment. What you see here is that we have got pretty good cadence, Chris, going where we have been spending typically around GBP 300 million, getting about GBP 700 million back. That is because the growth efficiencies that we are targeting relate in part to people actions over the last couple of years, but also sort of more general process improvements, et cetera, which have fewer costs associated with them.

Speaker #4: Okay. So let me start on slide 10. And then I'll ask Venkat to comment. I mean, what you see here is that we've got pretty good cadence, Chris, going where we've been spending typically around 300 million getting about 700 million back.

Speaker #4: They relate both to the simplification of the organization and to some of the impacts that we're starting to see from AI. So I would say that they are very large in comparison to what we've previously sort of undertaken.

Speaker #4: That's because the growth efficiencies that we are targeting relate in part to people actions over the last couple of years, but also sort of more general process improvements, etc., which have fewer costs associated with them.

Speaker #4: So I wouldn't necessarily expect that to repeat nor indeed the SCAs, as you can see in our cost disclosures. But I think what we are seeing is that the technology opportunities here continue to indicate that there are further things that we can do to make the organization much, much more efficient and then cut, you might want to pick up.

Anna Cross: I think more specifically to your question, look, the changes that we are making in the Q3 and Q4 of this year are sizable, in terms of the impact. They relate both to the simplification of the organization and to some of the impacts that we are starting to see from AI. So I would say that they are very large in comparison to what we have previously sort of undertaken. I wouldn't necessarily expect that to repeat nor indeed the SCAs, as you can see in our cost disclosures. But I think what we are seeing is that the technology opportunities here continue to indicate that there are further things that we can do to make the organization much, much more efficient. And Venkat, you might want to pick up here.

Speaker #4: I think more specifically to your question, look, the changes that we're making in the third and fourth quarters of these of this year are sizable in terms of the impact.

Speaker #4: They relate both to the simplification of the organization and to some of the impacts that we're starting to see from AI. So I would say that they are very large in comparison to what we've previously sort of undertaken.

Speaker #3: Yeah. I think there's a confluence of a couple of things happening here. One is what Anna just said. The technology opportunity set has increased and its capability has increased.

[CFO] (Barclays): I wouldn't necessarily expect that to repeat nor indeed the SCAs, as you can see in our cost disclosures. But I think what we are seeing is that the technology opportunities here continue to indicate that there are further things that we can do to make the organization much, much more efficient. And Venkat, you might want to pick up here.

Speaker #4: So I wouldn't necessarily expect that to repeat nor indeed the SCAs, as you can see in our cost disclosures. But I think what we are seeing is that the technology opportunities here continue to indicate that there are further things that we can do to make the organization much, much more efficient than you might want to pick up.

Speaker #3: Second is, what do you have to do to harness that? To harness that, you have to build the infrastructure to improve your processes, modern technology framework, simplified processes.

Speaker #3: Now, that requires perseverance and investment, which we've been putting in. And given the capital generation which we've had, given the success of the plan so far, that has given us both the capability and the will to make those investments.

[CEO] (Barclays): Yeah. I think there's a confluence of a couple of things happening here. One is what Anna just said. The technology opportunity set has increased and its capability has increased. Second is, what do you have to do to harness that? To harness that, you have to build the infrastructure to improve your processes, modern technology framework, simplified processes. Now, that requires perseverance and investment, which we've been putting in. And given the capital generation which we've had, given the success of the plan so far, that has given us both the capability and the will to make those investments. So what you're seeing is technology being able to deliver more. AI sits on top of this technology. You've seen the capability financially and otherwise to make the investments and the will to do it in a sustained way.

C. S. Venkatakrishnan: Yeah. I think there's a confluence of a couple of things happening here. One is what Anna just said. The technology opportunity set has increased and its capability has increased. Second is, what do you have to do to harness that? To harness that, you have to build the infrastructure to improve your processes, modern technology framework, simplified processes. Now, that requires perseverance and investment, which we've been putting in. And given the capital generation which we've had, given the success of the plan so far, that has given us both the capability and the will to make those investments. So what you're seeing is technology being able to deliver more. AI sits on top of this technology. You've seen the capability financially and otherwise to make the investments and the will to do it in a sustained way.

Speaker #2: Yeah. I think there's a confluence of a couple of things happening here. One is what Anna just said. The technology opportunity set has increased and its capability has increased.

Speaker #3: So what you're seeing is technology being able to deliver more. AI sits on top of this technology. You've seen the capability, financially and otherwise, to make the investments and the will to do it in a sustained way.

Speaker #2: Second is, what do you have to do to harness that? To harness that, you have to build the infrastructure. To improve your processes, modern technology framework, simplified processes.

Speaker #3: So we've presented today what we've done for 2026, and we'll continue to persevere hard at this over the next few years.

Speaker #2: Now, that requires perseverance and investment, which we've been putting in. And given the capital generation which we've had, given the success of the plan so far, that has given us both the capability and the will to make those investments.

Speaker #4: Okay. Next question, please.

Speaker #5: Our next question comes from Jason Napier of UBS. Your line is now open. Please go ahead.

Speaker #2: So what you're seeing is technology being able to deliver more. AI sits on top of this technology. You've seen the capability financially and otherwise to make the investments and the will to do it in a sustained way.

Speaker #6: Good morning. Thanks for taking my questions. I guess the first one for Venkat. I think Barclays has executing really energetically on strategy, through restructuring and the acquisitions that you've made.

[CEO] (Barclays): So, we've presented today what we've done for 2026, and we'll continue to persevere hard at this over the next few years.

C. S. Venkatakrishnan: So, we've presented today what we've done for 2026, and we'll continue to persevere hard at this over the next few years.

Speaker #2: So we've presented today what we've done for 2026, and we'll continue to persevere hard at this over the next few years.

Speaker #6: And I'm not sure the market is giving you much credit for that. And so I wondered whether you could start off by commenting on the sort of recent news flow and the tone of that news flow around capital allocations and TRSs in the IB.

[CFO] (Barclays): Okay. Next question, please.

Anna Cross: Okay. Next question, please.

Speaker #4: Okay. Next question, please.

Speaker #6: The share price has proven reactive to that sort of coverage. As CEO and as a risk professional, I mean, how do you think about risk in the business that forecast ability of earnings?

Operator: Our next question comes from Jason Napier of UBS. Your line is now open. Please go ahead.

Operator: Our next question comes from Jason Napier of UBS. Your line is now open. Please go ahead.

Speaker #5: Our next question comes from Jason at Napier of UBS. Your line is now open. Please go ahead.

Jason Napier: Good morning. Thanks for taking my questions. I guess the first one for Venkat. I think Barclays is executing really energetically on strategy through restructuring and the acquisitions that you have made, and I am not sure the market is giving you much credit for that. I wondered whether you could start off by commenting on the recent news flow and the tone of that news flow around capital allocations and TRS' in the IB. The share price has proven reactive to that sort of coverage. As CEO and as a risk professional, how do you think about risk in the business, the forecastability of earnings? How do you talk to the market about those sorts of factors, please? Then secondly, one for Anna. Just coming back to slide 9, I want to say thank you for the absolute cost guide.

Jason Napier: Good morning. Thanks for taking my questions. I guess the first one for Venkat. I think Barclays is executing really energetically on strategy through restructuring and the acquisitions that you have made, and I am not sure the market is giving you much credit for that. I wondered whether you could start off by commenting on the recent news flow and the tone of that news flow around capital allocations and TRS' in the IB. The share price has proven reactive to that sort of coverage. As CEO and as a risk professional, how do you think about risk in the business, the forecastability of earnings? How do you talk to the market about those sorts of factors, please? Then secondly, one for Anna. Just coming back to slide 9, I want to say thank you for the absolute cost guide.

Speaker #6: Good morning. Thanks for taking my questions. I guess the first one for Venkat. I think Barclays is executing really energetically on strategy, through restructuring and the acquisitions that you've made.

Speaker #6: And how do you talk to the market about those sorts of factors, please? And then secondly, one for Anna, just coming back to slide 9, and I want to say thank you for the absolute cost guide.

Speaker #6: I think that is helpful given some of the questions we were getting. But focusing on slide 9, your numbers for business growth, inflation, and investments are nearly 8% of starting costs.

Speaker #6: And I'm not sure the market is giving you much credit for that. And so I wondered whether you could start off by commenting on the sort of recent newsflow and the tone of that newsflow around capital allocations and TRSs in the IB.

Speaker #6: So two things. Number one, are we to think that those are the sorts of numbers that are required or might be normal for the bank?

Speaker #6: The share price has proven reactive to that sort of coverage. As CEO and as a risk professional, I mean, how do you think about risk in the business that forecast ability of earnings?

Speaker #6: There's 1.4 billion in total. And then secondly, just in really high-level terms, what are the sort of areas that are absorbing that kind of money in 2027, please?

Speaker #6: And how do you talk to the market about those sorts of factors, please? And then secondly, one for Anna. Just coming back to slide 9, and I want to say thank you for the absolute cost guide.

Speaker #6: Thanks a lot.

Speaker #3: Yeah. Hey, Jason, thank you first of all. Very, very good questions. Let me begin with the first one. And I think the first one and thank you for recognizing the effort we've been putting in into what you call energetic execution.

Jason Napier: I think that is helpful given some of the questions we were getting. Focusing on slide 9, your numbers for business growth, inflation, and investments are nearly 8% of starting costs. So two things. Number 1, are we to think that those are the sorts of numbers that are required or might be normal for the Bank, this GBP 1.4 billion in total? Then secondly, just in really high level terms, what are the sort of areas that are absorbing that kind of money in 2027, please? Thanks a lot.

Jason Napier: I think that is helpful given some of the questions we were getting. Focusing on slide 9, your numbers for business growth, inflation, and investments are nearly 8% of starting costs. So two things. Number 1, are we to think that those are the sorts of numbers that are required or might be normal for the Bank, this GBP 1.4 billion in total? Then secondly, just in really high level terms, what are the sort of areas that are absorbing that kind of money in 2027, please? Thanks a lot.

Speaker #6: I think that is helpful given some of the questions we were getting. But focusing on slide 9, your numbers for business growth, inflation, and investments are nearly 8% of starting costs.

Speaker #6: So two things. Number one, are we to think that those are the sorts of numbers that are required or might be normal for the bank?

Speaker #3: And discipline execution, appreciative of your words. So there's a philosophy here. There's an approach. There's an attitude. There's a process by which we carry it out.

Speaker #6: There's 1.4 billion in total. And then secondly, just in really high-level terms, what are the sort of areas that are absorbing that kind of money in 2027, please?

Speaker #3: And then there's what I would call noise in the market. Our philosophy is clear. On execution, on making these plans, we've laid it out for the last three years.

Speaker #6: Thanks a lot.

[CEO] (Barclays): Hey, Jason. Thank you, first of all. Very, very good questions. Let me begin with the first one. I think the first one, and thank you for recognizing the effort we have been putting in into what you call energetic execution and disciplined execution. Appreciative of your words. So there is a philosophy here, there is an approach, there is an attitude, there is a process by which we carry it out. Then there is what I would call noise in the market. Our philosophy is clear on execution, on making these plans. We have laid it out for the last 3 years. We laid it out in February for the next 3 years, and we are telling you what we are doing, whether it is on revenue, whether it is on business, whether it is on capital, whether it is on costs, whether it is on investment.

