#120 22 OM 23 HY23 Interim Results Announcement 30 June 2023 Bank of Ireland#2Empty#3H1 2023 Performance Group CEO Myles O'Grady Customers Society Bank of Ireland Purpose Colleagues Helping you Thrive Shareholders Bank of Ireland - The National Champion Bank Stronger relationships Simpler business Sustainable company 3#4Empty#5Strong strategic delivery • Net interest income +68% y/y, total business income +23% y/y Bank of Ireland Financial performance €1.0bn • Costs +12%, in line with guidance (like-for-like broadly flat) PBT • Strong liquidity with LDR of 79% and a 3% increase in customer balances Strategic progress +12% Total customer loans vs Dec 2022 Delivering annual financial targets 180bps Strong net organic capital generation • . • • Asset quality remains resilient c. €2bn HNW customer migration from BOI Private to Davy Wealth; €8bn KBCI transaction Digitalisation and simplification of business model progressing at pace NPS at highest ever level; colleague engagement +3pts vs sector ESG - €1.5bn increase in sustainable lending since Dec 2022 • 18.5% ROTE (H122 7.0%) Cost-to-income ratio of 42% (H122 60%) Capital allocation strategy reflected in strong FL CET1 ratio of 14.8% Distribution decisions will be assessed at year end and informed by strong performance Strategic management actions and business model development supporting improved financial performance 5#6Irish economy growing; UK moderating Shifting interest rate and inflation expectations Ireland1 Bank of Ireland Irish macro backdrop remains supportive; Irish GDP expected to outperform EU by c.9ppts (cumulative) over 2023-2025² 5.0% 2.9% 3.90% 2.2% Ireland UK 3.19% 3.37% 2.83% Unemployment 3.8% (June 2023) 4.0% (May 2023) 2.80% 2.71% GDP (2023 expected) 5.4% 0.0% 2023 2024 2025 ECB deposit rate forecast (as at Dec 2022) ECB deposit rate forecast (as at July 2023) Inflation (annual average) House prices y/y 2.4% (May 2023) 1.9% (May 2023) 6.9% 5.83% UK1 2.8% 5.32% 4.62% 2023 4.05% 1.3% 4.61% 3.83% 2024 2025 BOE base rate forecast (as at July 2023) Inflation (annual average) BOE base rate forecast (as at Dec 2022) Geographically diversified balance sheet³ €49bn (Customer Loans) €25bn (Customer Loans) 1 Sources: ECB/BOE rate forecasts refer to year end rates derived from market pricing; inflation and GDP forecasts from external forecast consensus including CBol, Department of Finance, ESRI in Q2 2023 2 IMF World Economic Outlook April 2023 3 Loan assets based on geographic location of customer €42bn (Wealth and Insurance AUM) €7bn (Customer Loans) 6#7Business line performance Irish Residential Mortgages +6%' Irish mortgage loan book growth (ex KBCI portfolio) ☐ ☐ Bank of Ireland Commercially disciplined pricing decisions while market share grew to 41% (H122 24%) Everyday Banking +5% y/y Fee income growth Increased customer activity combined with €2.6bn growth (vs end Dec 22) in Retail Ireland customer balances driving higher current account fee income Wealth and Insurance Business & Corporate €1.2bn AUM net inflows (+28% y/y) +6% y/y Irish Business Banking and Corporate² new lending Strong net inflows supporting AUM growth (€42bn, +7% vs end Dec 22) despite market backdrop Good Irish performance; cautious approach to international lending and commercial property given uncertain outlook Retail UK 1 Annualised net book growth 2 Excluding property and construction lending £117m PBT 888 Value over volume strategy increasing returns from higher NIM (+32bps) and smaller balance sheet 7#8Digitalisation supporting simpler business and stronger relationships Complaints falling Bank of Ireland H118 H119 H120 H121 Complaints¹ Active digital users H122 H123 Customer satisfaction² increasing H221 H122 H222 H223 CES RNPS 1 Complaints per thousand customers, monthly 2 Customer satisfaction as measured by RNPS (Relationship Net Promoter Score) and CES (Customer Effort Score) metrics 3 Customer base refers to Retail Ireland active customers; Complaints refers to Retail Ireland and NIAC 4 Reduction in per unit customer service costs • Active digital customer base increased by c.60% since 2018 • 79% of current account customers digitally active • Customer base is increasing (+7% y/y) while complaints are falling (-7% y/y and -50% since 2017)³ Average product holding is increasing (new to bank customers +14% since Jan 2022) Customer satisfaction remains at highest ever level - Relationship Net Promoter Score +7pts in H123 - Customer Effort Score +7pts y/y Everyday Banking cost-to-serve -6% y/y4 8#9ESG fundamental to our Sustainable strategy Commitment to green transition evidenced by tangible outcomes Bank of Ireland c.€9.7bn Sustainability related finance +€1.5bn in H1 Financial Wellbeing at the heart of customer interactions UNPRB Financial Health & Inclusion targets set in H1 Colleague Engagement and Diversity 66% Colleague Engagement Index (+3pts vs sector) 41% Gender diversity hires in H1 1 éist Staff Culture Survey 2023 9#10Bank of Ireland Creating value as The National Champion Bank Differentiated business model H1 2023 outperforming against 2023 - 2025 annual financial targets 2023-2025 Financial Targets Banking Wealth ROTE c.15% CIR <50% Insurance With market-leading brands serving > 4m customers NEW IRELAND 18 DAVY Dividend pay-out building to c.40% by 20241 Distribution of surplus capital considered annually Bank of Ireland SECURING YOUR FUTURE Operating in highly attractive markets 40-60% ordinary dividend pay out ratio in formal distribution policy provides flexibility. This pay out ratio excludes distributions of surplus capital, which will be considered annually 10#11H1 2023 Financials Group CFO Mark Spain