Barclays 2007 Annual Report Download - page 26

Financial review
Analysis of results by business
24 Barclays PLC Annual Report 2007
Global Retail and Commercial Banking
UK Banking
Who we are
UK Banking comprises UK Retail Banking and Barclays
Commercial Bank (formerly UK Business Banking).
What we do
UK Banking delivers banking solutions to Barclays retail and business
banking customers in the United Kingdom. We offer a range of
integrated products and services and access to the expertise of other
Group businesses. Customers are served through a variety of channels
comprising the branch network, automated teller machines, telephone
banking, online banking and relationship managers.
Highlights
£6,851m£2,653m
Income Profit before tax
Key facts 2007 2006 2005
Number of UK branches 1,733 2,014 2,029
Performance
2007/06
UK Banking profit before tax increased 4% (£107m) to £2,653m (2006:
£2,546m) driven principally by solid income growth. Results included
gains from the sale and leaseback of properties and property sales of
£232m (2006: £313m).
The cost:income ratio improved one percentage point to 49%. Excluding
the impact of settlements on overdraft fees in relation to prior years, the
cost:income ratio improved two percentage points to 48%, making eight
percentage points of improvement from 2004 to 2007 compared to the
target of six percentage points.
2006/05
UK Banking profit before tax increased 14% (£310m) to £2,546m
(2005: £2,236m) driven principally by good income growth. Profit before
business disposals grew 10% (£234m) to £2,470m (2005: £2,236m).
In 2006 the cost:income ratio improved three percentage points to 50%
(2005: 53%) excluding gains from property sales not reinvested; this brings
the cumulative improvement to six percentage points in two years.