C. S. Venkatakrishnan: Hey, Jason. Thank you, first of all. Very, very good questions. Let me begin with the first one. I think the first one, and thank you for recognizing the effort we have been putting in into what you call energetic execution and disciplined execution. Appreciative of your words. So there is a philosophy here, there is an approach, there is an attitude, there is a process by which we carry it out. Then there is what I would call noise in the market. Our philosophy is clear on execution, on making these plans. We have laid it out for the last 3 years. We laid it out in February for the next 3 years, and we are telling you what we are doing, whether it is on revenue, whether it is on business, whether it is on capital, whether it is on costs, whether it is on investment.

Speaker #2: Hey, Jason, thank you first of all. Very, very good questions. Let me begin with the first one. And I think the first one and thank you for recognizing the effort we've been putting in into what you call energetic execution.

Speaker #3: We laid it out in February for the next three years. And we're telling you what we are doing, whether it's on revenue, whether it's on business, whether it's on capital, whether it's on costs.

Speaker #3: Whether it's on investment. And we will do our very best to continue to carry it forth in that discipline and hopefully predictable way. And when it comes to risk and whether it's regulatory aspects or otherwise, we take this really, really seriously.

Speaker #2: And discipline execution, appreciative of your words. So there's a philosophy here. There's an approach. There's an attitude. There's a process by which we carry it out.

Speaker #2: And then there's what I would call noise in the market. Our philosophy is clear. On execution, on making these plans, we've laid it out for the last three years.

Speaker #3: I said earlier today on a TV interview that for 10 years at Barclays, I've been chief risk officer of the markets division for a brief period and CEO.

Speaker #2: We laid it out in February for the next three years. And we're telling you what we are doing, whether it's on revenue, whether it's on business, whether it's on capital, whether it's on costs.

Speaker #3: In this entire period, I have laid great stock on the importance of following the capital rules and letter and in spirit and being very prudently capitalized.

Speaker #2: Whether it's on investment. And we will do our very best to continue to carry it forth in that discipline and hopefully predictable way. And when it comes to risk, and whether it's regulatory aspects or otherwise, we take this really, really seriously.

[CEO] (Barclays): And we will do our very best to continue to carry it forth in that disciplined and hopefully predictable way. When it comes to risk and whether it is regulatory aspects or otherwise, we take this really, really seriously. I said earlier today on a TV interview that for 10 years at Barclays, I have been chief risk officer of the markets division for a brief period and CEO. In this entire period, I have laid great stock on the importance of following the capital rules in letter and in spirit, and being very prudently capitalized. We aim to do so, and we are careful about what we do in these matters. Anna has spoken earlier about these TRS, both in terms of our approach and the quantum involved.

C. S. Venkatakrishnan: And we will do our very best to continue to carry it forth in that disciplined and hopefully predictable way. When it comes to risk and whether it is regulatory aspects or otherwise, we take this really, really seriously. I said earlier today on a TV interview that for 10 years at Barclays, I have been chief risk officer of the markets division for a brief period and CEO. In this entire period, I have laid great stock on the importance of following the capital rules in letter and in spirit, and being very prudently capitalized. We aim to do so, and we are careful about what we do in these matters. Anna has spoken earlier about these TRS, both in terms of our approach and the quantum involved.

Speaker #3: And we aim to do so. And we are careful about what we do in these matters. Anna has spoken earlier about these TRSs. Both in terms of our approach and the quantum involved.

Speaker #2: I said earlier today on a TV interview that for 10 years at Barclays, I've been chief risk officer head of the markets division for a brief period and CEO.

Speaker #3: And so what I will say to you is our commitment to continue discipline execution careful stewardship of the company's resources, including capital and liquidity, and we've been very clear even on capital, that you've seen the flow of our the CET1, the capitalization ratio, over the last number of quarters, coming to the level where it has staying at the level where it has because we said our most important thing is to be well capitalized.

Speaker #2: In this entire period, I have laid great stock on the importance of following the capital rules and letter and in spirit. And in being very prudently capitalized.

Speaker #2: And we aim to do so. And we are careful about what we do in these matters. Anna has spoken earlier about these TRSs. Both in terms of our approach and the quantum involved.

Speaker #3: And well provided for in capital and liquidity. So continue to expect to see that discipline execution, energetic execution, as you say, and prudent stewardship of our resources.

[CEO] (Barclays): Our commitment to continue disciplined execution, careful stewardship of the company's resources, including capital and liquidity. We have been very clear even on capital, that you have seen the flow of our CET1, the capitalization ratio over the last number of quarters coming to the level where it has, staying at the level where it has, because we said our most important thing is to be well capitalized and well provided for in capital and liquidity. So continue to expect to see that disciplined execution, energetic execution, as you said, and prudent stewardship of our resources.

Speaker #2: And so what I will say to you is our commitment to continue disciplined execution, careful stewardship of the company's resources, including capital and liquidity, and we've been very clear even on capital, that you've seen the flow of our the CET1, the capitalization ratio, over the last number of quarters, coming to the level where it has staying at the level where it has because we said our most important thing is to be well capitalized.

C. S. Venkatakrishnan: Our commitment to continue disciplined execution, careful stewardship of the company's resources, including capital and liquidity. We have been very clear even on capital, that you have seen the flow of our CET1, the capitalization ratio over the last number of quarters coming to the level where it has, staying at the level where it has, because we said our most important thing is to be well capitalized and well provided for in capital and liquidity. So continue to expect to see that disciplined execution, energetic execution, as you said, and prudent stewardship of our resources.

Speaker #4: Okay. Thank you, Venkat. So let me take everybody back to slide 9. So the numbers that you're talking about, Jason, include business growth and inflation.

Speaker #4: And I just want to be very clear about what we put in there. That also includes investment. BAU investment in our ongoing businesses. So all of the benefits that you are seeing coming through in Premiere, in corporate, in equities, etc., etc.

Speaker #2: And well provided for in capital and liquidity. So continue to expect to see that disciplined execution, energetic execution, as you say, and prudent stewardship of our resources.

Speaker #4: are all contained within that number. We think that is a cost of doing business. And therefore, we're giving you a very fulsome run-the-bank cost here that includes inflation, includes that BAU investment, includes the cost of acquisitions also.

[CFO] (Barclays): Okay. Thank you, Venkat. So let me take everybody back to slide 9. The numbers that you are talking about, Jason, include business growth and inflation, and I just want to be very clear about what we put in there. That also includes investment, BAU investment in our ongoing businesses. So all of the benefits that you are seeing coming through in Premier, in Corporate, in Equities, et cetera, are all contained within that number. We think that is a cost of doing business. Therefore, we are giving you a very fulsome run-of-the-bank cost here that includes inflation, includes that BAU investment, includes the cost of acquisitions also. I genuinely think that you cannot separate that from efficiency, because by growing the Bank, you have the opportunity to create operating leverage. It is not just through SCAs, as I mentioned before.

Anna Cross: Okay. Thank you, Venkat. So let me take everybody back to slide 9. The numbers that you are talking about, Jason, include business growth and inflation, and I just want to be very clear about what we put in there. That also includes investment, BAU investment in our ongoing businesses. So all of the benefits that you are seeing coming through in Premier, in Corporate, in Equities, et cetera, are all contained within that number. We think that is a cost of doing business. Therefore, we are giving you a very fulsome run-of-the-bank cost here that includes inflation, includes that BAU investment, includes the cost of acquisitions also. I genuinely think that you cannot separate that from efficiency, because by growing the Bank, you have the opportunity to create operating leverage. It is not just through SCAs, as I mentioned before.

Speaker #4: Okay. Thank you, Venkat. So let me take everybody back to slide 9. So the numbers that you're talking about, Jason, include business growth and inflation.

Speaker #4: And I genuinely think that you can't separate that from efficiency. Because by growing the bank, you have the opportunity to create operating leverage. It's not just through SBAs, as I mentioned before.

Speaker #4: And I just want to be very clear about what we put in there. That also includes investment. BAU investment in our ongoing businesses. So all of the benefits that you are seeing coming through in Premiere, in corporate, in equities, etc., etc.

Speaker #4: It's actually about process improvement and the kind of volume benefits that you get when you or reducing marginal cost benefits that you get when you start pushing more volume through an existing.

Speaker #4: are all contained within that number. We think that is a cost of doing business. And therefore, we're giving you a very fulsome run-the-bank cost here that includes inflation, includes that BAU investment, includes the cost of acquisitions also.

Speaker #4: Platform. I will contrast that with from the investments on the right-hand side that relate to future fee growth. So think, well, think transaction banking and think some of the technology changes that Venkat called out at the full year.

Speaker #4: And I genuinely think that you can't separate that from efficiency. Because by growing the bank, you have the opportunity to create operating leverage. It's not just through SCAs, as I mentioned before.

Speaker #4: So I would really urge you to take them together and the way we think about it is this is at least a neutral run-the-bank cost.

Speaker #4: Our objective here, because the intensity of investment has gone up, the intensity of efficiency has to go up. So expect us to be pushing that collection, if you like, on the of things that are bridged by the arrow very hard.

[CFO] (Barclays): It is actually about process improvement and the kind of volume benefits that you get when you or reducing marginal cost benefits that you get when you start pushing more volume through an existing platform. I will contrast that with, from the investments on the right-hand side that relate to future fee growth. So think wealth, think transaction banking, and think some of the technology changes that Venkat called out at the full year. So I would really urge you to take them together, and the way we think about it is this is at least a neutral run-the-bank cost. Our objective here, because the intensity of investment has gone up, the intensity of efficiency has to go up. So expect us to be pushing that collection, if you like, of things that are bridged by the arrow, very hard. That is what we are saying. Okay, thank you.

Anna Cross: It is actually about process improvement and the kind of volume benefits that you get when you or reducing marginal cost benefits that you get when you start pushing more volume through an existing platform. I will contrast that with, from the investments on the right-hand side that relate to future fee growth. So think wealth, think transaction banking, and think some of the technology changes that Venkat called out at the full year. So I would really urge you to take them together, and the way we think about it is this is at least a neutral run-the-bank cost. Our objective here, because the intensity of investment has gone up, the intensity of efficiency has to go up. So expect us to be pushing that collection, if you like, of things that are bridged by the arrow, very hard. That is what we are saying. Okay, thank you.

Speaker #4: It's actually about process improvement and the kind of volume benefits that you get when you or reducing marginal cost benefits that you get when you start pushing more volume through an existing.

Speaker #4: Platform. I will contrast that with from the investments on the right-hand side that relate to future fee growth. So I think, well, think transaction banking and think some of the technology changes that Venkat called out at the full year.

Speaker #4: That's what we're saying. Okay. Thank you. Can I have the next question, please?

Speaker #6: Our next question comes from Andrew Coombs of City. Your line is now open. Please go ahead.

Speaker #4: So I would really urge you to take them together and the way we think about it is this is at least a neutral run-the-bank cost.

Speaker #5: Good morning. Thanks for taking my questions. Just a couple of follow-ups, please. Firstly, on the hedge allocations, I think at the start of this year, you expected 55% of the hedge to be allocated to Barclays UK.

