RBS 2009 Annual Report Download - page 294

Notes on the accounts continued
RBS Group Annual Report and Accounts 2009292
12 Financial assets – impairments
The following table shows the movement in the provision for impairment losses for loans and advances.
Group
Individually Collectively Total
assessed assessed Latent 2009 2008 2007
£m £m £m £m £m £m
At 1 January 4,970 4,102 1,944 11,016 6,452 3,935
Transfer to disposal groups (155) (111) (58) (324) (767) —
Currency translation and other adjustments (330) (78) (122) (530) 1,441 137
Acquisition of subsidiaries ————— 2,221
Disposal of subsidiaries (65) — — (65) (178) —
Net increase in provisions of discontinued operations —————46
Amounts written-off (3,940) (2,999) — (6,939) (3,148) (2,011)
Recoveries of amounts previously written-off 94 305 — 399 319 342
Charged to the income statement 8,625 4,197 1,312 14,134 7,091 1,946
Unwind of discount (246) (162) — (408) (194) (164)
At 31 December (1) 8,953 5,254 3,076 17,283 11,016 6,452
Notes:
(1) The provision for impairment losses at 31 December 2009 includes £157 million relating to loans and advances to banks (2008 – £127 million; 2007 – £3 million).
(2) There is no provision for impairment losses in the company.
Group
2009 2008 2007
Impairment losses charged to the income statement £m £m £m
Loans and advances to customers 14,100 6,973 1,946
Loans and advances to banks 34 118 —
14,134 7,091 1,946
Debt securities 601 878 20
Equity shares 215 103 2
816 981 22
14,950 8,072 1,968
Group
2009 2008 2007
£m £m £m
Gross income not recognised but which would have been recognised under the
original terms of non-accrual and restructured loans
Domestic 625 393 390
Foreign 1,079 342 155
1,704 735 545
Interest on non-accrual and restructured loans included in net interest income
Domestic 226 150 165
Foreign 182 43 16
408 193 181