NatWest Group reported a 29% surge in second-quarter profits to £2.3 billion, driven by robust trading performance and the continued benefit of higher interest rates.
The lender’s chief executive used the results announcement to firmly oppose calls for a windfall tax on the banking sector, arguing that maintaining strong capital buffers is essential for financial stability.
The quarterly result adds to a string of strong performances from UK lenders, following NatWest’s earlier report of a 20% rise in first-half operating profit to £4.
The quarterly result adds to a string of strong performances from UK lenders, following NatWest’s earlier report of a 20% rise in first-half operating profit to £4.3 billion.
That half-year beat had already prompted the bank to raise its full-year guidance, signaling confidence in its earnings trajectory despite a challenging macroeconomic backdrop.
The profit surge is likely to reignite political pressure on the government to consider additional levies on financial institutions.
Critics argue that banks are benefiting disproportionately from monetary policy decisions, while the industry maintains that strong profitability is necessary to absorb potential shocks and support lending to the real economy.