Royal Bank of Scotland, which as previously announced is to spin off its international private banking arm, said operating profit in the third quarter of this year stood at £64 million, down from £70 million three months ago, as restructuring costs affected results.

Royal Bank of Scotland, which as previously announced is to spin off its international private banking arm, said operating profit in the third quarter of this year stood at £64 million ($102.3 million), down from £70 million three months ago, as restructuring costs affected results.

In its results statement today, RBS that its exit from international private banking intends to focus on “minimising client and business disruption while maximising value and certainty of execution”; the bank gave few other details on how far advanced it is in its disposal plans.

Client assets and liabilities grew by £700 million in the third quarter with increases across all categories. This includes growth of £200 million in assets under management to £28.9 billion across the UK and international businesses, it said in a statement.

Total income decreased by 1 per cent to £270 million while operating expenses excluding restructuring costs increased by 3 per cent to £203 million primarily due to remediation expenses.

Goup results
RBS, which is still majority-owned by the UK state following a taxpayer bailout amid the 2008 financial crisis, reported that third-quarter attributable profit was £896 million, up from £230 million in the previous quarter and a loss of £828 million a year ago.

Profit before tax was £1.270 million compared with £1.010 billion in the previous quarter and a loss of £634 million a year ago.

The quarter included net impairment provision releases of £801 million, principally in Ulster Bank and RBS Capital Resolution, and litigation and conduct costs of £780 million, it said.

On capital ratios, the bank said its Common Equity Tier 1 ratio has strengthened 220 basis points since the year end and 70 basis points in the quarter to 10.8 per cent.