RBS 2012 Annual Report Download - page 179

RBS GROUP 2012
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Arrears status and provisions
Mortgage arrears information for retail accounts in forbearance and related provision are shown in the tables below.
No missed payments 1-3 months in arrears >3 months in arrears Total
Balance Provision Balance Provision Balance Provision Balance Provision
Forborne
balances
£m £m £m £m £m £m £m £m %
2012
UK Retail (1,2) 4,006 20 388 16 450 64 4,844 100 4.9
Ulster Bank (1,2) 915 100 546 60 527 194 1,988 354 10.4
RBS Citizens (3) — — 179 25 160 10 339 35 1.6
Wealth (4) 38 — — — 7 — 45 — 0.5
4,959 120 1,113 101 1,144 268 7,216 489 4.9
2011
UK Retail (1,2) 3,677 16 351 13 407 59 4,435 88 4.7
Ulster Bank (1,2) 893 78 516 45 421 124 1,830 247 9.1
RBS Citizens (3) — — 91 10 89 10 180 20 0.8
Wealth 121 — — — 2 — 123 — 1.3
4,691 94 958 68 919 193 6,568 355 4.4
Notes:
(1) Includes all forbearance arrangements whether relating to the customer’s lifestyle changes or financial difficulty.
(2) Includes the current stock position of forbearance deals agreed since early 2008 for UK Retail and early 2009 for Ulster Bank.
(3) Forbearance stock reported at 31 December 2012 now includes home equity loans and lines as well as the residential mortgage portfolio.
(4) SME business within Wealth is now reported within Wholesale forbearance.
Forbearance arrangements
The incidence of the main types of retail forbearance as at 31 December 2012 and 31 December 2011 are analysed below. For a small proportion of
mortgages, more than one forbearance type applies.
UK Retail Ulster Bank RBS Citizens (1) Wealth (2) Total (3)
2012 £m £m £m £m £m
Interest only conversions - temporary and permanent 1,220 924— 62,150
Term extensions - capital repayment and interest only 2,271 183— 272,481
Payment concessions 215 762339 9 1,325
Capitalisation of arrears 932 119— —1,051
Other 452 —— 3455
5,090 1,988 339 45 7,462
2011
Interest only conversions - temporary and permanent 1,269 795 — 3 2,067
Term extensions - capital repayment and interest only 1,805 58 — 97 1,960
Payment concessions 198 876 180 —1,254
Capitalisation of arrears 864 101 — — 965
Other 517 — — 23 540
4,653 1,830 180 123 6,786
The table below shows forbearance agreed during 2012 analysed between performing and non-performing.
UK Retail Ulster Bank RBS Citizens (1) Wealth (2) Total (3)
2012 £m £m £m £m £m
Performing forbearance in the year 1,809 2,111 88 184,026
Non-performing forbearance in the year 184 1,00971 2 1,266
Total forbearance in the year (4) 1,993 3,120 159 20 5,292
Notes:
(1) Forbearance stock reported at 31 December 2012 now includes home equity loans and lines as well as the residential mortgage portfolio.
(2) SME business within Wealth is now reported within Wholesale forbearance.
(3) As an individual case can include more than one type of arrangement, the analysis in the table on forbearance arrangements exceeds the total value of cases subject to forbearance.
(4) Includes all deals agreed during the year (new customers and renewals) regardless of whether they remain active at the year end.