Bank of Ireland 11#12Empty#13H1 2023 financial summary¹ • Total income² of €2.2bn vs €1.4bn in H122 . Bank of Ireland Loan book growth in Ireland of €8.8bn driven by KBCI portfolio and organic net lending of €0.8bn • Operating expenses performing in-line with guidance; CIR³ at 42% • Net credit impairment charge of €158m including KBCI Day 1 effects; NPE ratio 3.6% . Statutory PBT €1.0bn vs €0.4bn in H122 • ROTE4 of 18.5% (H122 7.0%) • Strong liquidity position; deposit growth of €2.5bn in H123; LDR 79% . Fully loaded CET1 of 14.8%; net organic capital generation of 180bps 1 Comparative figures restated for application of IFRS 17 on 1 January 2023 2 Including share of associates and JVs and other income/expenses and valuation items 3 See slide 47 for basis of calculation 4 See slide 46 for basis of calculation; H122 adjusted to include non core within calculation basis; H122 reported ROTE 8.1% 13#14H123 financial performance H1 2022 (€m) restated¹ Net interest income 1,072 H1 2023 (€m) 1,802 Business income 273 350 Other income/expenses and valuation items 22 49 Total Income 1,367 2,201 Operating expenses (811) (907) Levies and Regulatory charges (95) (110) Operating profit pre-impairment 461 1,184 Net impairment charges (47) (158) Share of associates /JVs 21 11 Underlying profit/(loss) before tax 435 1,037 Non-core Items (84) Profit before tax 351 (12) 1,025 Bank of Ireland H1 2023 2.96% H123 performance reflects strategic actions, positive business momentum, higher interest rates and continued focus on efficiencies Operating profit pre-impairment reflects higher Net interest income Total business income4 - Operating expenses; like-for-like broadly flat Net credit impairment charge (€158m); reflects cautious macroeconomic assumptions, portfolio activity and Day 1 effects from KBCI portfolio acquisition Cost to Income ratio of 42% reflects higher income and operating leverage Earnings per share 74.1c in H123 (H122 23.9c) TNAV increased by 7% from Dec 2022 to 924c, primarily reflecting retained profits in the period, partially offset by FY22 distributions H1 2022 restated¹ Net interest margin (NIM) 1.73% Cost income ratio² 60% 42% Earnings per share 23.9c 74.1c Return on Tangible Equity (ROTE) - adjusted³ 7.0% 18.5% 1 Comparative figures restated for application of IFRS 17 on 1 January 2023 2 See slide 47 for basis of calculation 3 See slide 46 for basis of calculation; H122 adjusted to include non core within calculation basis 4 Including share of associates and JVs 14#15NII guidance for 2023 upgraded €1,072m Net interest income movement €676m €419m (€366m) €1,802m H122 Liquid assets Lending Funding H123 €1,072m 304bps Net interest income¹ €1,410m 329bps Bank of Ireland H123 Performance Net interest income (NII) growth primarily reflects higher rates, acquisitions and business momentum: - - Liquid asset income supported by growing deposit franchise and higher rates Lending income, with higher yields, Irish franchise momentum and KBCI transaction in Feb 2023 (€70m) all contributing Partially offset by higher wholesale and deposit funding costs (including cessation of negative interest rate income) Pricing discipline maintained; loan asset spread 27bps higher vs H122 €1,802m 331bps 222bps Outlook H2 NII expected to be modestly higher than H1, reflecting positive rate impacts² and business momentum, partially offset by higher funding costs 39% 41% 36% (23bps) 43bps H122 H222 H123 Loan asset spread Liquid asset spread Liquid assets as % of AIEAS 1 Spread Loan asset yield or Liquid asset yield less Group's average cost of funds, excludes NII impact from TLTRO 2 Interest rate assumptions: ECB deposit rate of 3.75%, BOE base rate of 5.50% and Fed Funds rate of 5.00% at end-2023 15#16Structural hedge and net interest income sensitivity Structural hedge¹ Bank of Ireland Period-end volume €39bn Interest income €60bn €66bn €374m €118m €12m €29m €41m €59m H122 H222 H123 GBP EUR Illustrative NII sensitivity² to parallel shift in interest rates (annualised) • Higher structural hedge volumes in H123 due to growth in customer current account balances Increased income in H123 reflects higher swap rates and volumes: Average gross yield on fixed leg of structural hedge portfolio increased from 64bps in H222 to 134bps in H123; exit rate of 154bps end June 2023 Average duration of hedge portfolio unchanged at c.3.5 years at Jun 2023; one seventh of the portfolio rolling annually NII sensitivity of €170m at HY23; reduction vs FY22 level of €270m reflects - higher assumed levels of pass through on liabilities, reflecting higher starting position on interest rates (3.5% ECB deposit rate Jun 2023 vs 2.0% Dec 2022) increased structural hedge volumes - partially offset by balance sheet growth in the period EUR GBP USD Total +100bps -100bps €130m €25m €15m €170m • Structural hedge enhances NII resilience while reducing NII sensitivity (€255m) (€40m) (€20m) (€315m) 1 Gross interest income from fixed leg of hedging swap; the Group's fixed rate assets (e.g. fixed rate lending) are fully hedged for interest rate risk; these hedges partially offset the Group's structural hedge 2 The sensitivity assumes (i) an instantaneous and parallel movement in all interest rates, with a starting point of an ECB deposit rate of 3.5%; (ii) a static balance sheet; (iii) assets and liabilities whose pricing is mechanically linked to market or central bank policy rates reprice immediately; (iv) certain other assumptions including pass throughs to assets and liabilities. The sensitivities should not be considered a forecast of future performance in rate scenarios as they do not capture potential management action