Barclays PLC

Good morning. It's good to see you all this year. Thank you for coming. And welcome to our first full year 2024 results and progress update presentation. You can see the agenda for the morning on this slide. We'll go straight into results before turning to review progress in the first year of our three-year plan. And as usual, there will be an opportunity for those in the room to ask questions at the end. Note we also include an update on key operational developments for each of our five divisions as an annex to today's presentation. We won't talk to these slides, but have included them in the spirit of transparency and to help you understand how we are delivering our plan. So let me start with some performance highlights before handing over to Anna to take you through the financials. At our investor update last February, we set out a three-year plan to deliver a better run, more strongly performing, and higher returning Barclays. I'm encouraged by the progress which we have made during the first year. We are executing the plan in a disciplined way and have achieved all of our financial targets for 2024. And we are on track to achieve our 2026 targets. Last year, we delivered a return on tangible equity of 10.5% in line with our target greater than 10%. We also announced 3 billion pounds of capital distributions, an important step towards our target to distribute at least 10 billion to shareholders by 2026. This includes 1.2 billion pounds of dividends, enabling a 5% increase in our dividends per share to 8.4 pence. And also 1.75 billion pounds in buybacks, 1 billion of which was announced today and which we expect to initiate in the coming days. We have made progress on deploying 30 billion pounds of additional RWAs in our highest returning UK businesses, while keeping investment banking RWAs broadly stable. This has resulted in the investment bank falling from 58% to 56% of the group's RWAs, on its way to our 2026 target of circa 50%. And we remain well capitalized, ending the year with a CET1 ratio of 13.6% within our range of 13% to 14%. We are improving the quality of our income and the stability and durability of our returns. And we are making progress towards our approximately 30 billion pound income target in 2026. Our top line grew by 1.4 billion or 6% year on year during 2024. And we achieved our NII targets for the group and for Barclays UK. Our structural hedge provides a predictable and highly visible source of net interest income growth over several years. And our cost to income ratio for the full year, 24 was 62%, better than our guidance of circa 63%. Our credit performance was also strong, particularly in the UK, with a group loan loss rate of 46 basis points for the year, below our through the cycle 50 to 60 basis points target range. Across Barclays, we are focused on execution. We delivered 300 million pounds of gross efficiency, cost efficiency savings in the fourth quarter, enabling us to achieve our one billion pound target for all of 2024. We remain focused on improving our operational and financial performance across each of our five divisions. Anna will review our financial performance by division shortly, but let me first cover a few highlights. Barclays UK delivered a return on tangible equity of 23% for the year. And on the 1st of November, we completed the acquisition of Tesco Bank. Through this acquisition, we have gained a strategic relationship with the UK's largest retailer, supporting growth in our home market. We plan to leverage our expertise in partnership credit cards developed over years, decades in the US, to drive further growth and customer engagement. Across the rest of Barclays UK, deposit balances have continued to stabilize and lending trends are encouraging, resulting in organic balance sheet growth in the fourth quarter. UK corporate and the private bank and wealth management divisions also contributed to the group's balance sheet expansion. In the investment bank, our objective is to improve returns by regaining market share and improving our RWA productivity and cost efficiency. I'm broadly satisfied with how we have fared against these metrics. And of course, I expect further significant progress in each of the next two years in order to deliver our targets. The 8.5% ROTE for the investment bank in 2024 is up 1.5% year on year, and it's a good step on our journey to deliver returns in line with the group by 2026. and we expect the investment bank to deliver further progress on ROTE in the year ahead. Returns in the U.S. consumer bank improved to 9% from 