Speaker #4: Our objective here, because the intensity of investment has gone up, the intensity of efficiency has to go up. So expect us to be pushing that collection, if you like, on the of things that are bridged by the arrow very hard.

Speaker #5: That's now increased to 70%. So I'm intrigued on why the allocation has changed so abruptly over the course of the year. And is 70% a good guide for the allocation going forward as well, please?

Speaker #4: That's what we're saying. Okay. Thank you. Can I have the next question, please?

[CFO] (Barclays): Can I have the next question, please?

Anna Cross: Can I have the next question, please?

Speaker #5: And then the second question, a much broader question, and it is a follow-on from many of the ones you've already been asked. But you've reiterated the 31.5 billion revenue guide.

Operator: Our next question comes from Andrew Coombs of Citi. Your line is now open. Please go ahead.

Operator: Our next question comes from Andrew Coombs of Citi. Your line is now open. Please go ahead.

Speaker #6: Our next question comes from Andrew Coombs of Citi. Your line is now open. Please go ahead.

Andrew Coombs: Hello, good morning. Thank you for taking my questions. Just a couple of follow-ups, please. Firstly, on the hedge allocation. I think at the start of this year, you expected 55% of the hedge to be allocated to Barclays UK. That is now increased to 70%. So intrigued on why the allocation has changed so abruptly over the course of the year, and is 70% a good guide for the allocation going forward as well, please? The second question, a much broader question, is a follow-on from many of the ones you have already been asked. But you have reiterated the GBP 31.5 billion revenue guide. If you take 9 months annualized, it gets you to about GBP 31.5 billion, but usually you do see seasonality in the investment bank in Q4.

Andrew Coombs: Hello, good morning. Thank you for taking my questions. Just a couple of follow-ups, please. Firstly, on the hedge allocation. I think at the start of this year, you expected 55% of the hedge to be allocated to Barclays UK. That is now increased to 70%. So intrigued on why the allocation has changed so abruptly over the course of the year, and is 70% a good guide for the allocation going forward as well, please? The second question, a much broader question, is a follow-on from many of the ones you have already been asked. But you have reiterated the GBP 31.5 billion revenue guide. If you take 9 months annualized, it gets you to about GBP 31.5 billion, but usually you do see seasonality in the investment bank in Q4.

Speaker #5: Good morning. Thank you for taking my questions. Just a couple of follow-ups, please. Firstly, on the hedge allocation, I think at the start of this year, you expected 55% of the hedge to be allocated to Barclays UK.

Speaker #5: If you take nine months annualized, it gets you to about 31 and a half, but usually you do see seasonality in the investment banking Q4.

Speaker #5: So can you just talk through the puts and takes on that revenue guide and what's giving you the confidence to reiterate it, please? Thank you.

Speaker #5: That's now increased to 70%. So I'm intrigued on why the allocation has changed so abruptly over the course of the year. And is 70% a good guide for the allocation going forward as well, please?

Speaker #4: Okay. Thanks, Andy. So I think the disclosure that we have given you so earlier in the year, it was actually about the growth in the structural hedge income.

Speaker #5: And then the second question, a much broader question, and it is a follow-on from many of the ones you've already been asked. But you've reiterated the 31.5 billion revenue guide.

Speaker #4: That confused everybody. So what we've done now is we have reverted to a much simpler table of income allocation. So not growth in income, but income itself.

Speaker #5: If you take nine months annualized, it gets you to about 31 and a half. But usually, you do see seasonality in the investment banking Q4.

Speaker #4: Which is why you are seeing that movement from 55 to 70. You are still seeing the allocation going down to be UK. That doesn't mean to say that it'll go down in absolute terms of course it won't be, but it's just that the structural hedge income is growing faster outside be UK, that's in part because of the equity structural hedge.

Andrew Coombs: Can you just talk through the puts and takes on that revenue guide and what has given you the confidence to reiterate it, please? Thank you.

Andrew Coombs: Can you just talk through the puts and takes on that revenue guide and what has given you the confidence to reiterate it, please? Thank you.

Speaker #5: So can you just talk through the puts and takes on that revenue guide and what's giving you the confidence to reiterate it, please? Thank you.

[CFO] (Barclays): Okay. Thanks, Andy. I think the disclosure that we have given you. earlier in the year, it was actually about the growth in the structural hedge income. That confused everybody. What we have done now is we have reverted to a much simpler table of income allocation. Not growth in income, but income itself, which is why you are seeing that movement from 55 to 70. You are still seeing the allocation going down to BUK. That doesn't mean to say that it will go down in absolute terms. Of course, it won't be. But it's just that the structural hedge income is growing faster outside BUK. That's in part because of the equity structural hedge, but it's also because the tenors of deposit relationships outside of BUK are actually longer. That really speaks to the strength in our corporate deposit book.

Anna Cross: Okay. Thanks, Andy. I think the disclosure that we have given you. earlier in the year, it was actually about the growth in the structural hedge income. That confused everybody. What we have done now is we have reverted to a much simpler table of income allocation. Not growth in income, but income itself, which is why you are seeing that movement from 55 to 70. You are still seeing the allocation going down to BUK. That doesn't mean to say that it will go down in absolute terms. Of course, it won't be. But it's just that the structural hedge income is growing faster outside BUK. That's in part because of the equity structural hedge, but it's also because the tenors of deposit relationships outside of BUK are actually longer. That really speaks to the strength in our corporate deposit book.

Speaker #4: Okay. Thanks, Andy. So I think the disclosure that we have given you so earlier in the year, it was actually about the growth in the structural hedge income.

Speaker #4: But it's also because the tenors of deposit relationships outside of be UK are actually longer. And that really speaks to the strength in our corporate deposit book.

Speaker #4: That confused everybody. So what we've done now is we have reverted to a much simpler table of income allocation. So not growth in income, but income itself.

Speaker #4: So that's what's going on there. So apologies, but hopefully now clearer. To your second question, look, the simple answer is year-to-date income growth is up 8%.

Speaker #4: Which is why you are seeing that movement from 55 to 70. You are still seeing the allocation going down to be UK. That doesn't mean to say that it'll go down in absolute terms of, of course, it won't be.

Speaker #4: And 31.5 billion is 8% year-on-year growth. That's a simple answer, but let me try and be a bit more helpful. So we still see a path to circa 31.5 billion although it's clear that Q3 income was weaker than we would have expected it to be or planned to be.

Speaker #4: But it's just that the structural hedge income is growing faster outside be UK, that's in part because of the equity structural hedge. But it's also because the tenors of deposit relationships outside of be UK are actually longer.

Speaker #4: And that really speaks to the strength in our corporate deposit book. So that's what's going on there. So apologies, but hopefully now clearer. To your second question, look, the simple answer is year-to-date income growth is up 8%.

Speaker #4: But here's how I think about the building blocks. And those building blocks reflect the diversity of income across the group. And our strategy and the natural momentum that we've gotten as business.

[CFO] (Barclays): That's what's going on there. Apologies, but hopefully now clearer. To your second question. Look, the simple answer is year-to-date income growth is up 8%, and GBP 31.5 billion is 8% year-on-year growth. That's a simple answer, but let me try and be a bit more helpful. We still see a path to circa GBP 31.5 billion, although it's clear that Q3 income was weaker than we would have expected it to be or planned to be. But here's how I think about the building blocks, and those building blocks reflect the diversity of income across the group, and our strategy and the natural momentum that we've got in this business. Let me start with the most certain, which is NII. NII has been about GBP 200 million up each quarter year to date. We expect that to continue.

Anna Cross: That's what's going on there. Apologies, but hopefully now clearer. To your second question. Look, the simple answer is year-to-date income growth is up 8%, and GBP 31.5 billion is 8% year-on-year growth. That's a simple answer, but let me try and be a bit more helpful. We still see a path to circa GBP 31.5 billion, although it's clear that Q3 income was weaker than we would have expected it to be or planned to be. But here's how I think about the building blocks, and those building blocks reflect the diversity of income across the group, and our strategy and the natural momentum that we've got in this business. Let me start with the most certain, which is NII. NII has been about GBP 200 million up each quarter year to date. We expect that to continue.

Speaker #4: So let me start with the most certain, which is NII. So NII has been about 200 million up each quarter year-to-date. We expect that to continue.

Speaker #4: And 31.5 billion is 8% year-on-year growth. That's the simple answer. But let me try and be a bit more helpful. So we still see a path to circa 31.5 billion, although it's clear that Q3 income was weaker than we would have expected it to be or planned to be.

Speaker #4: And what I should have said is to reach around 35 and a half billion, Q4 needs 31 and a half billion. Q4 needs to be 500 million up.

Speaker #4: But here's how I think about the building blocks. And those building blocks reflect the diversity of income across the group. And our strategy and the natural momentum that we've got in this business.

Speaker #4: So 200 million of it, we believe, relates to NII. The second part to this, I would call out, is financing. Financing has been on average about 150 million up year-to-date.

Speaker #4: So let me start with the most certain, which is NII. So NII has been about 200 million up each quarter year-to-date. We expect that to continue.

Speaker #4: The third piece actually relates to something we talked about earlier, which is really the strength in our investment banking business. We have very good line of sight to the M&A pipeline.

[CFO] (Barclays): Oh, and what I should have said is to reach around GBP 35.5 billion-

Anna Cross: Oh, and what I should have said is to reach around GBP 35.5 billion-

Speaker #4: And what I should have said is to reach around 35 and a half billion, Q4 needs 31 and a half billion. Q4 needs to be 500 million up.

Speaker #4: We have good line of sight to the capital markets pipeline, although obviously that one is much more influenced by the uncertainty in the environment and therefore there's a bit more uncertainty then there about when things will complete.

Andrew Coombs: GBP 31.5 billion.

Andrew Coombs: GBP 31.5 billion.

[CFO] (Barclays): Q4 needs 31.5 billion. Q4 needs to be GBP 500 million up. 200 million of it, we believe, relates to NII. The second part to this I would call out is financing. Financing has been on average about GBP 150 million up year to date. The third piece actually relates to something we talked about earlier, which is really the strength in our investment banking business. We have very good line of sight to the M&A pipeline. We have good line of sight to the capital markets pipeline. Although obviously that one is much more influenced by the uncertainty in the environment, and there is a bit more uncertainty there about when things will complete. M&A is much more certain. Then finally, that brings us to markets, which is the thing that we have been focused on here today.

Anna Cross: Q4 needs 31.5 billion. Q4 needs to be GBP 500 million up. 200 million of it, we believe, relates to NII. The second part to this I would call out is financing. Financing has been on average about GBP 150 million up year to date. The third piece actually relates to something we talked about earlier, which is really the strength in our investment banking business. We have very good line of sight to the M&A pipeline. We have good line of sight to the capital markets pipeline. Although obviously that one is much more influenced by the uncertainty in the environment, and there is a bit more uncertainty there about when things will complete. M&A is much more certain. Then finally, that brings us to markets, which is the thing that we have been focused on here today.

Speaker #4: So 200 million of it, we believe, relates to NII. The second part to this, I would call out, is financing. Financing has been on average about 150 million up year-to-date.