in response to unexpected changes in the interest rate environment. Net interest income sensitivities will change depending on interest rate starting point 16#17Loan book growth reflects acquisitions and Irish net lending Group loan book movement €72.0bn €0.8bn €8.0bn (€0.6bn) (€0.2bn) €0.7bn Bank of Ireland €80.7bn Dec 22 KBCI portfolio Ireland (net lending) International corporate and property (net lending) Retail UK (net lending) Impairment / FX / other Jun 23 Loan book growth of 12% in H1 KBCI portfolio of €8.0bn acquired in Feb 2023 Net lending in Irish loan books (ex KBCI) of €0.8bn, primarily reflecting strong Irish mortgage new lending (+76% y/y) and modest growth in Irish corporate and business banking loans Reduction in international corporate and commercial property lending reflects cautious approach given uncertain outlook Pace of Retail UK deleveraging lower in H123 (H122 €2.0bn), reflecting agile response to market dynamics Outlook Group loan book expected to grow in H2, supported by continued growth in Ireland (primarily in residential mortgages) - partially offset by further modest deleveraging in UK and ongoing cautious approach to international corporate and property lending 17#18Total business income¹ 23% higher Bank of Ireland H1 2022 (€m) restated H1 2023 (€m) Retail Ireland² 71 74 Wealth and Insurance³ 80 166 • Retail UK (13) (18) Corporate and Markets² 145 138 Group Centre and other (10) (10) Business Income 273 350 Share of associates /JVs 21 11 Total Business Income incl. JVs 294 361 • H123 performance . Retail Ireland reflects higher current account fee income and customer activity, partially offset by lower interchange fees Wealth and Insurance performance reflects - Six months' contribution of Davy in H123 (vs one month in H122) Wealth and Insurance (ex-Davy) business momentum Retail UK expense primarily reflects partnership profit-sharing arrangement, with benefits reflected in net interest income Corporate & Markets fee income reduction reflects underlying business growth offset by impacts of cessation of business activity Valuation and other items reflect market movements Other income/(expenses) 83 (1) Valuation and other items (61) 50 Outlook Other Income 316 410 • H223 total business income¹ expected to be broadly in line with H123 1 Including share of associates and JVs Comparative Corporate & Markets and Retail Ireland restated for transfer of Business Banking ROI from Retail Ireland into Corporate & Markets 3 Comparative Wealth and Insurance restated for application of IFRS 17 18#19Operating expenses in line with guidance €791m (€2m) Operating expenses movement €25m €93m H122 (restated)¹ Net reductions / inflation Acquisitions Bank of Ireland €907m Other H123 (reported)² • H123 performance Net efficiencies and lower pension costs have been largely offset by inflation and investment impacts; like-for-like expenses¹ broadly in-line at €789m Acquisitions reflect Davy (acquired 1 Jun 2022), KBCI portfolios (acquired 3 Feb 2023), and one-off onboarding investment costs, now largely complete Other reflects accrual for variable pay, with payment performance related, and additional investment to drive future efficiencies Non-core H1 non core costs of €12m Outlook • Operating expenses expected to be c.€1.85bn, in line with prior guidance Levies and regulatory charges expected to be c.€160m Non core items expected to be lower than 2022 1 Reported costs in H122 were €849m; like for like figure of €791m excludes Davy and onboarding costs of €20m, and is restated for application of IFRS 17 (€38m) 2 Operating expenses excluding levies and regulatory charges (H123 €110m) 19#20FY23 Outlook Impairment charge of €158m in line with expectations • IFRS 9 models and management adjustments (PMAs) (€28m) charge Charge of (€53m) related to model updates and updated IFRS 9 macroeconomic assumptions PMA gain of €25m (Jun 2023 stock of €35m) in relation to NPES earmarked for disposal Loan loss experience and portfolio activity (€130m) charge Charge of (€97m) from portfolio activity, reflecting net losses on case specific credit events . Day 1 charge of (€17m) related to KBCI portfolio acquisition HY 2023 Bank of Ireland Additional assessment on affordability² of residential mortgage and consumer loan portfolios, reflecting higher interest rates (€16m net charge) Prudent approach applied in setting macroeconomic assumptions¹ Ireland United Kingdom 30 June 2023 2023 2024 2023 2024 Probability Weighted Scenarios GDP growth 4.8% 3.6% -0.4% 0.1% Probability weighted scenarios used for provisioning apply more conservative assumptions vs central scenario (consensus of external forecasts) Unemployment 4.6% 5.3% 4.5% 5.2% Inflation 5.3% 3.2% 7.3% 3.1% House Price Index -6.5% -2.4% -9.6% -5.4% Weightings to downside scenarios increased by 5% to 45% vs Dec 2022 Commercial Real Estate prices -11.1% -8.0% -8.8% -7.1% FY23 impairment charge expected to be mid-30s bps, subject to no material change in economic conditions or outlook 1 See slide 38 for 2023-2027 macro-economic assumptions used in IFRS 9 models 2 SICR (Significant Increase in Credit Risk) assessment under IFRS 9. Total stock of SICR assessments included in ILA of residential mortgage and consumer portfolios of €28m 20#21Diversified loan book and strong asset quality Group loan book segment mix (net) Consumer €5.7bn Property and 7% Construction 10% €7.8bn €80.5bn 25% ■Non-property SME and corporate €20.5bn 1.8% 3.6% €2.6bn €12.6bn €57.8bn Ireland Mortgages 38% €31.0bn 20% UK Mortgages €15.4bn Group loan asset quality 1.7% 3.6% €2.9bn €13.8bn €65.1bn Dec 22 Jun 23 Stage 1 Stage 2 Stage 3 ILA coverage NPE % Bank of Ireland Considered approach to customer lending • Disciplined credit underwriting approach based on adherence to prudent risk appetite, credit policies, and portfolio and single-name concentration limits Loan book strongly collateralised • . Weighted average LTV of Ireland mortgages 53%; H123 new lending 76% Weighted average LTV of UK mortgages 56%; H123 new lending 71% Property and Construction portfolio c.10% of Group loan book; c.90% of CRE lending in investment property, weighted average LTV of 59%, c.70% in Ireland Non property SME and corporate includes acquisition finance book of c. €4.9bn with strong credit track record; CRT covers c.50% of this book Prudent provisioning approach Coverage of 1.7%; reduction in H123 primarily reflects KBCI transaction Stage 2 loans increase of €1.2bn reflects model updates and SICR assessments NPE ratio stable vs Dec 2022 at 3.6%; KBCI transaction added €0.2bn in NPES Ambition to further reduce NPE ratio 21#22Strong retail franchise and liquidity metrics Growing retail deposit base €99bn €11bn €9bn €59bn €102bn €11bn €9bn €60bn €20bn €21bn Dec 22 Jun 23 Irish personal deposits Group credit balances¹ UK deposits ■Commercial deposits Personal deposits (€56bn) Non personal deposits (€46bn) 24% Insured ■Uninsured 76% 75% Insured Uninsured Includes personal and non personal credit balances in ROI (€55bn) and UK (€5bn) 2 Source: CSO, Q1 household incomes and spending; four quarter moving average, seasonally adjusted 3 Dec 2022 comparatives: LCR 221%, NSFR 163%, LDR 73% Bank of Ireland Customer deposits • • Increase in volumes primarily due to growth in Retail Ireland of €2.6bn, including KBCI deposit portfolio; Q123 Irish household savings ratio at 12%2 53% of Group customer balances are insured, including 76% of personal customer balances; average Irish personal account balance of €16k Credit balances/current accounts c.60% of Group customer deposits Modest migration into term/regular saver products observed following price changes to date; expected to increase over current rate cycle Strong funding and liquidity position . LCR 193%; NSFR 153%; LDR 79% at Jun 20233 25% • Liquid assets €44bn; primarily €31bn in central bank balances and €10bn in highly rated investment securities (interest rate exposure fully hedged) Ratings upgrade from S&P in Jun 2023 to BBB and from Fitch in July 2023 to BBB+ 22#23Net organic capital generation of 180bps RWAS €47.5bn 15.4% (140bps) Fully Loaded CET1 180bps (40bps) (60bps) Dec 22¹ IFRS 17/KBCI portfolio Net organic capital² H1 performance RWA³ Bank of Ireland RWAS €52.0bn 14.8% Foreseeable dividend deduction Jun 23 • Net organic capital generation of 180bps H123 (50bps H122) Foreseeable ordinary dividend deduction 33% of H123 statutory profit (FY22 25%) Fully loaded CET1 ratio of 14.8% vs CET1 guidance of >14%; Regulatory CET1 ratio of 15.0%; 405bps headroom to 2023 capital requirements RWAs increase of €4.5bn primarily reflects KBCI portfolio acquisition, CRT amortisation and loan book mix EBA stress test: peak CET1 depletion4 improved by 110bps vs 2021, reflecting management actions Outlook and Distributions • H223 net organic capital generation expected to be broadly similar to H123 FY23 dividend and share buyback decisions will be assessed at year end and informed by strong performance 1 Dec 2022 RWA and CET1 are restated in the HY23 interim report for the application of IFRS 17 on 1 Jan 2023 (Dec 2022 RWA restated to €46.8bn; Fully Loaded CET1 to 15.1%.) CET1 impact of (30bps) is captured in the CET1 walk above 2 Net organic capital generation primarily consists of attributable profit after impairment and movements in regulatory deductions 3 RWA capital impacts from changes in loan book mix, asset quality and movements in other RWAS 4 Fully Loaded CET1 depletion from adverse scenario results of 2023 EBA stress test 23#242023 guidance upgraded Income NII in H223 expected to be modestly higher than H123 Total business income¹ in H223 expected to be broadly in-line with H123 Cost of risk FY23 impairment charge expected to be mid 30s bps, subject to no material change in economic conditions or outlook 1 Including share of associates and JVs ROTE FY23 expected to be similar to H123 Bank of Ireland Operating expenses FY23 operating expenses expected to be c.€1.85bn Capital and distributions H223 net organic capital generation expected to be broadly similar to H123 FY23 dividend and share buyback decisions will be assessed at year end 24#25Appendix Bank of Ireland 25#26Empty#27Appendix • • BOI overview - customer loans / new lending volumes Ireland mortgages . UK customer loans • . Income statement Net interest income analysis Asset quality - - Non-performing exposures by portfolio Portfolio by stage Non-property SME and Corporate by stage Residential mortgages / Consumer loans Non-property SME and Corporate - Property and Construction - Forward looking information - macro-economic scenarios Impairment loss allowance sensitivity analysis Capital and Liquidity Ordinary shareholders' equity and TNAV Wealth and Insurance - key messages including IFRS 17 Capital - CET1 ratios Regulatory capital requirements Risk Weighted Assets Return on Tangible Equity (ROTE) Cost-to-income ratio Defined benefit pension schemes Forward looking statement Contact details Bank of Ireland Slide No. 28 29 22 30 31 32 33 34 35 36 37 BE 38 39 40 41 42 43 44 45 46 47 48 49 50 27#28Overview of customer loans Composition (Jun 23) Mortgages Non-property SME and corporate Property and Construction Consumer Customer loans (gross) Geographic (%) Retail Ireland €0.3bn €0.3bn €2.4bn €1.3bn HY22 1 Based on geographic location