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Government sells c. £1.26 billion of NatWest shares to
NatWest as stake reduced to c. 38.6%
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Announcement marks a further major milestone in returning the
bank to private ownership
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Sixth block sale of NatWest shares since the government
intervened in NatWest to protect financial and economic
stability during the global financial crisis in 2008
NatWest is a step closer to being returned to full private
ownership as the government sells c. £1.26 billion in shares back
to NatWest via a Directed Buyback.
The sale reduces the government’s shareholding to c. 38.6% - down
from around 84% at its peak – delivering significant progress
against the government’s intention as announced at Spring Budget
to fully exit the shareholding by 2025-2026, subject to market
conditions and achieving value for money for taxpayers.
The Economic Secretary to the Treasury, said:
Today’s sale is another major milestone in returning NatWest to
full private ownership as promised. The government has now sold
well over half of its shareholding.
The government intervened in NatWest (formerly the Royal Bank of
Scotland, RBS) with the objective of protecting financial and
economic stability during the 2008 global financial crisis.
The Office for Budget Responsibility has been clear that –
without the government’s interventions in the financial sector –
the cost of the 2008 global financial crisis would almost
certainly have been far greater.
The government will only dispose of its NatWest shareholding when
it represents value for money to do so and market conditions
allow.
Alongside progress being made by the ongoing trading plan, HMT
and UK Government Investments continue to keep all options under
active consideration for future sales, including via accelerated
bookbuilds if conditions permit.
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