4% as impairment charges normalized as expected and as we proactively improved our operational performance. We've also made good progress to simplify the bank by divesting the non-strategic businesses that we outlined at our investor update. This included the Italian mortgage portfolios in 2024 and the German consumer finance business completed last month. Before I hand over to Anna, I would like to make two broad points. The first is about the composition and quality of our businesses and of our results. As I hope you see in our 2024 outcomes and in our 2025 outlook, We are aiming to construct a bank with a good mix of businesses which perform well individually and collectively. We aim to achieve a healthy balance between consumer and wholesale activities, a sound revenue weighting among fees, interest, and transactions. and a geographical mix which takes advantage of the full scope of our presence in the UK, the depth and breadth of our business in the US, and from both those locations, bridges to the important financial centers of the world. Through this, we aim to deliver robust and reliable performance across interest rate and credit cycles. That is the objective of the business strategy which we presented last year and which we continue to prosecute. My second broad point is that while Anna and I have the honor to present our results, this performance has been generated by over 90,000 colleagues at Barclays. They have helped implement the strategy so far, and they are core to our achieving success over the next two years. And to further align their efforts with our shareholders' interests, our colleagues should be able to participate in the ultimate outcome of their work, which is the change in our share price. Therefore, we are announcing today a share grant of approximately 500 million pounds each for the vast majority of our colleagues, essentially all employees across all locations outside of managing directors and what we call material risk takers. I have long felt that this kind of alignment between shareholders and employees through broad-based equity participation strengthens business outcomes. In the UK, sadly, broad-based equity ownership has been declining. This represents our effort towards arresting and correcting this trend. So with that, I'll hand over to Anna.

Thank you Venkat and good morning everyone. Slide 6 summarises our financial highlights for the fourth quarter and full year. Profit before tax was 8.1 billion and was up 24%. This included a Q4 profit before tax of 1.7 billion, up from 0.1 billion. Before going into the detail, as always, I would note that our results are affected by FX rates. The year-on-year performance in Q4 was impacted by a weaker US dollars, which decreased our reported income, costs, and impairments. Conversely, the dollar strengthened from Q3 to Q4. And I'll call out these effects where appropriate. Group's statutory ROTI was 10.5% for 2024 versus our target of greater than 10. This was against the previous year's ROTI of 9%, which was impacted by 0.9 billion of structural cost actions in Q4. Much of the improvement in ROTI reflected higher income, particularly in the investment bank, Barclays UK, and private bank and wealth management. This improvement occurred even as we grew tangible book value per share by 26 pence during the year to 357 pence. Throughout the year, as you know, I've been looking for four things in our performance. Income stability, cost discipline and progress on efficiency savings, credit performance, and a robust capital position. We delivered on all four. I'll now cover these in more detail starting with income on slide eight. Our income growth continues to be supported by the structural hedge and is now complemented by balance sheet growth. Income in the investment bank, while seasonally lower in Q4, benefited from the execution of our initiatives to improve productivity and an increase in the industry wallet. Together, this resulted in a 6% increase in total group income for the year to 26.8 billion. Excluding FX, income was up 7% year-on-year. More stable income streams from retail, corporate and financing grew 3% year-on-year and together contributed 74% of group income. Turning to NII. Our group net interest income increased for the third consecutive year by 3% in FY24 to £11.3 billion. Excluding Tesco, group NII increased 2% to £11.2 billion and within this, Barclays UK rose 1% to £6.5 billion. Both were in line with our guidance at Q3 and more favourable than our February guidance. This reflected the benefit of higher-than-expected