Speaker #4: But M&A is much more certain. And then finally, that brings us to markets, which is the thing that we've been focused on here. Today, but again, I just remind you, we've had very good momentum in markets all year.

Speaker #4: The third piece actually relates to something we talked about earlier, which is really the strength in our investment banking business. We have very good line of sight to the M&A pipeline.

Speaker #4: Thick intermediation specifically has been weaker in Q3. So that's how we think about it. We continue to work towards that number Andy. But just to be really clear, our North Star for this year is ROTE and for that ROTE to be greater than 12.

Speaker #4: We have good line of sight to the capital markets pipeline, although obviously, that one is much more influenced by the uncertainty in the environment and therefore, there's a bit more uncertainty then there about when things will complete.

Speaker #4: So that is the number that we are most focused on. Okay. Thank you. Next question, please.

Speaker #4: But M&A is much more certain. And then finally, that brings us to markets, which is the thing that we've been focused on here. Today, but again, I just remind you, we've had very good momentum in markets all year.

Speaker #6: Our next question comes from Amit Goel of Media Banker. Your line is now open. Please go ahead.

[CFO] (Barclays): But again, I just remind you, we have had very good momentum in markets all year. FICC intermediation specifically has been weaker in Q3. So that is how we think about it. We continue to work towards that number, Andy. But just to be really clear, our North Star for this year is RoTE, and for that RoTE to be greater than 12%. So that is the number that we are most focused on. Okay. Thank you. Next question, please.

Anna Cross: But again, I just remind you, we have had very good momentum in markets all year. FICC intermediation specifically has been weaker in Q3. So that is how we think about it. We continue to work towards that number, Andy. But just to be really clear, our North Star for this year is RoTE, and for that RoTE to be greater than 12%. So that is the number that we are most focused on. Okay. Thank you. Next question, please.

Speaker #5: Hi. Thanks, guys. So I just circling back to some of the previous comments. And the implied kind of guidance. So I guess just basically on the back of the on the cost guide or the implied for 28, so we talked about modest cost growth.

Speaker #4: Thick intermediation specifically has been weaker in Q3. So that's how we think about it. We continue to work towards that number Andy. But just to be really clear, our North Star for this year is ROTE and for that ROTE to be greater than 12.

Speaker #5: And still sticking to the low 50s cost income ratio. So when I'm doing that, I'm kind of getting to revenue expectation of or guide of around 36 billion plus.

Speaker #4: So that is the number that we are most focused on. Okay. Thank you. Next question, please.

Operator: Our next question comes from Amit Goel of Mediobanca. Your line is now open. Please go ahead.

Operator: Our next question comes from Amit Goel of Mediobanca. Your line is now open. Please go ahead.

Speaker #5: So I mean, that's about 5% above consensus. So I guess my first question is really like, what's kind of driving that or where you see the kind of delta versus the consensus on that?

Speaker #6: Our next question comes from Amit Gowal of Media Banker. Your line is now open. Please go ahead.

Amit Goel: Hi. Thanks, guys. Just circling back to some of the previous comments and the implied kind of guidance. I guess just basically on the back of the cost guide or the implied for 2028, we talked about modest cost growth and still sticking to the low 50s cost income ratio. When I am doing that, I am kind of getting to a revenue expectation of, or guide of around GBP 36 billion plus. So that is about 5% above consensus. I guess my first question is really what is kind of driving that? Or where you see the kind of delta versus the consensus on that. Then secondly, if that is correct, then I guess that kind of points more to a RoTE of, I guess, closer to 16% versus the greater than 14% target and the kind of 15% that consensus has got.

Amit Goel: Hi. Thanks, guys. Just circling back to some of the previous comments and the implied kind of guidance. I guess just basically on the back of the cost guide or the implied for 2028, we talked about modest cost growth and still sticking to the low 50s cost income ratio. When I am doing that, I am kind of getting to a revenue expectation of, or guide of around GBP 36 billion plus. So that is about 5% above consensus. I guess my first question is really what is kind of driving that? Or where you see the kind of delta versus the consensus on that. Then secondly, if that is correct, then I guess that kind of points more to a RoTE of, I guess, closer to 16% versus the greater than 14% target and the kind of 15% that consensus has got.

Speaker #5: Hi. Thanks guys. So I just circling back to some of the previous comments. And the implied kind of guidance. So I guess just basically, on the back of the cost guide or the implied for 28, so we talked about modest cost growth.

Speaker #5: And then secondly, if that is correct, then I guess that kind of points more to a ROTE of, I guess, closer to 16% versus the greater than 14 target and the kind of 15 that consensus has got.

Speaker #5: And still sticking to the low 50s cost income ratio. So when I'm doing that, I'm kind of getting to revenue expectation of or guide of around 36 billion plus.

Speaker #5: So just basically curious what your thoughts are there and if that is consistent or and essentially you do expect to materially beat your ROTE guidance.

Speaker #5: So I mean, that's about 5% above consensus. So I guess my first question is really like, what's kind of driving that or where you see the kind of delta versus the consensus on that?

Speaker #5: Or am I missing something there? Thank you.

Speaker #4: Okay. Amit, let me take that. So I'm just going to I'm not going to comment on consensus numbers for 2028. I'll just take you back to the guidance that we gave you at the beginning of the year, which remains intact.

Speaker #5: And then secondly, if that is correct, then I guess that kind of points more to a ROTE of, I guess, closer to 16% versus the greater than 14 target and the kind of 15 that consensus has got.

Speaker #4: Which is between 25 to 28, we expect a greater than 5% revenue CAGR. Between those years. We expect the cost income ratio to be in the low 40s.

Amit Goel: So just basically curious what your thoughts are there and if that is consistent, or, and essentially you do expect to materially beat your RoTE guidance, or am I missing something there? Thank you.

Amit Goel: So just basically curious what your thoughts are there and if that is consistent, or, and essentially you do expect to materially beat your RoTE guidance, or am I missing something there? Thank you.

Speaker #5: So just basically curious what your thoughts are there and if that is consistent or and essentially you do expect to materially beat your ROTE guidance, or am I missing something there?

Speaker #4: And we've given you some guidance around absolutes and that we expect modest growth. And then the final point is that the ROTE guidance is greater than 14%.

Speaker #5: Thank you.

[CFO] (Barclays): Okay, Amit, let me take that. I am not going to comment on consensus numbers for 2028. I will just take you back to the guidance that we gave you at the beginning of the year, which remains intact, which is between 2025 to 2028, we expect a greater than 5% revenue CAGR between those years. We expect the cost income ratio to be in the low 40s, and we have given you some guidance around absolutes and that we expect modest growth. Then, the final point is that the RoTE guidance is greater than 14%. Beyond that, I do not think we are in a position to sort of guide further. But hopefully you can see from the momentum in the business and the kind of confidence that we are putting around our cost plans and intentions, that we are very focused on meeting those points of guidance. Thank you.

Anna Cross: Okay, Amit, let me take that. I am not going to comment on consensus numbers for 2028. I will just take you back to the guidance that we gave you at the beginning of the year, which remains intact, which is between 2025 to 2028, we expect a greater than 5% revenue CAGR between those years. We expect the cost income ratio to be in the low 40s, and we have given you some guidance around absolutes and that we expect modest growth.

Speaker #4: Okay. Amit, let me take that. So I'm just going to I'm not going to comment on consensus numbers for 2028. I'll just take you back to the guidance that we gave you at the beginning of the year, which remains intact.

Speaker #4: Beyond that, I don't think we're in a position to sort of to guide further. But hopefully you can see from the momentum in the business and the kind of confidence that we're putting around our cost plans and intentions that we are very focused on meeting those points of guidance.

Speaker #4: Which is between 25 to 28, we expect a greater than 5% revenue CAGR. Between those years. We expect the cost income ratio to be in the low 40s.

Speaker #4: And we've given you some guidance around absolutes and that we expect modest growth. And then the final point is that the ROTE guidance is greater than 14%.

Speaker #4: Thank you. Can I have the next question, please?

Speaker #6: Our next question comes from Edward Firth of KBW. Your line is now open. Please go ahead.

Anna Cross: Then, the final point is that the RoTE guidance is greater than 14%. Beyond that, I do not think we are in a position to sort of guide further. But hopefully you can see from the momentum in the business and the kind of confidence that we are putting around our cost plans and intentions, that we are very focused on meeting those points of guidance. Thank you.

Speaker #3: Yeah. Thanks so much. Good morning, everybody. Yeah, I just have two questions. One was on credit. I noticed that your stage three coverage is down quite a bit.

Speaker #4: Beyond that, I don't think we're in a position to sort of guide further. But hopefully, you can see from the momentum in the business and the kind of confidence that we're putting around our cost plans and intentions that we are very focused on meeting those points of guidance.

Speaker #3: And it seems to be driven by rest of world corporate loans where non-performing loans are up quite a lot in the quarter. I wonder if you could tell us something about what are you seeing there?

Speaker #3: Is that a specific one-off or is that like a trend? And it's interesting you're not taking any additional provisions against that. So I just wondered why that might be or what might the drivers be of that.

Speaker #4: Thank you. Can I have the next question, please?

[CFO] (Barclays): Can I have the next question, please?

Anna Cross: Can I have the next question, please?

Speaker #3: So that's my first question. And the second question is a broader question, I guess, I think. I probably asked a derivative of this more than once before, but I guess it's as personal now as ever.

Operator: Our next question comes from Edward Firth of KBW. Your line is now open. Please go ahead.

Operator: Our next question comes from Edward Firth of KBW. Your line is now open. Please go ahead.

Speaker #6: Our next question comes from Edward Firth of KBW. Your line is now open. Please go ahead.

Edward Firth: Yeah. Thanks very much. Good morning, everybody. I just have two questions. One was on credit. I noticed that your stage 3 coverage is down quite a bit, and it seems to be driven by rest of world corporate loans, where non-performing loans are up quite a lot in the quarter. I wonder if you could tell us something about what you are seeing there. Is that a specific one-off or is that like a trend? It is interesting you are not taking any additional provisions against that, so I just wondered why that might be or what might the drivers be of that. That is my first question. The second question is a broader question, I guess, for Bank, which I probably asked a derivative of this more than once before, but I guess it is as pertinent now as ever. Rather as Jason said, you are delivering a lot.

Edward Firth: Yeah. Thanks very much. Good morning, everybody. I just have two questions. One was on credit. I noticed that your stage 3 coverage is down quite a bit, and it seems to be driven by rest of world corporate loans, where non-performing loans are up quite a lot in the quarter. I wonder if you could tell us something about what you are seeing there. Is that a specific one-off or is that like a trend? It is interesting you are not taking any additional provisions against that, so I just wondered why that might be or what might the drivers be of that. That is my first question.

Speaker #2: Yeah. Thanks so much. Good morning, everybody. Yeah, I just have two questions. One was on credit. I noticed that your stage three coverage is down quite a bit.

Speaker #3: Rather than Jason said, you're delivering a lot. You're delivering arguably ahead of the plan in a number of areas. But you're still the cheapest bank in Europe.

Speaker #2: And it seems to be driven by rest of world corporate loans, where non-performing loans are up quite a lot in the quarter. I wondered if you could tell us something about what are you seeing there?

