RBS has announced plans to ringfence its retail banking business from its riskier investment banking business to meet the deadline of 1 January 2019 set by the British government.
RBS, which is 73% owned by the UK government, said that its new ring-fenced bank would be known as NatWest Holdings that would include its core NatWest, Royal Bank of Scotland, Coutts, Ulster Bank and Ulster Bank Ireland DAC.
Private banking brand Adam & Company will be rebranded as Royal Bank of Scotland under the changes and will among its ring fenced operations.
The non-ringfenced operations will include the investment bank that will be rebranded as NatWest Markets, along with its Channel Islands operations. Royal Bank of Scotland will remain the group holding company for the ringfenced and the non-ring fenced business.
NatWest will become the banking group’s main brand in England, Wales and western Europe, and Royal Bank of Scotland the core brand in Scotland.
RBS CEO Ross McEwan said: “Our proposed future structure under the ringfencing legislation and our brand strategy are key elements of the bank we are becoming.
“The future ringfenced structure of the bank is not only designed to be in compliance with the new regulatory requirements and objectives but will better reflect who we are as a bank and what we stand for: a bank that is focused on its customers.”