interest rates and faster deposit stabilisation on our NII, including as a result of higher reinvestment income from the structural hedge. The structural hedge is designed to reduce income volatility and manage interest rate risk. The high proportion of balances hedged reduces our sensitivity to the short-term effect of rate cuts. NII from the hedge increased 1.1 billion during the year to 4.7 billion. Income provided by the hedge is significant and predictable. We've now locked in 9.1 billion of gross income over the next two years, up from 7.8 billion at Q3 and 4.8 billion a year ago. This income will continue to build as we reinvest maturing assets at higher yields. As consumer deposit behaviour has stabilised, the average duration of the hedge has increased modestly to around three years. Moving on to costs. We achieved a cost income ratio of 62% for the year below our circa 63% target. This included a 90 million motor finance provision in Q4. In line with our plan, we delivered 1 billion of gross efficiency savings during the year, including 0.3 billion during Q4. These savings created capacity for investments and business growth. We also took proactive steps to accelerate structural cost actions in a number of our divisions, given the strong performance in the year, whilst importantly still delivering on our cost-income ratio target. The costs of these measures, which will support our future returns and efficiency, came to £110 million in the quarter or £273 million in total for 2024, well within our normal annual range. Turning now to impairment. The FY24 impairment charge of £2 billion equated to a loan loss rate of 46 basis points. This included a day one charge for Tesco Bank of £209 million, where accounting rules require balances to be brought onto our books at stage one. The UK credit picture remains benign with low and stable delinquencies in our consumer books and wholesale loan loss rates below our through the cycle expectations. Specifically, the Barclays UK charge was 365 million, including day one effects from Tesco resulting in a loan loss rate of 16 basis points for 2024. the U.S. consumer bank impairment charge was down 10% year-on-year at 1.3 billion. Delinquencies in USCB are developing in line with our expectations, with 30- and 90-day delinquencies stable. As guided, impairment charges in this business were lower in 2024 versus the prior year, and H2 was also lower than H1. Coverage ratios remain strong. Looking ahead, we expect the loan loss rate in FY25 to be similar to 24. This includes the lagged effect of higher delinquencies in the past 12 to 18 months and the anticipated day one effect of bringing the General Motors partnership on board in Q3 2025. I would also note that loan loss rates tend to be seasonally higher in Q1, given holiday spend in Q4. Turning now to our UK growth. This slide summarises key aspects of our organic growth. Gross mortgage lending strengthened throughout the year, supported by a more active property market and higher loan-to-value lending. 15% of our mortgage lending was to higher LTV borrowers, up from 9% in 2023. we acquired 1 million new Barclaycard customers, up 58% year on year, as part of our strategy to regain market share in unsecured lending. And in the corporate bank, we deployed around 3 billion of RWAs by extending client lending facilities to support future lending growth. Clients have now started to draw down on these facilities, reflected in around £1 billion of net UK corporate loan growth in Q4. Turning now to Barclays UK. You can see financial highlights on slide 15, but I will talk to slide 16. The acquisition of Tesco Bank in November complicates comparisons for Q4, so let me start by unpacking the moving parts. First, there was a gain on acquisition of £0.6 billion and a day one impairment charge of £0.2 billion. Together, these created a one-off benefit to Barclays UK statutory ROTI, which was 28% in the quarter. Excluding these day one effects, Barclays UK ROTI was 19.1%. Second, comparisons are affected by the inclusion of Tesco Bank's underlying earnings for two months since November. This included 101 million of NII and around 60 million of costs in line with our guidance for 30 million run rate costs per month. We continue to expect circa 400 million of NII from Tesco in 2025. Whilst the Q4 run rate exceeded this level, we expect this to normalise in future quarters. The inclusion of higher NIM balances from Tesco also explains around 11 of the 19 basis points increase in BUK NIM versus Q3. Excluding Tesco Bank, Barclays NII increased 