of customer Bank of Ireland Profile of customer loans' at Jun 2023 (Gross) Ireland (€bn) UK ROW Total Total (€bn) (€bn) (€bn) (%) 31.2 15.5 0.0 46.7 57% 10.8 5.1 5.4 21.2 26% 5.0 1.2 1.7 7.9 10% 2.3 3.6 0.0 5.9 7% 49.3 25.4 7.1 81.8 100% 60% 31% 9% 100% Gross new lending volumes Retail UK Corporate & Markets €0.7bn €0.7bn €0.3bn €0.4bn €1.2bn £0.1bn €1.0bn £0.1bn £1.1bn £1.0bn €1.7bn €1.7bn £0.8bn £0.4bn HY23 ■Mortgages HY22 HY23 HY22 HY23 Consumer Business Banking Corporate Ire/Prop/Non-Core Acquisition finance Corporate UK 28#29Ireland mortgages: €31bn New Lending Volumes and Market Share 41% Bank of Ireland Ireland Mortgages (gross) €31.0bn €23.0bn €22.9bn €22.4bn €22.5bn 24% 23% 23% 23% €21.9bn €11.1bn €12.2bn €15.6bn €13.1bn €2.4bn €3.2bn €2.9bn €2.5bn €3.1bn €1.3bn €1.6bn €1.0bn €1.0bn €0.9bn H1 2019 H1 2020 H1 2021 H1 2022 H1 2023 New Lending Volumes Market Share €8.7bn €7.9bn €6.8bn €5.3bn €6.0bn Dec 19 Dec 20 Dec 21 Dec 22 Jun 23 ■Tracker Variable Rates Fixed Rates Pricing strategy • Fixed rate led mortgage pricing strategy which provides value, certainty and stability to our customers and to the Group • • Fixed rate products accounted for c.98% of our new lending in H1 2023, up from c.30% in 2014 • 70% of fixed rate mortgage book does not rollover until 2025 or later Distribution strategy - continued expansion into broker channel The Group has continued building out The Mortgage Store broker channel in 2023, establishing a large network of active brokers at a national level LTV profile Average LTV of 53% on mortgage stock at Jun 2023 (Dec 2022: 51%) Average LTV of 76% on new mortgages in H123 (2022: 72%) Tracker mortgages . 86% of trackers are owner occupier mortgages; 14% of trackers are Buy- to-Let (BTL) mortgages Macroprudential rules • . c.63% of mortgage book originated since introduction of Central Bank of Ireland macroprudential rules in 2015 Weighted average LTV for pre-2015 mortgages is c.40% 29#30UK customer loans £21.8bn (€25.4bn)¹ UK Mortgages Wales £0.5bn South East £1.3bn ■Scotland £0.7bn Rest of England £5.8bn Greater London £2.7bn Northern Ireland £0.7bn Other UK customer loans £0.1bn Outer Metropolitan £1.6bn £0.1bn £2.8bn £0.0bn £0.0bn £1.3bn £0.9bn £0.1bn SME Corporate Investment Property £0.1bn £3.0bn • Land and development Consumer Performing Non-Performing Based on geographic location of customer UK Mortgages Analysis - £13.3bn Bank of Ireland • Total UK mortgages of £13.3bn; (NPES: 2.4%): • • - Average LTV of 56% on existing stock at Jun 2023 Average LTV of 71% on new UK mortgages in H123 67% of the current mortgage portfolio originated since 2010, of these 78% are standard owner occupier mortgages; 70% of owner occupied mortgage book on fixed rates, 27% maturing in the next 12 months BTL book (£4.7bn) is well seasoned with 60% originated prior to Jan 2010; £2.0bn of this book on fixed rates, 23% maturing in the next 12 months; average LTV on BTL portfolio of 50% at Jun 2023 Other UK Customer Loans Analysis - £8.5bn • • SME: relationship originated book from NI franchise; broad sectoral diversification with low concentration risk Corporate: specialist lending teams through a focused sector strategy; corporate lending primarily focused on FTSE and AIM listed companies Investment Property: average LTV 61% Consumer (£3.1bn): - Northridge (£1.9bn): Asset backed motor finance business; mid-market targeting prime business only; below average industry arrears and loan losses Personal loan volumes (£1.2bn): cautious approach given macro backdrop 30#31Income statement Net interest income analysis Bank of Ireland H2 2021 H1 2022 H2 2022 H1 2023 Average Gross (€bn) Volumes Interest (€m) Gross Rate (%) Average Gross Volumes Interest (€bn) (€m) Gross Rate (%) Average Gross Volumes Interest (€bn) (€m) Gross Rate (%) Average Volumes (€bn) Gross Interest (€m) Gross Rate (%) Ireland Loans¹ 23.2 315 2.69% 23.2 306 2.66% 23.6 375 3.16% 30.7 561 3.69% UK Loans 26.8 365 2.70% 25.0 368 2.97% 22.6 362 3.17% 20.6 422 4.13% C&M Loans 27.2 504 3.68% 27.8 518 3.75% 28.8 643 4.42% 27.6 612 4.47% Total Loans and Advances to Customers² 77.2 1,184 3.04% 76.0 1,192 3.16% 75.0 1,380 3.65% 78.9 1,595 4.08% Liquid Assets³ 46.2 (32) (0.14%) 49.3 (28) (0.11%) 52.2 210 0.80% 43.8 648 2.99% Total Interest Earning Assets 123.4 1,152 1.85% 125.3 1,164 1.87% 127.3 1,590 2.48% 122.7 2,243 3.69% Ireland Deposits¹ 22.5 9 0.08% 22.9 11 0.09% 24.6 1 0.01% 27.2 (8) (0.06%) Credit Balances4 50.2 26 0.10% 53.2 32 0.12% 58.1 5 0.02% 60.1 (0) (0.00%) UK Deposits C&M Deposits 14.3 (28) (0.38%) 12.4 (17) (0.28%) 10.0 (22) (0.44%) 8.8 (60) (1.38%) 3.9 4 0.20% 4.1 3 0.15% 4.8 (11) (0.44%) 4.3 (27) (1.25%) Total Deposits 90.9 11 0.02% 92.7 29 0.06% 97.6 (27) (0.05%) 100.5 (95) (0.19%) Wholesale Funding 3,5 20.4 (41) (0.40%) 21.3 (61) (0.58%) 19.5 (150) (1.53%) 11.9 (281) (4.78%) Subordinated Liabilities 1.9 (32) (3.29%) 2.0 (35) (3.65%) 1.8 (46) (4.98%) 1.7 (58) (6.67%) Total Interest Bearing Liabilities 113.3 (61) (0.11%) 116.0 (68) (0.12%) 118.9 (223) (0.37%) 114.1 (434) (0.77%) Other 3,6 48 (24) 43 (7) Net Interest Margin as reported 123.4 1,139 1.83% 125.3 1,072 1.73% 127.3 1,410 2.20% 122.7 1,802 2.96% Average ECB rate 0.00% Average 3 month Euribor (0.56%) 0.00% (0.44%) 1.23% 3.31% 1.12% 3.00% Average BOE rate 0.11% 0.71% 2.22% 4.15% Average SONIA 0.06% 0.64% 2.15% 4.08% 1 Ireland Loans reflect the transfer of BBROI loans into Corporate & Markets; BBROI deposits remain in Ireland Deposits 2 Income and expense from derivatives in hedging relationships is allocated within 'Loans and Advances', this approach has been updated (including prior year periods) to better allocate the hedging