NatWest Reports £4.3 Billion First-Half Profit and Raises Targets

NatWest Group PLC reported a first-half operating profit before tax of £4.3 billion for the six months ending June 2026, exceeding analyst expectations of £4.1 billion. This represents a 20% increase over the same period in 2025, with attributable profit rising 22% to £3 billion. The results followed the acquisition of wealth manager Evelyn Partners for £2.7 billion and an 11% income rise across retail, commercial, and wealth management sectors.

Chief Executive Paul Thwaite attributed the growth to structural simplification and an AI-led technology drive. The bank deployed AI to 60,000 staff to improve productivity, fraud protection, and customer experience, contributing to approximately £250 million in gross cost savings and a 2.8 percentage point reduction in the cost-to-income ratio.

Following the performance, the bank raised its full-year return on tangible equity target to over 19% and increased its projected total income to approximately £17.9 billion. NatWest declared an interim dividend of 12p per share and accelerated its timeline for considering share buybacks to February 2026, six months earlier than planned. Shares reached their highest level since the 2008 financial crisis following the announcement.