48 million Q on Q. This reflected continued structural hedge momentum and a tailwind from balance sheet growth, partially offset by product repricing lags. Non-NII was 244 million in Q4. The decline versus Q3 reflects the one-off effect of the Q4 securitization that we previously highlighted. Going forward, we continue to expect a run rate above 250 million per quarter. Q4 total costs increased by 209 million versus Q3 to 1.2 billion. This included around 60 million for Tesco Bank and a 36 million bank levy. The remaining increase reflected investment to support growth and structural cost actions. Moving on to the Barclays UK balance sheet. In Q4, both loans and deposits grew organically. The acquisition of Tesco Bank added a further 8 billion of loans and 7 billion of deposits. On an organic basis, deposit balances grew by circa 1 billion. Flows into savings accounts and current accounts were particularly strong ahead of the UK budget in October and customers have so far retained this liquidity. Looking ahead, tax payments during Q1 typically lead to a seasonal reduction in customer deposit balances. And as I discussed earlier, stronger activity in mortgages and Barclaycard led to a £1 billion increase in Q4 lending before the effect of our securitisation in the quarter. Moving on to the UK Corporate Bank. UK Corporate Bank delivered a Q4 roti of 12.3%. NII was up 31% year-on-year, reflecting deposit income growth and the non-repeat of adverse liquidity pool income in the prior year. Non-NII was down 9% year-on-year and broadly flat to Q3. Whilst this line can be volatile, we expect investments in our digital and lending propositions to drive non-NII growth over time. Investments to support this growth and to drive greater efficiency led to a 10% year-on-year increase in costs, excluding the structural cost actions we took in Q4-23. And our full-year loan loss rate of 29 basis points was within our through-the-cycle guidance of circa 35 basis points. Turning now to private bank and wealth management. Q4 ROTI was 23.9%. Client assets and liabilities grew 7 billion versus Q3 and 26 billion versus the prior year. We also attracted net new assets under management of 0.7 billion in Q4 and 3.7 billion for the year. This is a new metric that we will disclose going forward. This growth in volumes as well as higher transactional activity led to a 12% year-on-year increase in income. Excluding Q4 23 structural cost actions, costs were up 15% year-on-year as we took further actions this quarter to optimise headcount and drive business growth. As you heard at our deep dive in December, we will continue to prioritise investment in this business. Turning now to the investment bank. The Q4 roti was seasonally low at 3.4%, with a full year roti of 8.5%, both ahead of the prior year. Q4 total income was up 28% year on year, while total costs rose 11%, excluding the Q4 structural cost actions. This was the third consecutive quarter of positive jaws. Adjusted for FX, total income was up 31% year on year and costs were up 12% year on year, excluding structural cost actions in the prior year. Part of the increase in our Q4 costs reflected actions we took to improve future efficiency. Period end RWAs of 199 billion were 5 billion higher versus Q3, with FX accounting for 6 billion of the increase. Now looking at the Q4 income in more detail. Using the US dollar figures as usual to help comparison to US peers, markets income was up 36% year on year. Macroeconomic conditions supported a 32% increase in FIC income, driven by financing, credit, rates and FX. Equities income was up 44%, aided by strong performance across cash, prime and derivatives. Investment banking fees rose 22%. For FY24 as a whole, our share of banking fees increased by 30 basis points to 3.3%, but we have more work to do to build on this improvement. Within Q4, our ECM performance was strong with income up 160% year on year. Advisory fees were also up 12% with good momentum and a robust pipeline headed into 2025. Whilst DCM was up 10% year on year, our performance was mixed. In leverage finance, we increased market share by 70 basis points to 4.7% in a strong market. This was offset by softer performance in investment grade, particularly in Q4, with a strong Asian wallet, which we did not participate in, given our limited presence in the region. In addition, we were less active in event financing in the quarter, and this represents an opportunity as we further improve our advisory capabilities. Importantly, we saw progress in areas of the investment bank that inherently have