Speaker #3: And probably the cheap certainly have a major size. And I'm just trying to work out, is that something that burns internally? Is that something that you feel affronted by?

Speaker #2: Is that a specific one-off, or is that like a trend? And it's interesting you're not taking any additional provisions against that. So I just wondered why that might be or what might the drivers be of that.

Speaker #3: And if it is, what can you do about it? Because clearly delivering on your current plan and delivering on your last plan is not going to make any difference.

Speaker #2: So that's my first question. And the second question is a broader question, I guess, of NCAP, which I probably asked a derivative of this more than once before.

Edward Firth: The second question is a broader question, I guess, for Bank, which I probably asked a derivative of this more than once before, but I guess it is as pertinent now as ever. Rather as Jason said, you are delivering a lot.

Speaker #3: You can see that the shed has been the rating relatively is moving in line. So should we expect to come for full years, but things are using you can do can actually change.

Speaker #2: But I guess it's as personal now as ever. Rather than Jason said, you're delivering a lot. You're delivering arguably ahead of the plan in the number of areas.

Edward Firth: You are delivering arguably ahead of the plan in a number of areas, but you are still the cheapest bank in Europe and probably the cheapest, certainly of a major size. I am just trying to work out, is that something that burns internally? Is that something that you feel affronted by? If it is, what can you do about it? Because clearly delivering on your current plan and delivering on your last plan is not going to make any difference. We can see that the share and the rating relatively is really benign. So should we expect, as you come to the full year, that things that you think you can do can actually change it is not something that just kind of-

Edward Firth: You are delivering arguably ahead of the plan in a number of areas, but you are still the cheapest bank in Europe and probably the cheapest, certainly of a major size. I am just trying to work out, is that something that burns internally? Is that something that you feel affronted by? If it is, what can you do about it? Because clearly delivering on your current plan and delivering on your last plan is not going to make any difference. We can see that the share and the rating relatively is really benign. So should we expect, as you come to the full year, that things that you think you can do can actually change it is not something that just kind of-

Speaker #2: But you're still the cheapest bank in Europe and probably the cheapest certainly of a major size. And I'm just trying to work out, is that something that burns internally?

Speaker #3: It's not something that just kind of is my question. And then just so it's related to that, is there any reason why somebody shouldn't bid for ROTE?

Speaker #3: There's nothing in Barclays that is stops that happening. So that's my derivative of that question. Thanks so much.

Speaker #2: Is that something that you feel affronted by? And if it is, what can you do about it? Because clearly delivering on your current plan and delivering on your last plan is not going to make any difference.

Speaker #4: So Ed, please could you repeat the last question, your line is breaking up rather.

Speaker #2: You can see that the shares have been the rating relatively is moving in line. So should we expect it to come for full years, but things are using you can do that can actually change?

Speaker #3: Oh, there's something anybody could be disappointed. Just that part, I didn't understand that.

Speaker #7: Sorry. Can you hear better now? Sorry.

Speaker #4: Yes.

Speaker #3: Yes.

Speaker #7: Okay. So my second question was, delivering very well on the strategy, arguably ahead in places. But you're still the cheapest bank in Europe and probably the world.

Speaker #2: It's not something that just here, I guess. It's my question. And then just so it's related to that, is there any reason why somebody shouldn't bid for ROTE?

[CFO] (Barclays): Okay

Anna Cross: Okay

Edward Firth: I guess is my question. Then just related to that, is there any reason why somebody should not bid for our business? There is nothing in Barclays that stops that happening, is there? So that is my sort of derivative bank question. Thanks so much.

Edward Firth: I guess is my question. Then just related to that, is there any reason why somebody should not bid for our business? There is nothing in Barclays that stops that happening, is there? So that is my sort of derivative bank question. Thanks so much.

Speaker #2: There's nothing in Berkeley that is stops that happening. So that's my sort of derivative of that question. Thanks so much.

Speaker #7: And I'm just trying to work out, is that something that sort of burns internally? Because after 10 years, time is not going to heal that, I don't think.

[CFO] (Barclays): Ed, please could you repeat the last question? Your line is breaking up rather.

Speaker #4: So Ed, please could you repeat the last question, your line is breaking up rather.

Anna Cross: Ed, please could you repeat the last question? Your line is breaking up rather.

[CEO] (Barclays): The part where, is there something anybody could be disappointed, just that part. I did not understand that.

C. S. Venkatakrishnan: The part where, is there something anybody could be disappointed, just that part. I did not understand that.

Speaker #7: So should we expect, as you come to the full year, are there things you can do to try and address that? Is that something you want to address?

Speaker #7: Because it's been something anybody could be disappointed. Just that part, I didn't understand that.

Edward Firth: Sorry. Can you hear better now? Sorry.

Edward Firth: Sorry. Can you hear better now? Sorry.

Speaker #2: Sorry. Can you hear better now? Sorry.

[CFO] (Barclays): Yes.

Anna Cross: Yes.

[CEO] (Barclays): Yes.

C. S. Venkatakrishnan: Yes.

Speaker #7: And I guess related to that, is there any intrinsic reason why a bank shouldn't bid for Barclays? Is there anything in there that stops people taking advantage of that cheap price?

Speaker #4: Yes.

Speaker #7: Yes.

Edward Firth: My second question was, delivering very well on the strategy, arguably ahead in places, but you are still the cheapest Bank in Europe and probably the world. I am just trying to work out, is that something that sort of burns internally? Because after 10 years, time is not going to heal that, I do not think. Should we expect as you come to the full year, are there things you can do to try and address that? Is that something you want to address? I guess related to that, is there any intrinsic reason why a Bank should not bid for Barclays? Is there anything in there that stops people taking advantage of that cheap price? Thanks very much.

Speaker #2: Okay. So my second question was, delivering very well on the strategy, arguably ahead in places. But you're still the cheapest bank in Europe and probably the world.

Edward Firth: My second question was, delivering very well on the strategy, arguably ahead in places, but you are still the cheapest Bank in Europe and probably the world. I am just trying to work out, is that something that sort of burns internally? Because after 10 years, time is not going to heal that, I do not think. Should we expect as you come to the full year, are there things you can do to try and address that? Is that something you want to address? I guess related to that, is there any intrinsic reason why a Bank should not bid for Barclays? Is there anything in there that stops people taking advantage of that cheap price? Thanks very much.

Speaker #7: Thanks very much.

Speaker #4: Okay. So I will start and then I'm going to hand to Venkat for that lengthy for that lengthy question. So Ed, the same I looked at the same piece of disclosure, actually.

Speaker #2: And I'm just trying to work out, is that something that sort of burns internally? Because after 10 years, time is not going to heal that, I don't think.

Speaker #2: So should we expect, as you come to the full year, are there things you can do to try and address that? Is that something you want to address?

Speaker #4: And it's quite difficult to read because actually what the table shows is the full year picture at the bottom. And then the Q3 position at the top.

Speaker #2: And I guess related to that, is there any intrinsic reason why a bank shouldn't bid for Berkeley? Is there anything in there that stops people taking advantage of that cheap price?

Speaker #4: And that movement in stage three is actually MFS, so it's from the full year to now. It's not actually a Q2 to Q3 movement, but appreciate that the disclosure is doesn't necessarily make that intuitively clear.

Speaker #2: Thanks very much.

[CFO] (Barclays): Okay. I will start, and then I am going to hand to Venkat for that lengthy question. Ed, I looked at the same piece of disclosure, actually. It is quite difficult to read because actually what the table shows is the full year picture at the bottom and then the Q3 position at the top. That movement in stage 3 is actually MFS. It is from the full year to now. It is not actually a Q2 to Q3 movement, but appreciate that the disclosure does not necessarily make that intuitively clear. There is nothing beyond that I would call out to you. It is just MFS. Okay, so I am going to. Yeah.

Anna Cross: Okay. I will start, and then I am going to hand to Venkat for that lengthy question. Ed, I looked at the same piece of disclosure, actually. It is quite difficult to read because actually what the table shows is the full year picture at the bottom and then the Q3 position at the top. That movement in stage 3 is actually MFS. It is from the full year to now. It is not actually a Q2 to Q3 movement, but appreciate that the disclosure does not necessarily make that intuitively clear. There is nothing beyond that I would call out to you. It is just MFS. Okay, so I am going to. Yeah.

Speaker #4: Okay. So I will start, and then I'm going to hand to NCAP for that lengthy question. So Ed, the same I looked at the same piece of disclosure, actually.

Speaker #4: So there is nothing beyond that that I would call out to you. It's just MFS. Okay. So I'm going to yeah.

Speaker #4: And it's quite difficult to read because actually what the table shows is the full year picture at the bottom. And then the Q3 position at the top.

Speaker #3: Very good. Thank you. You've given me the toughest question of the day so far. Look, first of all, thank you for what you're saying about the fundamental performance of the bank, which of course I agree with and I share.

Speaker #4: And that movement in stage three is actually MFS. So it's from the full year to now. It's not actually a Q2 to Q3 movement, but appreciate that the disclosure is doesn't necessarily make that intuitively clear.

Speaker #3: I think we're operating well. And I'm very gratified by it. I would not be human if I said that I was more gratified with the way the stock market was valuing us a few months ago than I am today.

Speaker #4: So there is nothing beyond that. That I would call out to you. It's just MFS. Okay. So I'm going to yeah.

Speaker #3: There are lots of factors that go into this. My at a simple level, we control a lot of the inputs. And those are the inputs which we manage.

[CEO] (Barclays): Right. Thank you. You have given me the toughest question of the day so far. Look, first of all, thank you for what you are saying about the fundamental performance of the Bank, which of course I agree with and I share. I think we are operating well and I am very gratified by it. I would not be human if I said that I was more gratified with the way the stock market was valuing us a few months ago than I am today. There are lots of factors that go into this. At a simple level, we control a lot of the inputs, and those are the inputs which we manage, and I hope we get the right output. I think our strategy is now 3 years old, approximately. For the first 2 and a half years, the outputs, I think, recognize the inputs.

C. S. Venkatakrishnan: Right. Thank you. You have given me the toughest question of the day so far. Look, first of all, thank you for what you are saying about the fundamental performance of the Bank, which of course I agree with and I share. I think we are operating well and I am very gratified by it. I would not be human if I said that I was more gratified with the way the stock market was valuing us a few months ago than I am today. There are lots of factors that go into this. At a simple level, we control a lot of the inputs, and those are the inputs which we manage, and I hope we get the right output. I think our strategy is now 3 years old, approximately. For the first 2 and a half years, the outputs, I think, recognize the inputs.

Speaker #7: Right, Ed. Thank you. You've given me the toughest question of the day so far. Look, first of all, thank you for what you're saying about the fundamental performance of the bank.

Speaker #3: And I hope we get the right output. I think our strategy is now three years old, approximately. And for the first two and a half years, the outputs, I think, recognize the inputs.

Speaker #7: Which, of course, I agree with and I share. I think we're operating well. And I'm very gratified by it. I've ve not be human, if I said, that I was more gratified with the way the stock market was valuing us a few months ago than I am today.

Speaker #3: And the inputs are as you say, earnings are growing up, etc., etc. I personally have the greatest conviction in our ability to achieve our targets.