on each portfolio 3 Volume impact of TLTRO included in liquid assets and wholesale funding; Income impact (€16m) of TLTRO in H122 and €51m in H222 included in Other 4 Credit balances in H123: ROI €49.4bn, UK €4.9bn, C&M €5.8bn; 5 Includes impact of credit risk transfer transactions executed in Dec 2019, Oct 2021 and Dec 2021 6 Includes IFRS 16 lease expense, interest on certain FVPTL items 31#32Non-performing exposures by portfolio Bank of Ireland Composition (Jun 23) Residential Mortgages Advances (€bn) Non-performing exposures (€bn) Non-performing exposures as % of Impairment loss advances allowance (€bn) Impairment loss allowance as % of non-performing exposures 46.7 0.9 1.9% 0.2 23% - Republic of Ireland - UK Non-property SME and corporate - Republic of Ireland SME - UK SME - Corporate Property and construction - Investment - Land and development Consumer 31.2 0.6 1.7% 0.1 23% 15.5 0.4 2.5% 0.1 23% 21.2 1.5 6.9% 0.8 52% 7.3 0.5 7.2% 0.3 63% 1.7 0.1 7.0% 0.1 60% 12.3 0.8 6.6% 0.4 43% 7.9 0.4 5.0% 0.2 43% 7.0 0.4 5.5% 0.2 42% 1.0 0.0 2.0% 0.0 49% 5.9 0.2 2.9% 0.2 117% - Republic of Ireland 2.3 0.1 3.7% 0.1 90% - UK 3.6 0.1 2.4% 0.1 114% Total loans and advances to customers 81.8 2.9 3.6% 1.4 45% Impairment loss Advances Composition (Dec 22) Non-performing exposures Non-performing (€bn) (€bn) exposures as % of Impairment loss allowance (€bn) allowance as % of advances non-performing exposures Residential Mortgages 38.0 0.5 1.3% - Republic of Ireland 22.5 0.3 1.3% - UK SME - UK - Republic of Ireland SME - Corporate Property and construction - Investment - Land and development 15.5 0.2 1.3% Non-property SME and corporate 21.5 1.6 7.3% 7.2 0.6 8.1% 1.6 0.1 7.2% 12.7 0.9 6.9% 8.2 0.4 5.1% 7.1 0.4 5.7% 1.1 0.0 1.4% Consumer 5.4 0.1 2.7% - Republic of Ireland 2.2 0.1 3.5% - UK 3.2 0.1 2.3% ܘܘooooooooooö] 0.1 30% 0.1 34% 0.0 24% 0.8 50% 0.4 63% 0.1 57% 0.4 40% 0.2 46% 0.2 45% 0.0 83% 0.2 116% 0.1 0.1 86% 147% Total loans and advances to customers 73.0 2.6 3.6% 1.3 49% 32#33Bank of Ireland Portfolio by stage Composition (Jun 23) Gross carrying amount (before impairment loss allowance) Impairment loss allowance Sectoral analysis by stage Stage 1 Stage 2 Stage 3 POCI Total Stage 1 Stage 2 Stage 3 POCI Total ILA % of gross loans €m €m €m €m €m €m €m €m €m €m Residential Mortgages 41,181 4,664 729 147 46,721 - Republic of Ireland 27,485 3,208 351 147 31,191 - UK 13,696 1,456 378 15,530 Non-property SME and corporate 14,774 5,043 1,426 1 21,244 Republic of Ireland SME 5,314 1,469 499 1 7,283 - UK SME 1,246 311 111 1,668 - Corporate - Investment - Land and development Consumer - Motor Lending UK - Loans UK - Motor Lending ROI - Loans ROI - Credit Cards ROI Total Composition (Dec 22) 8,214 3,263 816 Property and construction 4,197 3,351 385 3,377 3,211 366 820 140 19 4,959 791 173 110001 - 12,293 8 7,941 6,962 979 5,924 1,772 376 33 2,181 1,118 257 56 1,431 797 3 23 823 755 129 49 1 934 517 26 12 555 BERTRIEB031323003 28 69 133 6 236 0.5% 16 39 89 6 150 0.5% 30 44 86 0.6% 61 163 528 752 3.5% 55 254 341 4.7% 4 17 40 61 3.7% 25 91 234 350 2.8% 63 95 172 2.2% 60 90 161 2.3% 3 5 11 1.1% 46 57 101 204 3.4% 5 11 19 0.9% 29 37 42 108 7.5% - 9 12 1.5% 8 11 31 50 5.4% 4 8 15 2.7% 65,111 13,849 2,713 157 81,830 148 352 857 7 1,364 1.7% Gross carrying amount (before impairment loss allowance) Impairment loss allowance ILA % of Sectoral analysis by stage Stage 1 Stage 2 Stage 3 POCI Total Stage 1 Stage 2 Stage 3 POCI Total gross loans €m €m €m €m €m €m €m €m €m €m Residential Mortgages 34,020 3,546 450 4 38,020 18 38 89 1 146 0.4% - Republic of Ireland 19,733 2,484 251 4 22,472 8 22 69 1 100 0.4% - UK 14,287 1,062 199 - 15,548 10 16 20 Non-property SME and corporate 15,253 4,665 1,534 16 21,468 65 153 563 Republic of Ireland SME 4,931 1,683 561 7,175 39 63 269 - UK SME 1,177 280 121 1,578 4 12 45 - Corporate - Investment - Land and development Consumer 9,145 2,702 852 16 12,715 22 78 249 Property and construction 3,864 3,922 355 60 8,201 10 53 102 INTING 46 0.3% 2 783 3.6% 371 5.2% 61 3.9% 351 2.8% 195 2.4% 3,216 3,469 339 60 7,084 7 47 97 181 2.6% 648 453 16 1,117 3 6 5 14 1.3% 4,694 510 146 5,350 49 41 81 171 3.2% - Motor Lending UK 1,553 225 27 1,805 3 4 9 16 0.9% - Loans UK 1,216 126 45 1,387 31 25 34 90 6.5% - Motor Lending ROI 736 23 759 4 10 14 1.8% - Loans ROI 686 137 40 863 8 9 21 38 4.4% - Credit Cards ROI 503 22 11 536 3 3 7 13 2.4% Total 57,831 12,643 2,485 80 73,039 142 285 835 33 1,295 1.8% 33#34Bank of Ireland 1,2 Non-property SME and Corporate by stage" Composition (Jun 23) Sectoral analysis by stage Non-property SME and corporate - Manufacturing - Administrative and support service activities Gross carrying amount Impairment loss allowance ILA % of Stage 1 €m Stage 2 Stage 3 POCI Total Stage 1 Stage 2 Stage 3 POCI Total gross loans €m €m €m €m €m €m €m €m €m 3,134 1,347 335 4,816 12 42 105 159 3.3% 2,473 665 134 3,272 11 26 61 98 3.0% - Wholesale and retail trade 1,793 455 80 2,328 6 10 41 57 2.4% - Accommodation and food service activities 746 630 178 1,555 3 9 48 3.9% - Agriculture, forestry and fishing 1,328 283 99 1,710 9 11 41 3.6% - Human health services and social work activities 836 414 222 1,472 18 40 4.2% - Other services 641 152 79 872 7 36 45 5.2% - Transport and storage 574 156 103 833 5 54 7.3% - Financial and insurance activities 747 62 4 813 3 2 0.7% - Real estate activities - Professional, scientific and technical activities 372 201 91 664 9 49 9.3% 535 205 33 773 3 6 27 36 4.7% - Electricity, gas, steam and air conditioning supply 451 54 5 510 1 2 3 1.2% - Education - Other sectors Total Composition (Dec 22) Sectoral analysis by stage Non-property SME