NatWest on fast track back to private ownership - CEO

(Sharecast News) - NatWest Group is on track to return to full private ownership next year, its chief executive said on Tuesday. The lender was bailed out by the government during the global financial crisis in a £46bn deal, when it was known as the Royal Bank of Scotland.

While the government has since sold down much of its stake - which was initially as high as 58% - the UK taxpayer still owns just under 11% of the bank.

However, speaking at the Financial Times' global banking summit on Tuesday, chief executive Paul Thwaite said: "It is reasonable to expect that, absent some big dislocation or economic event, we'll be back in private ownership next year, maybe as early as the first half of the year."

He continued: "I think it will be a symbolic moment for the sector.

"It means we can talk about the future of the bank, the potential of the bank, rather than having to talk about its past.

In particular, Thwaite said a core focus would be growing the bank's wealth management arm, organically but also potentially through acquisition. NatWest already owns private bank Coutts.

As well as RBS, which rebranded as NatWest in 2020, the government also bailed out Lloyds Banking Group, Bradford & Bingley and Northern Rock during the crisis.

Previously head of NatWest's business banking arm, Thwaite was named interim chief executive in July 2023, taking over on a permanent basis in February this year.

He replaced Alison Rose, who resigned after being caught up in a row over de-banking.