Speaker #3: Our will to execute disciplined in a disciplined and energetic manner. And having studied mathematics for a lot of my life, in the fundamental value that will come out of that, in the net present value of an ownership stake in Barclays.

Speaker #7: There are lots of factors that go into this. My at a simple level, we control a lot of the inputs. And those are the inputs which we manage.

Speaker #7: And I hope we get the right output. I think our strategy is now three years old. Approximately. And for the first two and a half years, the outputs, I think, recognize the inputs.

Speaker #3: And so if I look at it that way, I do think that the fundamentals and reason will prevail. And they have for a long, long time.

[CEO] (Barclays): The inputs are, as you say, earnings are going up, et cetera. I personally have the greatest conviction in our ability to achieve our targets, our will to execute discipline in a disciplined and energetic manner. Having studied mathematics for a lot of my life in the fundamental value that will come out of that in the net present value of an ownership stake in Barclays. If I look at it that way, I do think that the fundamentals and reason will prevail. They have for a long time, and I do not think I should let 6 months affect us. There is a lot going on in the world.

Speaker #7: And the inputs are as you say, earnings are growing up, etc., etc. I personally have the greatest conviction in our ability to achieve our targets.

C. S. Venkatakrishnan: The inputs are, as you say, earnings are going up, et cetera. I personally have the greatest conviction in our ability to achieve our targets, our will to execute discipline in a disciplined and energetic manner. Having studied mathematics for a lot of my life in the fundamental value that will come out of that in the net present value of an ownership stake in Barclays. If I look at it that way, I do think that the fundamentals and reason will prevail. They have for a long time, and I do not think I should let 6 months affect us. There is a lot going on in the world.

Speaker #3: And I don't think I should let six months affect us. There's a lot going on in the world. But I think when I look at the stock and I look at what should affect stock price and something I've spent a good part of my life studying, it's important for management teams to control the inputs, to run a company well, to produce the returns for the shareholders, and then the shareholders will eventually, I think, value it appropriately.

Speaker #7: Our will to execute disciplined in a disciplined and energetic manner. And having studied mathematics for a lot of my life, in the fundamental value that will come out of that, in the net present value of an ownership stake in Berkeley.

Speaker #4: Okay. Thank you. Thank you, Ed. Can we have the next question, please?

Speaker #7: And so if I look at it that way, I do think that the fundamentals and reason will prevail. And they have for a long, long time.

Speaker #7: Our next question comes from Benjamin Toms of RBC Capital Markets. Your line is now open. Please go ahead.

Speaker #7: And I don't think I should let six months affect us. There's a lot going on in the world. But I think when I look at the stock and I look at what should affect stock price and something I've spent a good part of my life studying, it's important for management teams to control the inputs, to run a company well, to produce the returns for the shareholders, and then the shareholders will eventually, I think, value it appropriately.

Speaker #6: Morning both. Thanks for taking my questions. I'm sorry if I've missed this already, but how much did your structural HNO shield grow by in October?

[CEO] (Barclays): But I think when I look at the stock and I look at what should affect stock prices, and something I have spent a good part of my life studying, it is important for management teams to control the inputs, to run a company well, to produce the returns for the shareholders, and then the shareholders will eventually, I think, value it appropriately.

C. S. Venkatakrishnan: But I think when I look at the stock and I look at what should affect stock prices, and something I have spent a good part of my life studying, it is important for management teams to control the inputs, to run a company well, to produce the returns for the shareholders, and then the shareholders will eventually, I think, value it appropriately.

Speaker #6: I think you've called out. And I think when we spoke in Q3, the expectation was that the notional would remain flattish to the year-end.

Speaker #6: And current accounts have been flat in Q3. So I'm just wondering what assumptions have changed. I know Dan departed the bank in the quarter, so I'm wondering whether you have a new head of treasury who is looking at things a bit differently in respect of operating with a strict caterpillar in an elevated rate environment.

[CFO] (Barclays): Okay. Thank you. Thank you, Ed. Can we have the next question, please?

Anna Cross: Okay. Thank you. Thank you, Ed. Can we have the next question, please?

Speaker #4: Okay. Thank you. Thank you, Ed. Can we have the next question, please?

Operator: Our next question comes from Benjamin Toms of RBC Capital Markets. Your line is now open. Please go ahead.

Operator: Our next question comes from Benjamin Toms of RBC Capital Markets. Your line is now open. Please go ahead.

Speaker #6: And then secondly, given the swap rates are elevated, can you give us some more color on what you're seeing at the front end on the mortgage pipeline?

Speaker #2: Our next question comes from Benjamin Toms of RBC Capital Markets. Your line is now open. Please go ahead.

Speaker #6: And banks think about spread holistically. Do you think you can grow mortgage spreads in the current higher rate environment to partially offset lower deposit spreads if competition remains intense?

Benjamin Toms: Morning, guys. Thanks for taking my questions. I am sorry if I have missed this already, but how much did your structural hedge notional grow by in October? I think you called out. I think when we spoke in Q3, the expectation was that the notional would remain flattish to the year end, and current accounts have been flat in Q3. I am just wondering what assumptions have changed. I know Dan is part of the Bank in the quarter, so I am wondering whether you have a new Head of Treasury who is looking at things a bit differently in respect of operating with a strict caterpillar in an elevated rate environment. Secondly, given the swap rates are elevated, can you give us some more color on what you are seeing at the front end on the mortgage pipeline? Banks think about spreads holistically.

Benjamin Toms: Morning, guys. Thanks for taking my questions. I am sorry if I have missed this already, but how much did your structural hedge notional grow by in October? I think you called out. I think when we spoke in Q3, the expectation was that the notional would remain flattish to the year end, and current accounts have been flat in Q3. I am just wondering what assumptions have changed. I know Dan is part of the Bank in the quarter, so I am wondering whether you have a new Head of Treasury who is looking at things a bit differently in respect of operating with a strict caterpillar in an elevated rate environment. Secondly, given the swap rates are elevated, can you give us some more color on what you are seeing at the front end on the mortgage pipeline? Banks think about spreads holistically.

Speaker #6: Joined by thanks for taking my questions. I'm sorry if I've missed this already, but how much did your structural hedge notional grow by in October?

Speaker #6: I think you called out. And I think when we spoke in Q3, the expectation was that the notional would remain flattish to the year-end.

Speaker #6: Thank you.

Speaker #4: Okay. Ben, we didn't call it out. You can see it's been broadly stable at the quarter end. To the extent that we change the hedge notional, that means that we have more confidence in the stability of interest insensitive balances.

Speaker #6: And current accounts have been flat in Q3. So I'm just wondering what assumptions have changed. I know Dan departed the bank in the quarter, so I'm wondering whether you have a new head of treasury who is looking at things a bit differently in respect of operating with a strict caterpillar in an elevated rate environment.

Speaker #4: The caterpillar remains strict, is the way I would describe it.

Speaker #6: And then secondly, given the swap rates are elevated, can you give us some more color on what you're seeing at the front end on the mortgage pipeline?

Speaker #3: Oh, yeah.

Speaker #4: But to your second question, on swap rates and mortgages, look, when swap rates move around, we can see price volatility and mortgages. We certainly see that, both through the quarter and continuing.

Speaker #6: And banks think about spreads holistically. Do you think you can grow mortgage spreads in the current higher rate environment to partially offset lower deposit spreads if competition remains intense?

Benjamin Toms: Do you think you can grow mortgage spreads in the current higher rate environment to partially offset lower deposit spreads if competition remains intense? Thank you.

Benjamin Toms: Do you think you can grow mortgage spreads in the current higher rate environment to partially offset lower deposit spreads if competition remains intense? Thank you.

Speaker #6: Thank you.

[CFO] (Barclays): Okay. Ben, we did not call it out. You can see it has been broadly stable at the quarter end. To the extent that we change the hedge notional, that means that we have more confidence in the stability of interest insensitive balances. The caterpillar remains strict, is the way I would describe it.

Anna Cross: Okay. Ben, we did not call it out. You can see it has been broadly stable at the quarter end. To the extent that we change the hedge notional, that means that we have more confidence in the stability of interest insensitive balances. The caterpillar remains strict, is the way I would describe it.

Speaker #4: Okay. Ben, we didn't call it out. You can see it's been broadly stable at the quarter end. To the extent that. We change the hedge notional, that means that we have more confidence in the stability of interest insensitive balances.

Speaker #4: I think what we are seeing is that the market has swung a little bit towards remortgage certainly in the current environment. So we're seeing good demand there.

Speaker #4: That is good for us because everybody forgets that before we bought Kensington, everybody saw us as a very vanilla remortgage bank. And we have very, very good levels of retention.

Speaker #4: The caterpillar remains strict, is the way I would describe it.

Benjamin Toms: Oh, yeah.

Benjamin Toms: Oh, yeah.

Speaker #7: Oh, yeah.

Speaker #4: Our retention is around 80%. So very pleased with that.

[CFO] (Barclays): But to your second question, on swap rates and mortgages. Look, when swap rates move around, we can see price volatility in mortgages. We have certainly seen that both through the quarter and continuing. I think what we are seeing is that the market has swung a little bit towards remortgage, certainly in the current environment. So we are seeing good demand there. That is good for us because everybody forgets that before we bought Kensington Mortgages, everybody saw us as a very vanilla remortgage Bank. And we have very good levels of retention. Our retention is around 80%, so very pleased with that.

Anna Cross: But to your second question, on swap rates and mortgages. Look, when swap rates move around, we can see price volatility in mortgages. We have certainly seen that both through the quarter and continuing. I think what we are seeing is that the market has swung a little bit towards remortgage, certainly in the current environment. So we are seeing good demand there. That is good for us because everybody forgets that before we bought Kensington Mortgages, everybody saw us as a very vanilla remortgage Bank. And we have very good levels of retention. Our retention is around 80%, so very pleased with that.

Speaker #4: But to your second question, on swap rates and mortgages, look, when swap rates move around, we can see price volatility and mortgages. We certainly seen that, both through the quarter and continuing.

Speaker #3: And can I talk about that part of that is the investments we've made in the technology for remortgaging. So your time went from 45 minutes to get to 15 minutes to get the application reviewed.

Speaker #4: I think what we are seeing is that the market has swung a little bit towards remortgage certainly in the current environment. So we're seeing good demand there.

Speaker #3: These little things go a long way.

Speaker #4: Yeah, absolutely. So I think in terms of mortgage spreads, there's going to be a little bit of a mixed thing here happening, I would call out.

Speaker #4: That is good for us because everybody forgets that before we bought Kensington, everybody saw us as a very vanilla remortgage bank. And we have very, very good levels of retention.

Speaker #4: Your question's a good one, though. And rather than talking about mortgage spreads specifically, if I refer back to the answer I gave before, funding costs in retail banking have gone up.

Speaker #4: Our retention is around 80%. So very pleased with that.

[CEO] (Barclays): And can I talk about that? Part of that is the investments we have made in the technology for remortgaging. So your time went from 45 minutes to get to 15 minutes to get the application approved.

C. S. Venkatakrishnan: And can I talk about that? Part of that is the investments we have made in the technology for remortgaging. So your time went from 45 minutes to get to 15 minutes to get the application approved.