more stable revenues. Financing income was up 34%, reflecting a strong increase in client balances. And international corporate bank income was up 22%. U.S. deposit balances grew by circa 90% year on year, which we see as a lead indicator of income growth. U.S. consumer bank roti was 11.2% in the quarter. The improvement versus the prior year reflected lower impairment charges following the reserve build in H223. Income was down 1% year-on-year or up 1%, excluding FX. This reflected a $0.9 billion increase in card balances to $33.1 billion on a reported basis. From Q3 to Q4, NII increased 5%, supported by seasonally stronger balances, which also grew 5%. NIM rose 28 basis points, partly reflecting the lagged benefit of our repricing actions earlier in the year. The successful launch of our new tiered retail savings product in Q3 led to a 17% year-on-year growth in retail deposit funding, with a $2 billion increase in Q4. The proportion of core deposits rose 1% year-on-year to 64%, reflecting wholesale funding raised during Q4 to meet seasonal asset growth. As seasonal spending eases, we should see a further increase in our share of funding from core deposits towards our target of 75% in 2026. Excluding Q4 2023 structural cost actions, total costs were up 8% as we continue to invest in the growth of the business, driving a cost-to-income ratio of 51%. Moving to capital. We ended the year with a CET1 ratio of 13.6%. This included around 140 basis points of capital generation from profits, excluding the day one P&L benefit of the Tesco Bank acquisition. We previously highlighted two inorganic transactions that would impact capital in the near term, both of which have now completed. The first was the circa 20 basis points of capital consumption from the acquisition of Tesco Bank in Q4. The second is the circa 10 basis points accretion from the sale of the German consumer finance business, which was completed last month and will benefit the CET1 ratio in Q1 2025. The £1 billion share buyback we announced today will also lower the ratio by around 30 basis points in Q1. Looking ahead, we maintain our guidance for between £19 and £26 billion of regulatory-driven RWA inflation. The UK regulator's decision to postpone the implementation of Basel 3.1 to January 2027 may, however, alter the mix and phasing of this change. Adopting IRB in the US consumer bank is still expected to increase RWAs by circa 16 billion. Whilst uncertainty around the size and the mix of the portfolio at the time of implementation has increased, this remains our best estimate for now. In the meantime, there are a few changes in the regulatory landscape. Prior to implementing IRB for US cards, our Pillar 2A requirement will increase by 0.1% from Q1 2025. We expect this Pillar 2A capital to be removed when the IRB model is implemented in 2026 or 2027, when the 16 billion RWA increase is reflected in Pillar 1. Consequently, our maximum distributable amount ratio, or MDA, is expected to rise to 12.2% from Q1 2025. We previously expected that this would reduce following the implementation of Basel III in January 2026, but this will now be delayed to January 2027. Reflecting this, you should continue to expect us to operate towards the upper half of our 13% to 14% target CET1 range as we have been doing. Naturally, our distribution expectations remain unchanged. Turning now to recent RWA developments. RWAs increased 18 billion from Q3 to 358 billion. Tesco Bank added seven and a further seven was driven by FX in the Investment Bank and the US Consumer Bank. As usual, a brief word on our overall capital and liquidity on slide 30. We maintain a well-capitalized and liquid balance sheet with diverse sources of funding and a significant excess of deposits over loans. TNAV per share increased by six pence in the quarter and by 26 pence during 2024 to 357 pence. Attributable profit added six pence per share during Q4, whilst our share buyback and other movements added one pence and three pence, respectively. These were partially offset by a more negative cash flow hedge reserve, which reduced TNAV by four pence per share. This is the fourth quarter in the 12-quarter plan we laid out in February. Today, we are reiterating our group targets for 2026 and providing additional guidance for 2025, including a further improvement in group roti to around 11%. I'll come back to discuss the building blocks of this guidance in more detail with you. But first, I would like to hand back to Venkat to take you through some reflections on progress during the first year of our plan.

