INCOME STATEMENT – UNDERLYING BASISA
 AND KEY BALANCE SHEET METRICS
Three
months
ended
31 NAME_1
2023
£m
Three
months
ended
31 NAME_1
2022
£m
Change
%
Three
months
ended
31 Dec
2022
£m
Change
%
Underlying net interest income 3,535 2,945 20 3,643 (3)
Underlying other income1
 1,257 1,182 6 1,128 11
Operating lease depreciation (140) (94) (49) (78) (79)
Net income 4,652 4,033 15 4,693 (1)
Operating costs1
 (2,170) (2,059) (5) (2,356) 8
Remediation (19) (52) 63 (166) 89
Total costs (2,189) (2,111) (4) (2,522) 13
Underlying profit before impairment 2,463 1,922 28 2,171 13
Underlying impairment charge (243) (177) (37) (465) 48
Underlying profit 2,220 1,745 27 1,706 30
Restructuring (12) (24) 50 (11) (9)
Volatility and other items1
 52 (177) (638)
Statutory profit before tax 2,260 1,544 46 1,057
Tax expense1
 (619) (399) (55) (75)
Statutory profit after tax 1,641 1,145 43 982 67
Earnings per share1
2.3p 1.4p 0.9p 1.3p 1.0p
Banking net interest marginA
3.22% 2.68% 54bp 3.22%
Average interest-earning banking assetsA
 £454.2bn £448.0bn 1 £453.8bn
Cost:income ratioA,1 47.1% 52.3% (5.2)pp 53.7% (6.6)pp
Asset quality ratioA
0.22% 0.16% 6bp 0.38% (16)bp
Return on tangible equityA,1 19.1% 10.7% 8.4pp 11.0% 8.1pp
A
 See page 15.
1
2022 comparatives have been restated to reflect the impact of IFRS 17. See page 16.
At 31 NAME_1
2023
At 31 NAME_1
2022
A
t Change
%
At 31 Dec
2022
Change
%
Loans and advances to customers £452.3bn £451.8bn £454.9bn (1)
Customer deposits £473.1bn £481.1bn (2) £475.3bn
Loan to deposit ratioA
96% 94% 2pp 96%
CET1