NatWest Group has revealed its profits surged by 18% in the first half of 2025 as the banking group gained customers after buying Sainsbury’s Bank and bringing down business costs.
The group reported a pre-tax operating profit of £3.6 billion for the first six months of the year.
This was 18% higher than the same period a year ago, and ahead of the £3.5 billion that some analysts were expecting.
Total income jumped by about 12% year-on-year, with its retail banking division boosted by higher customer deposits.
It also reported higher levels of lending to customers over the period, driven by higher mortgage balances.
Mortgage lending picked up significantly for many UK lenders ahead of stamp duty relief becoming less generous at the start of April, with many first-time buyers hoping to secure home purchases before the deadline.
NatWest revealed it gained 1.1 million new customers in the first half of 2025, primarily from acquiring Sainsbury’s Bank in May and taking on its customers.
Chief executive Paul Thwaite said the group was focused on “bank-wide simplification, as we quietly revolutionise how we operate, enhancing our tech and AI capabilities in order to better meet and anticipate the evolving needs of our customers”.
Efforts to simplify the bank helped bring down business costs over the latest period.
NatWest announced on Friday that it was kicking off a new share buyback programme of £750 million in the second half of the year, in a bid to return cash to shareholders.
This article was written by Anna Wise from The Independent and was legally licensed through the DiveMarketplace by Industry Dive. Please direct all licensing questions to legal@industrydive.com.