Speaker #4: That is certainly true. Just because of that growth in lending, the reduction of TFSME and the other participants that I called out. And you're seeing that in fixed-term deposits.

Speaker #7: And can I talk about that part of that is the investments we've made in the technology, or remortgaging. So your time went from 45 minutes to get to 15 minutes to get the application removed.

Speaker #4: That's going to have to come out somewhere. But it's not something that I would call out right now. Okay. Perhaps we could go to the next question, please.

[CFO] (Barclays): Yes.

Anna Cross: Yes.

[CEO] (Barclays): These little things go a long way.

C. S. Venkatakrishnan: These little things go a long way.

Speaker #7: These little things go a long way.

[CFO] (Barclays): Yeah, absolutely. I think in terms of mortgage spreads, there is going to be a little bit of a mix thing here happening, I would call out. Your question is a good one, though. Rather than talking about mortgage spreads specifically, if I refer back to the answer I gave before, funding costs in retail banking have gone up. That is certainly true. Just because that growth in lending, the reduction of TFSME and the other participants that I called out, and you are seeing that in fixed term deposits, that is going to have to come out somewhere. But it is not something that I would call out right now. Okay. Perhaps we could go to the next question, please.

Anna Cross: Yeah, absolutely. I think in terms of mortgage spreads, there is going to be a little bit of a mix thing here happening, I would call out. Your question is a good one, though. Rather than talking about mortgage spreads specifically, if I refer back to the answer I gave before, funding costs in retail banking have gone up. That is certainly true. Just because that growth in lending, the reduction of TFSME and the other participants that I called out, and you are seeing that in fixed term deposits, that is going to have to come out somewhere. But it is not something that I would call out right now. Okay. Perhaps we could go to the next question, please.

Speaker #4: Yeah, absolutely. So I think in terms of mortgage spreads, there's going to be a little bit of a mixed thing here happening, I would call out.

Speaker #4: Your questions are good one though. And rather than talking about mortgage spreads specifically, if I refer back to the answer I gave before, funding costs in retail banking have gone up.

Speaker #7: Our next question comes from Alberto Artoni of Intesa Sanpaolo. Your line is now open. Please go ahead.

Speaker #3: Good morning. Thank you for taking my questions. You have two on the investment banking. On six, sorry for coming back on this one. You mentioned the lower level activity of clients.

Speaker #4: That is certainly true. Just because of that growth in lending, the reduction of TFSME and the other participants that I called out. And you're seeing that in the fixed term deposits.

Speaker #3: I was wondering if also you add some own proprietary trading that adds some kind of impact or the market making activity sometimes that the definition is a bit blurred.

Speaker #4: That's going to have to come out somewhere. But it's not something that I would call out right now. Okay. Perhaps we could go to the next question, please.

Speaker #3: And so perhaps you have some position in your books that given the fact that the rates and the spreads moved the way they did, may have had an impact on your performance this quarter.

Operator: Our next question comes from Alberto Artoni of Intesa Sanpaolo. Your line is now open. Please go ahead.

Operator: Our next question comes from Alberto Artoni of Intesa Sanpaolo. Your line is now open. Please go ahead.

Speaker #2: Our next question comes from Alberto Artoni of Intesa Sanpaolo. Your line is now open. Please go ahead.

Speaker #3: And if that's the case, could you please just give us a bit of a color around that? And secondly, on financing, on the market activity, I see, of course, that very good part of your equity story as you're increasing that component, which tends to be more stable.

Alberto Artoni: Good morning. Thank you for taking my questions. I have two on the investment banking. On FICC, sorry for coming back on this one. You mentioned the lower level activity of clients. I was wondering if also you had some own proprietary trading that adds some kind of impact or the market making activity, sometimes the definition is a bit blurred, and so perhaps you had some position in your books that given the fact that the rates and the spreads moved the way they did, may have had an impact on your performance this quarter. If that is the case, could you please just give us a bit of a color around that?

Alberto Artoni: Good morning. Thank you for taking my questions. I have two on the investment banking. On FICC, sorry for coming back on this one. You mentioned the lower level activity of clients. I was wondering if also you had some own proprietary trading that adds some kind of impact or the market making activity, sometimes the definition is a bit blurred, and so perhaps you had some position in your books that given the fact that the rates and the spreads moved the way they did, may have had an impact on your performance this quarter. If that is the case, could you please just give us a bit of a color around that?

Speaker #5: Good morning. Thank you for taking my questions. You have two on the investment banking. On FIC, sorry for coming back on this one. You mentioned the lower level activity of clients.

Speaker #5: I was wondering if also you add some own property trading that adds some kind of impact or the market making activity sometimes the definition is a bit blurred.

Speaker #3: And so that's the first very much a good development. And I was wondering if you see room for continuing increasing in that part of the business, also perhaps gaining market shares at the expense of the other banks or you feel that you've now reached the market share you're comfortable with and you'll be difficult gaining market share going forward.

Speaker #5: And so perhaps you had some position in your books that given the fact that the rates and the spreads moved the way they did, may have had an impact on your performance this quarter.

Speaker #5: And if that's the case, could you please just give us a bit of a color around that? And secondly, on financing, on the market activity, I see, of course, that very good part of your equity story is you're increasing that component, which tends to be more stable.

Alberto Artoni: Secondly, on financing on the market activity, I see, of course, that very good part of your equity story as you are increasing that component, which tends to be more stable, and so that is very much a good development. I was wondering if you see room for continuing increasing in that part of the business, also perhaps gaining market shares at the expense of the other banks, or you feel that you have now reached the market share you are comfortable with and it will be difficult gaining market share going forward. Also if there are any specific risks that you see in financing. Thank you.

Speaker #3: And also, if there are any specific risks that you see in financing, thank you.

Alberto Artoni: Secondly, on financing on the market activity, I see, of course, that very good part of your equity story as you are increasing that component, which tends to be more stable, and so that is very much a good development. I was wondering if you see room for continuing increasing in that part of the business, also perhaps gaining market shares at the expense of the other banks, or you feel that you have now reached the market share you are comfortable with and it will be difficult gaining market share going forward. Also if there are any specific risks that you see in financing. Thank you.

Speaker #7: Yeah. Thank you, Alberto. First of all, on fixed income. There is nothing to call out. This is a client or a driven business with risk management limits.

Speaker #5: And so that's the first very much a good development. And I was wondering if you see room for continuing increasing in that part of the business, also perhaps gaining market shares at the expense of the other banks or you feel that you've now reached the market share you're comfortable with and it will be difficult gaining market share going forward.

Speaker #7: You can see our bar numbers. You can we run all the desks very prudently, aim to do so. And so there's really nothing to call out here.

Speaker #7: Second, on financing, one of the things we've said here is that 98 of our top 100 clients have financing relationships with us. And I've also said that what we aim to do is to do this with our very, very biggest clients and to do more of it with them.

Speaker #5: And also, if there are any specific risks that you see in financing, thank you.

[CEO] (Barclays): Yeah. Thank you, Alberto. First of all, on FICC, on fixed income, there is nothing to call out. This is a client-driven business with risk management limits. You can see our VaR numbers. We run all the desks very prudently, aim to do so, and there is really nothing to call out here. Second on financing. One of the things we have said here is that 98 of our top 100 clients have financing relationships with us. I have also said that what we aim to do is to do this with our very biggest clients and to do more of it with them. The risks in this business are always client selection. There are names of prominent funds every now and then. There was one in this last quarter, which can cause anxiety for banks if they deal with them.

C. S. Venkatakrishnan: Yeah. Thank you, Alberto. First of all, on FICC, on fixed income, there is nothing to call out. This is a client-driven business with risk management limits. You can see our VaR numbers. We run all the desks very prudently, aim to do so, and there is really nothing to call out here. Second on financing. One of the things we have said here is that 98 of our top 100 clients have financing relationships with us. I have also said that what we aim to do is to do this with our very biggest clients and to do more of it with them. The risks in this business are always client selection. There are names of prominent funds every now and then. There was one in this last quarter, which can cause anxiety for banks if they deal with them.

Speaker #7: Yeah. Thank you, Alberto. First of all, on FIC, on fixed income. There is nothing to call out. This is a client or a driven business with risk management limits.

Speaker #7: The risks in this business are always client selection, there are names of prominent funds every now and then. There was one in this last quarter.

Speaker #7: You can see our bar numbers. You can we run all the desks very prudently, aim to do so. And so there's really nothing to call out here.

Speaker #7: Which can cause anxiety for banks if they deal with them. I'm happy to say we didn't deal with the one that was mentioned. But client selection is important.

Speaker #7: Second, on financing, one of the things we've said here is that 98 of our top 100 clients have financing relationships with us. And I've also said that what we aim to do is to do this with our very, very biggest clients, and to do more of it with them.

Speaker #7: And then being watchful of volatility in the markets is important. But having said all of that, as I said, we focus on the larger clients, with whom we have the deeper relationships.

Speaker #7: And I would look to gain share by doing more with them, rather than expanding the universe of clients beyond what I think is prudent.

Speaker #7: The risks in this business are always client selection, there are names of prominent funds every now and then. There was one in this last quarter.

Speaker #4: Okay. Thank you very much for that. May we have the next question, please, which I believe is the last question. Thank you.

Speaker #7: Which can cause anxiety for banks if they deal with them. I'm happy to say we didn't deal with the one that was mentioned. But client selection is important.

Speaker #7: Our final question for today comes from Nicholas Payen of Capital Share Pro. Your line is now open. Please go ahead.

[CEO] (Barclays): I am happy to say we did not deal with the one that was mentioned, but client selection is important, and then being watchful of volatility in the market is important. But having said all of that, as I said, we focus on the larger clients with whom we have the deeper relationships, and I would look to gain share by doing more with them rather than expanding the universe of clients beyond what I think is prudent.

C. S. Venkatakrishnan: I am happy to say we did not deal with the one that was mentioned, but client selection is important, and then being watchful of volatility in the market is important. But having said all of that, as I said, we focus on the larger clients with whom we have the deeper relationships, and I would look to gain share by doing more with them rather than expanding the universe of clients beyond what I think is prudent.

Speaker #6: Yes. Morning. Thanks for taking my question. Just one on financing, one on the UK corporate lending growth, please. On financing, coming back on that topic, what constraints are the growth in prime financing versus fixed income financing?

Speaker #7: And then being watchful of volatility in the markets is important. But having said all of that, as I said, we focus on the larger clients, with whom we have the deeper relationships.

Speaker #7: And I would look to gain share by doing more with them, rather than expanding the universe of clients beyond what I think is prudent.

Speaker #6: And between those two, which offered the best return after funding, liquidity, and balancing cost, please? And then on the UK corporate lending growth, as you deploy more and more deposits into lending, what do you see as the bottleneck here?

[CFO] (Barclays): Okay. Thank you very much for that. May we have the next question, please, which I believe is the last question. Thank you.

Anna Cross: Okay. Thank you very much for that. May we have the next question, please, which I believe is the last question. Thank you.

Speaker #4: Okay. Thank you very much for that. May we have the next question, please, which I believe is the last question. Thank you.