Thank you, Anna. So almost a year ago today, we set three key priorities for Barclays by 2026. To improve our returns, to distribute more to shareholders, and to rebalance our RWAs. We also set 2020 interim milestones for 2024, which we have delivered. Our plan was set on realistic assumptions which, together with our diversified business model, allowed us effectively to navigate market, macro, and regulatory conditions throughout the year. So what were these? UK deposits have stabilized faster, and the investment banking wallet has been stronger than we expected. Fixed income, FIC. which is traditionally an area of strength for us, performed slightly weaker than we had expected in 2024. But our strong performance in equities, where we have taken market share, partially compensated for this, rebalancing our overall markets business. And the economic environment has been more supportive, with interest rates remaining higher, alongside more benign unemployment and inflation in our main UK and US markets. Last year, I described the important reset of our financial performance and shareholder returns since 2021. I also told you that this improvement was not sufficient and that our shareholder experience needed to be better. We are making progress on our plan and we are generating growth. Notably, we have achieved our fifth consecutive year of TNAV per share growth of 8% during 2024 and 7% annually since 2019. This positive outcome reflects improvements in our returns and growth of our earnings per share, including by 30% year on year during 2024 to the highest level in a decade. This enabled a 5% increase in total distributions, including progressive growth in our dividend per share. For the group as a whole, we look to generate higher returns in two ways. First, by allocating more capital to our higher returning UK businesses, which I'll come on to discuss. and second, by improving returns in the lower returning businesses, namely the investment bank and the U.S. consumer bank. That was true last year when we set out our strategy, and it remains true today. We are making progress, including in target growth areas of the investment bank, but further improvements are needed to achieve our ROTE target of greater than 12%. And in the U.S. Consumer Bank, too, we remain focused on rebuilding returns towards the mid-teens ROTE beyond 2026. A reduction of impairments in line with our expectations, as well as other operational improvements, enabled a 9% ROTE in 2024 versus 4% in 2023. Let me now discuss the allocation of capital to higher returning divisions in more detail. At our investor update, we outlined a plan to create a more balanced group. To do this, we plan to allocate 30 billion pounds of additional RWAs to our three highest returning businesses, Barclays UK, the UK Corporate Bank, and Private Banking and Wealth Management. As we expected, actions that we took during the year began to generate organic balance sheet growth towards the end of the year. And including the acquisition of Tesco Bank, RWA is now highest returning UK businesses, increased by 13 billion pounds due to business growth and by 15 billion pounds overall in 2024. And as Anna has discussed earlier, lead indicators of growth across our UK businesses are encouraging. Given this, we expect to step up in our organic RWA deployment during the year with further momentum in 2026. We are committed to keeping investment bank RWAs relatively stable at 2023 levels, and this is the third consecutive year in which this division has operated with this level of capital. We continue to expect investment banking RWAs to fall proportionately to about 50% of the group by 2026, from 56% today as we grow the three UK businesses. Taking a closer look at the Tesco Bank acquisition, which we are thinking about in three stages, acquire, integrate, and improve. The first stage was completed on the 1st of November, 24. The acquisition has added eight billion pounds to our unsecured balances, moving our weighting in credit cards and personal loans towards our 2019 position. And the profile of Tesco Bank's customers is attractive. As we show in our operational data pack on slide 57, Tesco Bank's customers have a higher spend per card than the market average. Tesco's position as the UK's largest retailer with strong customer satisfaction and more than 20 million Tesco club card holders provides a significant customer growth opportunity. We've also gained an additional brand to operate with and an open market lending capability. The second stage is to integrate Tesco Bank, which we intend to do during 2025 and 26. And this involves onboarding Tesco customers to Barclays' platform in 2026 to reduce duplication of systems and processes while maintaining a strong customer experience. The integration will require some upfront investment, but the realization of synergies will reduce the run rate costs. These actions are factored into our plan and we continue to target a circa 50% cost income ratio for Barclays UK in 2026, following an increase in 25 given the costs associated with the Tesco Bank. The third stage is to improve the business, which we expect to gain momentum after 2027. This will involve further growing customer balances supported by better access to funding and to capital. This increased scale will enable greater efficiency as fixed costs are spread over a larger customer base. Turning now to the US Consumer Bank. We've made meaningful progress in 2024, improving ROTE to 9% from 4% and achieving a cost income ratio of 49%. We also announced that our American Airlines partnership will not be renewed beyond 2026. American Airlines has been a card partner