RBS 2010 Annual Report Download - page 87

Wealth
2010 2009 2008
£m £m £m
Net interest income 609 663 578
Net fees and commissions 376 363 405
Other non-interest income 71 83 76
Non-interest income 447 446 481
Total income 1,056 1,109 1,059
Direct expenses
-staff costs (382) (357) (377)
- other (142) (144) (178)
Indirect expenses (210) (155) (140)
(734) (656) (695)
Operating profit before impairment losses 322 453 364
Impairment losses (18) (33) (16)
Operating profit 304 420 348
Analysis of income
Private banking 857 916 819
Investments 199 193 240
Total income 1,056 1,109 1,059
Performance ratios
Return on equity (1) 18.9% 30.3% 27.3%
Net interest margin 3.37% 4.38% 4.51%
Cost:income ratio 70% 59% 66%
£bn £bn £bn
Capital and balance sheet
Loans and advances to customers (gross)
- mortgages 7.8 6.5 5.3
- personal 6.7 4.9 5.0
- other 1.6 2.3 2.1
16.1 13.7 12.4
Customer deposits 36.4 35.7 34.1
Assets under management (excluding deposits) 32.1 30.7 34.7
Risk elements in lending 0.2 0.2 0.1
Loan:deposit ratio (excluding repos) 44% 38% 36%
Risk-weighted assets 12.5 11.2 10.8
Note:
(1) Divisional return on equity is based on divisional operating profit after tax divided by average notional equity (based on 9% of the monthly average of divisional RWAs, adjusted for capital deductions).
85RBS Group 2010
Business review