Speaker #6: Is it demand from corporates? Is it pricing? Is it credit appetite or even your platform? Thank you very much.

Operator: Our final question for today comes from Nicolas Payen of Kepler Cheuvreux. Your line is now open. Please go ahead.

Operator: Our final question for today comes from Nicolas Payen of Kepler Cheuvreux. Your line is now open. Please go ahead.

Speaker #2: Our final question for today comes from Nicholas Payen of Capital Chevron. Your line is now open. Please go ahead.

Speaker #4: Okay. Why don't I start? I'm sure Venkat will add. So on financing growth, I think the simple point here is that fixed income financing, Venkat often calls Barclays, the house that fixed income built, we have always had a much stronger market share in fixed income financing than we have in prime.

Nicolas Payen: Yes, morning. Thanks for taking my question. Just one on financing, one on the UK corporate lending growth, please. On financing, coming back on that topic, what constraints are the growth in prime financing versus fixed income financing? Between those two, which offer the best return after funding, liquidity, and balancing costs, please? On the UK corporate lending growth, as you deploy more and more deposits into lending, what do you see as a bottleneck here? Is it demand from corporate pricing, the credit appetite, or even your platform? Thank you very much.

Nicolas Payen: Yes, morning. Thanks for taking my question. Just one on financing, one on the UK corporate lending growth, please. On financing, coming back on that topic, what constraints are the growth in prime financing versus fixed income financing? Between those two, which offer the best return after funding, liquidity, and balancing costs, please? On the UK corporate lending growth, as you deploy more and more deposits into lending, what do you see as a bottleneck here? Is it demand from corporate pricing, the credit appetite, or even your platform? Thank you very much.

Speaker #6: Yes, morning. Thanks for taking my question. Just one on financing, one on the UK corporate lending growth, please. On financing, coming back on that topic, what constraints are the growth in prime financing versus fixed income financing?

Speaker #6: And between those two, which offered the best return after funding, liquidity, and balancing cost, please? And then on the UK corporate lending growth, as you deploy more and more deposits into lending, what do you see as the bottleneck here?

Speaker #4: What we've been able to do is grow prime alongside fixed income financing. And really leverage clients across both parts of that business, as Venkat said, running it as a single face to the client.

Speaker #6: Is it demand from corporates? Is it pricing? Is it credit appetite, or even your platform? Thank you very much.

Speaker #4: So I think our ranking on prime is still below what it would be in fixed income financing. So that's probably the simple answer, but I'll let him add.

[CFO] (Barclays): Okay. Why don't I start? I am sure Venkat will add. On financing growth, I think the simple point here is that fixed income financing, Venkat often calls Barclays the house that fixed income built. We have always had a much stronger market share in fixed income financing than we have in prime. What we have been able to do is grow prime alongside fixed income financing and really leverage clients across both parts of that business. As Venkat said, running it as a single face to the client. I think our ranking on prime is still below what it would be in fixed income financing. That is probably the simple answer, but I will let him add. On UK corporate lending, the way I think about this is we are the largest Bank for corporate deposits in the UK.

Anna Cross: Okay. Why don't I start? I am sure Venkat will add. On financing growth, I think the simple point here is that fixed income financing, Venkat often calls Barclays the house that fixed income built. We have always had a much stronger market share in fixed income financing than we have in prime. What we have been able to do is grow prime alongside fixed income financing and really leverage clients across both parts of that business. As Venkat said, running it as a single face to the client. I think our ranking on prime is still below what it would be in fixed income financing. That is probably the simple answer, but I will let him add. On UK corporate lending, the way I think about this is we are the largest Bank for corporate deposits in the UK.

Speaker #4: Okay. Why don't I start? I'm sure Venkat will add. So on financing growth, I think the simple point here is that fixed income financing, Venkat often calls Barclays, I hope that fixed income built we have always had a much stronger market share in fixed income financing than we have in prime.

Speaker #4: On UK corporate lending, the way I think about this is we are the largest we are the largest bank for corporate deposits in the UK.

Speaker #4: Now, we make that somewhat difficult to understand because it sits across three different divisions, but we've brought that together for you today. We also have the lowest loan-to-deposit ratio.

Speaker #4: What we've been able to do is grow prime alongside fixed income financing. And really leverage clients across both parts of that business, as Venkat said, running it as a single face to the client.

Speaker #4: That tells you that we have very strong relationships and a real opportunity here to grow across business banking, across international corporate banking, and UKCB.

Speaker #4: So I think our ranking on prime is still below what it would be in fixed income financing. So that's probably the simple answer, but I'll let him add.

Speaker #4: Across all three of those stripes. And so I wouldn't say there's no liquidity constraint here. It's really about growing those relationships and being open to lend to those clients, which we have been.

Speaker #4: On UK corporate lending, the way I think about this is we are the largest we are the largest bank for corporate deposits in the UK.

Speaker #4: And we've built capability. We've now got about 45% of our corporate banking clients on iPortal. That will be 100% by the end of the year.

[CFO] (Barclays): Now, we make that somewhat difficult to understand because it sits across three different divisions, but we have brought that together for you today. We also have the lowest loan-to-deposit ratio. That tells you that we have very strong relationships and a real opportunity here to grow across business banking, across international corporate bank, and UKCB, across all three of those stripes. I would not say there is no liquidity constraint here. It is really about growing those relationships and being open to lend to those clients, which we have been. We have built capability. We have now got about 45% of our corporate banking clients on iPortal. That will be 100% by the end of the year, and that means that they can bring their relationship much more holistically together. The growth that you have seen in our lending is even before that technology really starts to take hold.

Anna Cross: Now, we make that somewhat difficult to understand because it sits across three different divisions, but we have brought that together for you today. We also have the lowest loan-to-deposit ratio. That tells you that we have very strong relationships and a real opportunity here to grow across business banking, across international corporate bank, and UKCB, across all three of those stripes. I would not say there is no liquidity constraint here. It is really about growing those relationships and being open to lend to those clients, which we have been. We have built capability. We have now got about 45% of our corporate banking clients on iPortal. That will be 100% by the end of the year, and that means that they can bring their relationship much more holistically together. The growth that you have seen in our lending is even before that technology really starts to take hold.

Speaker #4: Now, we make that somewhat difficult to understand because it sits across three different divisions, but we brought that together for you today. We also have the lowest loan-to-deposit ratio.

Speaker #4: And that means that they can bring their relationship much more holistically together. So the growth that you've seen in our lending is even before that technology really starts to take hold.

Speaker #4: That tells you that we have very strong relationships and a real opportunity here to grow across business banking, across international corporate banking, and UKCB, across all three of those stripes.

Speaker #4: Venkat, anything you'd want to add on to financing and prime?

Speaker #7: Yeah. Yeah. Just working backwards on the corporate lending. What you've seen over the last couple of three years is we've actually removed bottlenecks. The technological investment in iPortal is one of them.

Speaker #4: And so I wouldn't say there's no liquidity constraint here. It's really about growing those relationships and being open to lend to those clients, which we have been.

Speaker #7: And then the capital and the balance sheet we've lent to this business is the other. So the focus is really strong. And for all the other reasons, Anna said that we're confident in this area.

Speaker #4: And we've built capability. We've now got about 45% of our corporate banking clients on iPortal. That will be 100% by the end of the year.

Speaker #7: And we are the largest corporate bank in the UK. Second, on financing, just the thing to add is that we view the relationship with the clients holistically.

Speaker #4: And that means that they can bring their relationship much more holistically together. So the growth that you've seen in our lending is even before that technology really starts to take hold.

Speaker #7: We do fixed income annuities with both. And that's partly our working with the largest clients. So there's not a competitive element between capital allocation between the two of them.

[CFO] (Barclays): Venkat, anything you would want to add on-

Anna Cross: Venkat, anything you would want to add on-

Speaker #4: Venkat, anything you'd want to add on this financing and prime?

[CEO] (Barclays): Yeah

C. S. Venkatakrishnan: Yeah

[CFO] (Barclays): financing and prime?

Anna Cross: financing and prime?

[CEO] (Barclays): Yeah, just working backwards on the corporate lending. What you've seen over the last couple, 3 years is we've actually removed bottlenecks. The technological investment in iPortal is one of them, and then the capital in the balance sheet we've lent to this business is the other. So the focus is really strong, and for all the other reasons Anna said, that we're confident in this area. And we are the largest corporate bank in the UK. Second, on financing, just the thing to add is that we view the relationship with the client holistically. We do fixed income anniversaries with both, and that's partly our working with the largest clients. So there's not a competitive element between capital allocation between the 2 of them. It is actually a combined and holistic coverage. And that is the basis of that franchise, which is the strong client relationship.

C. S. Venkatakrishnan: Yeah, just working backwards on the corporate lending. What you've seen over the last couple, 3 years is we've actually removed bottlenecks. The technological investment in iPortal is one of them, and then the capital in the balance sheet we've lent to this business is the other. So the focus is really strong, and for all the other reasons Anna said, that we're confident in this area. And we are the largest corporate bank in the UK. Second, on financing, just the thing to add is that we view the relationship with the client holistically. We do fixed income anniversaries with both, and that's partly our working with the largest clients. So there's not a competitive element between capital allocation between the 2 of them. It is actually a combined and holistic coverage. And that is the basis of that franchise, which is the strong client relationship.

Speaker #7: Yeah. Yeah. Just working backwards on the corporate lending. What you've seen over the last couple of three years is we've actually removed bottlenecks. The technological investment in iPortal is one of them.

Speaker #7: It is actually combined and holistic coverage. And that is the basis of that franchise, which is the strong client relationship. Listen, thank you, everybody.

Speaker #7: And then the capital and the balance sheet we've lent to this business is the other. So the focus is really strong. And for all the other reasons, Anna said that we're confident in this area.

Speaker #7: Thanks for your time. Thanks for your attention. Thanks for your tough questions and your encouraging words. And I always find this call a pleasure.

Speaker #7: And we are the largest corporate bank in the UK. Second, on financing, just the thing to add is that we view the relationship with the clients holistically.

Speaker #7: We do fixed income annuities with both, and that's partly our working with the largest clients. So there's not a competitive element between capital allocation between the two of them.

Speaker #7: It is actually combined and holistic coverage. And that is the basis of that franchise, which is the strong client relationship. Listen, thank you, everybody.

[CEO] (Barclays): Listen, thank you everybody. Thanks for your time. Thanks for your attention. Thanks for your tough questions and your encouraging words. Anna and I always find this call a pleasure. Thank you.

C. S. Venkatakrishnan: Listen, thank you everybody. Thanks for your time. Thanks for your attention. Thanks for your tough questions and your encouraging words. Anna and I always find this call a pleasure. Thank you.

Speaker #7: Thanks for your time. Thanks for your attention. Thanks for your tough questions and your encouraging words. Anna and I always find this call a pleasure.

Speaker #7: Thank you.

Operator: This concludes the Barclays Q3 2026 Results Analyst and Investor Conference Call. Thank you all for joining. You may now disconnect your lines.

Operator: This concludes the Barclays Q3 2026 Results Analyst and Investor Conference Call. Thank you all for joining. You may now disconnect your lines.

Speaker #2: This concludes the Barclays Q3 2026 results

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