in our business for seven years as part of a dual issuer model and we valued our long relationship with them. We knew that the partnership could transition to a single issuer model. That happened last year and we chose not to participate on that basis. The ending of our partnership provides a short-term gain on sale in 2026 and releases capital that we intend to use to diversify the business. We expect the overall credit mix of the portfolio to change, still prime, but with less weighting to super prime balances. And all things being equal, this will lead to a higher net interest margin and loan loss rate, and a higher risk-adjusted margin for the portfolio. Our 2026 targets are unchanged, including an ROTE of greater than 12% in line with the group, as the gain on sale offsets lower profitability due to the loss of the receivables. We are confident in our ability to grow card balances to achieve necessary scale in the U.S. Consumer Bank. In line with our broader group strategy, the plan is organic, and organic growth has driven around 85% of the increase in our net card receivables since 2011. And looking ahead, we'll drive two-thirds of our planned growth. We have a strong foundation for such growth, given that over 80% of our card receivables are under contract at least until 2029. Our success in accelerating balance growth for partners also translates into significant loyalty with a historical partnership renewal rate of around 90%. In 2024, notable renewals included Hawaiian and RCI, and at the start of 2025, we have also renewed our partnership with Wyndham. In addition to being a longstanding top five partner for us, Wyndham is also a long-term investment banking client. This provides a good demonstration of how collaboration across the Barclays group can drive successful outcomes. While organic growth is at the heart of the plan, opportunities for inorganic growth in the market are also significant. For instance, 15 relevant deals in dollars of balances were tendered annually on average in the market during the past five years. We remain confident in our ability to win new partners, given the strength of our offering and our ability to increase customer engagement and balances. And this was evidenced by recent wins, including Breeze in 2023 and General Motors in 2024. The General Motors card portfolio, which we will onboard in the third quarter of 25, will offset about a quarter of the balances we expect to lose from American Airlines. Overall, we remain focused on achieving scale beyond 2026 and driving improved efficiency to deliver mid-teens ROTE for this business. Turning now to the investment bank. Last year, we shared our plan to increase returns in the investment bank to greater than 12% by 2026 in line with our group target. While competitive and industry dynamics are creating opportunities and challenges for individual businesses, our overall progress is as expected and we continue to run our own race. Our objective is to generate higher and more stable income and returns by improving RWA productivity and rebalancing resources in the business while only modestly increasing costs. We delivered 7% year-on-year income growth in 2024, broadly on track with our high single-digit annualized growth target from 23 to 26. And as a reminder, more than half of our planned growth in the investment bank comes from initiatives which we control, with the remainder coming from growth in the industry wallet. So we expect these initiatives to add 1.8 billion pounds to our income by 2026. And in the first year of our plan, we achieved around a third of this planned improvement. In investment banking, we've increased share across most products. This included strong performance in ECM, where we increased fee share by about 100 basis points. And in leverage finance, where we increased share by 70 basis points. And across the three focus businesses and markets, we've made progress within equity derivatives and securitized products. And while progress in European rates has been slower, we saw recovery in the fourth quarter. Across our markets business, we now rank top five with 56 of our top 100 clients, up seven from a year ago, and versus our target of 70 by the end of 2026. Our capital productivity has also improved, with income to RWAs increasing by 30 basis points year-on-year to 5.8%. And we achieved positive jaws with income up 7% from 23% versus a 4% increase in costs. And this enabled a year-on-year improvement in our cost-income ratio to 67%. And we are focused on making further progress on this cost income ratio in 2025 towards delivery of our high 50s target for 2026 full year. I'd like to highlight two areas of progress during the past year that helped to position the investment bank to perform in a range of scenarios. First, as Anna said, we continue to prioritize growth in stable income during 2024, particularly within financing. Growing financing income enhances the durability of our returns, and we now have financing relationships with 98 of our top 100 clients. Second, our banking fee share has increased by 30 basis points year on year to 3.3%, with the wallet also higher. And we remain particularly well-positioned to benefit from stronger activity in the US, where we generate 68% of our total banking fees. At the same time, our market share in global markets declined 20 basis points in the year, reflecting lower share in fixed income, the larger of our market's businesses. And so, while we are pleased with our direction of travel, we recognize that there's further work to do to deliver the full extent of our ambition. Let me now hand over to Anna for the final installment of today's update.