RBS 2011 Annual Report Download - page 438

436 RBS Group 2011
Financial summary continued
Loan impairment provisions
For a discussion of the factors considered in determining the amount of provisions, see ‘Impairment loss provision methodology’ on pages 202 and 203
and ‘Critical accounting policies’ on page 323. The following table shows the movements in loan impairment provisions.
2011
£m
2010
£m
2009
£m
2008
£m
2007
£m
Provisions at the beginning of the year
Domestic 8,199 6,670 4,474 3,258 3,037
Foreign 9,983 10,613 6,542 3,194 898
18,182 17,283 11,016 6,452 3,935
Transfer to disposal groups
Domestic (773) (25) — — —
Foreign — (47) (324) (767) —
(773) (72) (324) (767) —
Currency translation and other adjustments
Domestic (3) (79) (228) 107 5
Foreign (280) 122 (302) 1,334 178
(283) 43 (530) 1,441 183
Disposals of subsidiaries
Domestic —— — (108) 10
Foreign 8 (2,172) (65) (70) 2,211
8(2,172) (65) (178) 2,221
Amounts written-off
Domestic (2,374) (2,252) (2,895) (1,446) (1,222)
Foreign (2,153) (3,790) (4,044) (1,702) (789)
(4,527) (6,042) (6,939) (3,148) (2,011)
Recoveries of amounts previously written-off
Domestic 158 151 175 116 158
Foreign 369 260 224 203 184
527 411 399 319 342
Charged to income statement -continuing operations (1)
Domestic 2,749 3,948 5,370 2,701 1,395
Foreign 4,492 5,196 7,720 3,777 508
7,241 9,144 13,090 6,478 1,903
Charged to income statement - discontinued operations
Domestic —— — (3) 25
Foreign (8) 42 1,044 616 18
(8) 42 1,044 613 43
Unwind of discount (recognised in interest income)
Domestic (220) (214) (226) (151) (150)
Foreign (264) (241) (182) (43) (14)
(484) (455) (408) (194) (164)
Provisions at the end of the year (2)
Domestic 7,728 8,199 6,670 4,474 3,258
Foreign 12,155 9,983 10,613 6,542 3,194
19,883 18,182 17,283 11,016 6,452
Gross loans and advances to customers
Domestic 261,203 287,070 297,347 312,287 323,362
Foreign 274,163 286,245 448,172 573,324 511,625
535,366 573,315 745,519 885,611 834,987
Additional information continued