Announced late last week: 300-year old Royal Bank of Scotland (RBS) brand is to rebrand under the NatWest Group.
The change of the parent company name from RBS Group to NatWest group will take place later this year, having decided that now is the “right time to align the parent name with the brand under which the great majority of our business is delivered” (Chairman Howard Davies). This rebrand will coincide with the launch of their new strategy, which focuses on being a more purposeful business.
Clients of the bank will continue to be served through the existing RBS high street brand and will see no changes to service or products. RBS registered office will also remain in Edinburgh, and no jobs have been affected by this move.
RBS faced near-collapse in 2008 and was subsequently bailed out by the UK Government. Since then, the bank and its executive team have turned around the business’ performance, restoring it to full profitability and exceeding all of its 2019 financial targets (reported 2019 profits were £4.2bn).
What impact is this likely to have on their mortgage business?
Most of us are familiar with the NatWest brand, which accounts for 80% of the group’s revenue, so it’s unlikely many NatWest customers will notice any changes at all. To date, there have been no announcements made regarding changes to the NatWest mortgage lending proposition (which is doing incredibly well) and, while we’re pleased to see RBS in a good place, the impact from a mortgage borrowing perspective is likely to be negligible.
Sources: Mortgage Solutions