and corporate - Manufacturing - Administrative and support service activities 356 87 1 444 1 5 1 7 1.6% 788 332 62 1,182 2 10 20 32 2.7% 14,774 5,043 1,426 1 21,244 61 163 528 752 3.5% Gross carrying amount Impairment loss allowance ILA % of Stage 1 €m Stage 2 €m Stage 3 €m POCI Total €m €m Stage 1 €m Stage 2 Stage 3 POCI Total gross loans €m €m €m €m 3,388 1,114 320 4,822 2,544 428 161 16 3,149 - Wholesale and retail trade 1,713 395 77 2,185 - Agriculture, forestry and fishing 1,282 350 100 1,732 - Accommodation and food service activities 608 794 195 1,597 - Human health services and social work activities 880 444 199 1,523 - Financial and insurance activities 921 40 10 971 - Transport and storage - Other services 562 165 107 834 - Professional, scientific and technical activities 643 154 32 829 579 91 97 767 - Real estate activities 390 246 98 734 127033-2325 11 36 127 174 3.6% 17 67 2 98 3.1% 10 43 60 2.7% 11 40 61 3.5% 16 56 75 4.7% 17 40 60 3.9% 3 5 0.9% 43 51 6.1% 5 21 29 3.5% 25 33 4.3% 9 49 63 8.6% - Education 418 51 1 470 1 1.1% - Arts, entertainment and recreation. 241 142 47 430 1 8 18 27 6.3% - Other sectors 1,084 251 90 1,425 3 7 28 38 2.7% Total 15,253 4,665 1,534 16 21,468 65 153 563 2 783 3.6% 1 The Non-property SME and corporate portfolio is analysed by NACE code. The NACE code classification system is a pan-European classification system that groups organisations according to their business activities 2 Exposures to NACE codes totalling less than €400 million are grouped together as 'Other sectors'. The NACE codes reported in the table above can therefore differ period on period 34#35Residential mortgages / Consumer loans Gross loans by stage Residential Mortgages €38.0bn €46.7bn €0.9bn Consumer €5.3bn • €5.9bn €0.2bn €4.6bn €0.1bn €0.5bn €0.8bn • €0.5bn €3.5bn €41.2bn €4.9bn €4.7bn €34.0bn Dec 22 ■Stage 1 Jun 23 Stage 2 Stage 3 Dec 22 Jun 23 ■Stage 1 Stage 2 Stage 3 • ILA movement Residential Mortgages Consumer 0.4% 0.5% 3.2% 3.4% €146m €40m €50m €236m €171m €20m €13m €204m Dec 22 Stage 1/2 Stage 3 Jun 23 Dec 22 Stage 1/2 Stage 3 Jun 23 ●ILA % of gross loans Bank of Ireland . Residential mortgages • Mortgage portfolios 57% of Group loan book - - Average LTV of 54% on stock 89% of the portfolio has LTV < 80% Stage 2 loans increased from €3.5bn at FY22 to €4.6bn at HY23 reflecting portfolio activity and affordability risk Stage 3 loans (incl. POCIs) increased by €0.4bn to €0.9bn due to KBCI acquisition and new defaults (primarily UK) Stage 3 cover (excl. POCIs) decreased to 18% at HY23 (FY22 20%) reflecting evolution of asset mix in defaulted book €0.1bn increase in ILA primarily reflects increases from portfolio activity, FLI/model updates, and KBCI acquisition Total impairment cover increased from 0.4% at FY22 to 0.5% at HY23, reflecting increase in stage 2 loans Consumer • . . 7% of Group loan book Stage 2 loans increased from €0.5bn at FY22 to €0.8bn at HY23 reflecting portfolio activity and affordability risk, particularly in the UK €33m increase in ILA reflecting portfolio activity Total impairment cover increased to 3.4% (3.2% at FY22) reflecting FLI/ model updates and asset mix in the defaulted book 35#36Non-property SME and Corporate Gross loans by stage €21.5bn €1.5bn €4.7bn €15.3bn Dec 22 ILA movement Bank of Ireland 3.6% €5m (€36m) €21.2bn €1.4bn €5.0bn €783m €14.8bn 3.5% €752m Jun 23 Dec 22 Stage 1/2 Stage 3 Jun 23 ■Stage 1 Stage 2 Stage 3 ILA % of gross loans Non-property SME and corporate • 26% of Group loan book, well diversified by geography and sector €0.3bn increase in Stage 2 loans since FY22 driven by model updates; partly offset by portfolio activity Stage 3 balances decreased by €0.1bn, with stage 3 cover stable at 37% Total impairment cover of 3.5% at HY23 stable vs FY22, and remains higher than FY 2019 (2.4%) 36#37Bank of Ireland Property and Construction (P&C) P&C lending (€7.9bn)¹ Development €1.0bn 5.1% €0.4bn €3.9bn €3.9bn Investment €7.0bn Investment loan portfolio (€7.0bn) Residential 30% Other 10% 0 P&C loan staging 5.0% €0.4bn Retail 22% Office 38% • €3.4bn €4.2bn Dec 22 Jun 23 ■Stage 1 Stage 2 Stage 3 NPE ratio Irish focused lending with significant equity protection Investment (€7.0bn) Geographical exposure¹ primarily focused on Ireland (68%) and UK (22%), with modest US/other exposure (10%) Portfolio primarily consists of residential, office and retail assets Weighted average LTVS (59%) and interest cover (2.1x) Development (€1.0bn) Development portfolio focused on residential projects (90% of total development book) No planning risk on residential projects and no speculative exposure on commercial projects Asset quality • HY23 net impairment loss of €18m NPEs broadly stable at €0.4bn at HY23 Stage 2 volumes reduced by c.€0.6bn to €3.4bn (42% of the book) reflecting portfolio activity case movements c.30% of book refinancing in next 12 months; pro-active engagement with customers yielding positive results 1 Based on location of collateral 37#38Forward looking information - macro-economic scenarios Bank of Ireland 30 June 2023 Central scenario - 40% probability weighting GDP growth¹ Ireland United Kingdom 2023 2024 2025-2027 2023 2024 2025-2027 5.4% 4.6% 3.9% 0.0% 1.0% 1.7% GNP growth¹ Unemployment rate² 5.0% 4.3% 3.7% n/a n/a n/a 4.3% 4.3% 4.5% 4.1% 4.4% 4.4% Inflation rate² 5.0% 2.9% 2.1% 6.9% 2.8% 1.7% Residential property price growth³ (2.0%) 0.0% 1.7% (7.0%) (4.0%) 1.7% Commercial property price growth³ (9.5%) (7.0%) 1.8% (7.0%) (6.0%) 2.0% Upside scenario -15% probability weighting GDP growth¹ 6.1% 5.7% 4.3% 0.9% 2.2% 2.1% GNP growth¹ 5.8% 5.4% 4.0% n/a n/a n/a Unemployment rate² 4.2% 3.8% 3.5% 3.7% 3.6% 