RBS 2008 Annual Report Download - page 12

11RBS Group Annual Report and Accounts 2008
•Mortgage balances at 31 December 2008 were 11% higher
than a year earlier, in the face of weaker demand in the
second half of the year. Market share of net mortgage
lending increased to 19% from 2% at the end of 2007.
A number of specific initiatives were taken to help customers
deal with the effects of market turbulence and the recession.
•Under the Mortgage Repossession Initiative, RBS has extended
the options for customers unable to meet their mortgage
payments following a change in circumstances, such as loss
of employment, by allowing more flexibility to agree reduced
payments for a period or short payment holidays.
•As part of our Help Me Programme, we proactively identify
customers showing signs of financial stress enabling us to
contact customers to offer advice and solutions to help them
manage their money. We are continually enhancing our systems
and processes to gain greater insights into our customers’
behaviour and ensure we offer the appropriate solution, at the
right time and through the right channel for each customer.
•Specifically to provide advice to customers and others
concerned about their personal finances, 2008 saw an
extension of our long-standing MoneySense programme.
1,000 MoneySense advisers were introduced to NatWest
and RBS branches, all of whom have received training
accredited by the independent charity Consumer Credit
Counselling Service.
Steps were also taken to assist Business Banking customers
through the downturn.
•Under our Price Promise to small business customers, we
have undertaken not to increase:
– margins on overdrafts for existing customers at facility
review where there is no change to their risk profile; and
– standard fees for arranging an overdraft.
•The Committed Overdraft facility provides customers with re-
assurance that their facility will remain in place for the agreed
term, usually 12 months.
•Business Lifeline is a source of advice and information which
complements the work of relationship managers. Open from
‘8 to 8’, Monday to Friday, the telephone help desk allows
customers to speak directly to experienced bankers.
•Almost 700,000 Business Banking customers have received a
guide to support them through the downturn, covering topics
such as managing cash-flow, and spreading risk and a
directory of sources of advice and information.
The Retail Banking franchise exhibits a number of strengths that
position it well for the long-term. The RBS and NatWest brands
enjoy a reputation for excellence in customer service. Last year,
according to leading independent research, RBS retained top
position and NatWest was again joint second for customer
satisfaction amongst main high street banks. The Group ranks
second in terms of market share in the critical current account
market and regularly secures the largest share of current
accounts opened by first year higher education students.
Examples for 2008 which illustrate the strength of the franchise
include:
•personal savings grew by 9% and business deposits by
3% despite increased competition and a slowing market
for deposits; and
•RBS and NatWest attracted more than one million new
current accounts in the year.