The key points for 2026 Q2:
- The Common Equity Tier 1 (CET1) capital ratio for the UK banking sector has remained stable at 15.1% in 2026 Q2.
- The level of CET1 capital increased by 1.6% on the quarter, from £463 billion to £470 billion.
- The level of total risk-weighted assets increased by 1.9% from £3,059 billion to £3,118 billion this quarter.
Table A: Capital ratios and levels of capital and risk-weighted assets in the UK banking sector (a)
|
2025 Q2 |
2025 Q3 |
2025 Q4 |
2026 Q1 |
2026 Q2 |
|
One quarter |
Four quarters |
|
|---|---|---|---|---|---|---|---|---|
|
|
Ratios (per cent) |
Change (percentage points) |
||||||
|
Total capital |
20.5 |
20.2 |
20.5 |
20.2 |
20.3 |
0.0 |
-0.2 |
|
|
Tier1 |
17.8 |
17.5 |
17.8 |
17.6 |
17.6 |
0.1 |
-0.2 |
|
|
CET1 |
15.4 |
15.2 |
15.5 |
15.1 |
15.1 |
-0.1 |
-0.3 |
|
|
|
Values (£ billions) |
Change (per cent) |
||||||
|
Total capital |
608 |
611 |
618 |
618 |
632 |
2.1 |
4.0 |
|
|
of which: Tier1 |
528 |
531 |
537 |
537 |
550 |
2.3 |
4.1 |
|
|
of which: CET1 |
458 |
460 |
467 |
463 |
470 |
1.6 |
2.8 |
|
|
of which: Tier2 |
79 |
80 |
81 |
81 |
82 |
0.8 |
3.2 |
|
|
Risk-weighted assets |
2,967 |
3,024 |
3,021 |
3,059 |
3,118 |
1.9 |
5.1 |
|
Chart 1: Capital ratios for the UK banking sector
Footnotes
- (a) See Further details about these data for information on the calculation of these contributions.
- (b) Data for all charts has been sourced from the banking sector regulatory capital data tables.
Table B: Risk-weighted assets by risk type (£ billions) (a)
|
2025 Q2 |
2025 Q3 |
2025 Q4 |
2026 Q1 |
2026 Q2 |
|
One quarter |
Four quarters |
|
|---|---|---|---|---|---|---|---|---|
|
Values (£ billions) |
Change (per cent) |
|||||||
|
Total risk-weighted assets |
2,967 |
3,024 |
3,021 |
3,059 |
3,118 |
1.9 |
5.1 |
|
|
Credit and counterparty risk |
2,164 |
2,206 |
2,197 |
2,253 |
2,301 |
2.1 |
6.3 |
|
|
Market risk |
379 |
388 |
374 |
352 |
362 |
2.8 |
-4.6 |
|
|
Operational risk |
346 |
348 |
366 |
374 |
375 |
0.3 |
8.2 |
|
|
Credit Valuation Adjustment |
61 |
62 |
64 |
61 |
61 |
0.3 |
0.1 |
|
|
Other |
17 |
21 |
21 |
21 |
20 |
-4.5 |
18.5 |
|
Footnotes
Chart 3: Changes in risk-weighted assets by risk type
Comparison of capital ratios with other publications
Capital ratios for the UK banking sector are published by the Bank of England (BoE) and the International Monetary Fund (IMF). Chart 4 shows a comparison of published capital ratios for the UK and the details of their differences are explained below. Table C provides descriptions of the underlying datasets and links to their definitions.
Chart 4: Comparison of published capital ratios for the UK (a)
The effects of the differences in datasets and methodologies can be generalised as follows:
- Firm coverage – the BoE and the IMF publish capital ratios that represent averages of the total UK banking sector. While they all use the same data, the IMF publications are updated with a lag. This means that the latest quarterly figures are not available at the time of this publication and may include minor differences because this release’s chart is not using the latest vintage at this point of publication. The Financial Policy Committee’s (FPC) indicatorsfootnote [1] cover major UK banksfootnote [2] only, rather than the total UK banking sector, and this generally has a downward effect on the ratio.
- Use of transitional or endpoint capitalfootnote [3] – the use of endpoint capital will tend to have a slight downward effect on ratios, compared to those using transitional capital.
- Timing – both timeliness and frequency vary across datasets. The banking sector regulatory capital statistical release is the timeliest.
Table C: Description of different published capital ratios for the UK
|
Publishing institution |
Dataset |
Firm coverage |
Transitional or endpoint capital |
Averaging method |
|---|---|---|---|---|
|
Bank of England |
Banking sector regulatory capital |
Total UK banking sector |
Transitional |
Weighted mean |
|
International Monetary Fund |
Total UK banking sector |
Transitional |
Weighted mean |
|
|
Bank of England |
Major UK Banks |
End-point(a) |
Weighted mean |
Footnotes
Next release – 18 December 2026
Copyright guidance and the related UK Open Government Licence.
-
In July 2023 the FPC added the CET1 ratio as one of its Core indicators, alongside the Tier 1 ratio.
-
The group currently includes Barclays, HSBC, Lloyds Banking Group, Nationwide, NatWest, Santander UK, and Standard Chartered. Note: Virgin Money were included for the periods from 2020 Q4 to 2024 Q3.
-
See explanatory notes for more detail.
