NatWest Group returns to full private ownership – Daily Business

NatWest Group has today confirmed that it has returned to full private ownership, with the Treasury no longer holding any shares in the business.

The taxpayer took an 84.4% stake in the bank through two separate injections of support in 2008 and 2009 with the bank, then known as Royal Bank of Scotland, just hours from collapse.

Under the leadership of Fred Goodwin it had embarked on a series of highly ambitious acquisitions and pumped complex financial instruments into the market which came unstruck in a global meltdown.

Since then it has been nursed back to health under four chief chief executives – Stephen Hester, Ross McEwan, Alison Rose and Paul Thwaite – who have overseen a huge shrinkage of the balance sheet and withdrawal from some markets.

In recent months there has been an acceleration in the sale of shares into the open market.

NatWest Group chair, Rick Haythornthwaite, today said: “As NatWest Group returns to full private ownership for the first time since 2008, we remain deeply grateful to the government – and to UK taxpayers – for their intervention and support.

“At a time of global crisis, this intervention stabilised our banking system and, by extension, our economy; protecting millions of savers, homeowners and businesses. 

“Banks in the UK have changed beyond recognition since 2008. So too the regulatory environment and culture across the City. Critically, the pace of technological advances has fundamentally altered how people live and work, including how they choose to access financial services and manage their money. 

“We are at an inflexion point not just for our bank, but for the wider economy.  Growth is once again at the top of the national agenda and the financial services sector has an important role to play, driving investment and job creation throughout the country – all in the service of our customers.” 

Mr Thwaite added: “This is a significant moment for NatWest Group, for all those who work here and for the UK more widely. As we turn the page on the financial crisis, we can look to the future with confidence, without forgetting the lessons of the past.

“I am proud to have been part of the team that has helped build a simpler, safer, more customer-focussed bank. It is thanks to the incredible loyalty of our customers and colleagues, along with the support of our shareholders – including the UK taxpayer – that this change has been possible. 

“Today we have a strategy that is working, positive momentum in our business and a clear ambition to succeed with our customers.

“This is a sector that matters; strong economies need strong banks, and vice versa. At a time when there is a clear intent to deliver growth, NatWest is ready to step up to the challenge, shaping our future as a vital and trusted partner to our customers and to the UK itself.”