3.5% Inflation rate² 4.6% 2.3% 2.2% 6.2% 2.1% 2.0% Residential property price growth³ 2.0% 2.0% 2.0% (2.0%) 0.0% 2.3% Commercial property price growth³ (6.0%) (1.5%) 2.5% (3.0%) 1.0% 2.7% Downside scenario 1 - 30% probability weighting GDP growth¹ 4.4% 2.7% 3.5% (0.7%) (1.0%) 1.3% GNP growth¹ 3.9% 2.2% 3.2% n/a n/a n/a Unemployment rate² 4.9% 6.0% 6.3% 4.9% 5.8% 6.2% Inflation rate² 5.7% 3.7% 2.0% 7.7% 3.6% 1.5% Residential property price growth³ (12.0%) (5.0%) 0.0% (13.0%) (7.0%) (0.7%) Commercial property price growth³ (12.5%) (10.0%) 0.0% (10.5%) (10.0%) 0.0% Downside scenario 2 - 15% probability weighting GDP growth¹ 3.0% 0.5% 3.1% (2.1%) (2.3%) 0.8% GNP growth¹ 2.3% (0.2%) 2.6% n/a n/a n/a Unemployment rate² 5.5% 7.9% 8.5% 5.8% 7.4% 8.0% Inflation rate² 6.3% 4.2% 1.8% 8.4% 4.2% 1.3% Residential property price growth³ (16.0%) (8.0%) (2.0%) (17.0%) (11.0%) (2.0%) Commercial property price growth³ (17.5%) (13%) (1.8%) (16.0%) (12.5%) (1.8%) 1 Annual growth rate 2 Average yearly rate 3 Year-end figures 38#39Bank of Ireland ILA sensitivity to macro-economic scenarios The following table indicates the approximate extent to which impairment loss allowance (ILA), excluding Group management adjustments, would be higher or lower than reported were a 100% weighting applied to the central, upside and downside future macroeconomic scenarios respectively. Change in impairment loss allowance 30 June 2023 Multiple scenarios Central scenario Upside scenario Downside scenario 1 Downside scenario 2 Impact of applying only a central, upside or downside scenario rather than multiple probability weighted scenarios¹ Impairment loss allowance €m Impairment loss allowance €m Impact % Impairment loss allowance €m Impact % Impairment loss allowance €m Impact % Impairment loss allowance €m Impact % Total 1,329 (145) (12%) (229) (17%) 215 16% 675 51% The following table indicates the approximate extent to which impairment loss allowances for the residential mortgage portfolios, would be higher or lower than the application of a central scenario if there was an immediate change in residential property prices at the reporting date. Although such changes would not be observed in isolation, as economic indicators tend to be correlated in a coherent scenario, this gives insight into the sensitivity of the Group's impairment loss allowance to a once-off change in residential property values. 30 June 2023 Impact of an immediate change in residential property prices compared to a central scenario impairment loss allowance Residential mortgages Change in impairment loss allowance Central scenario Residential property price reduction of 10% Residential property price Residential property price reduction of 5% increase of 5% Residential property price increase of 10% Impairment loss allowance €m Impairment loss allowance €m Impact % Impairment loss allowance €m Impact % Impairment loss allowance €m Impact % Impairment loss allowance €m Impact % 180 32 18% 15 8% (13) (7%) (24) (14%) 1 The scenarios outlined in the table are based on the FLI weightings outlined on slide 38 39#40Capital and Liquidity Dec 22 Jun 23 Customer loans 72 81 Liquid assets Other assets Total assets 49 44 30 31 151 156 Customer deposits 99 102 Wholesale funding 11 12 Shareholders' equity 12 12 Other liabilities 29 30 Total liabilities 151 156 TNAV per share €8.63 €9.24 Dec 22 Jun 23 Liquidity Coverage Ratio 221% 193% Net Stable Funding Ratio 163% 153% Loan-to-deposit ratio 73% 79% Bank of Ireland Liquidity Funding and liquidity remains strong from stable customer deposits and MREL issuance Customer loans: €80.7bn Overall Group customer loan volumes of €80.7bn at 30 Jun 2023 are €8.0bn higher (constant currency basis) than 31 Dec 2022, primarily due to the KBCI portfolio acquisition Customer deposits: €101.7bn Overall Group customer deposit volumes of €101.7bn at 30 Jun 2023 are €2.5bn higher than 31 Dec 2022, primarily due to the KBCI transaction and growth in Irish franchise Wholesale funding: €12.1bn • €1bn higher than Dec 2022 due to a senior MREL bond issuance of €0.8bn in Jan 23 MREL RWA ratio of 30.7% at Jun 2023 The liquidity coverage ratio decreased to 193% at Jun 2023 primarily due to the KBCI transaction, partially offset by MREL issuance, with the loan-to-deposit ratio increasing from 73% to 79% Leverage Ratio Fully Loaded Leverage Ratio: 6.5% Regulatory Leverage Ratio: 6.6% Tangible Net Asset Value TNAV increased c.7% to €9.24 since Dec 2022 40#41Ordinary shareholders' equity and TNAV Movement in ordinary shareholders' equity Ordinary shareholders' equity at beginning of period Movements: Profit/(Loss) for the period Dec 22 (€m) restated¹ 9,933 Share buy back - repurchase of shares Dividend paid to ordinary shareholders Dividends paid to NCI - preference stock Distribution on other equity instruments - Additional Tier 1 coupon (net of tax) Re-measurement of the net defined benefit pension liability Debt instruments at FVOCI reserve movements Cash flow hedge reserve movements Foreign exchange movements Liability credit reserve movements Revaluation reserve movements Reserve for Preference stock to be redeemed Changes in value and amount of shares held Ordinary shareholders' equity at end of period Tangible net asset value Ordinary shareholders' equity at the end of period Adjustments: Intangible assets and goodwill Own shares held for benefit of life assurance policyholders Tangible net asset value (TNAV) Number of ordinary shares in issue at the end of the period excluding treasury shares TNAV per share (€) 1 Restated for application of IFRS 17 on 1 January 2023 Bank of Ireland Jun 23 (€m) 10,489 858 853 (50) (125) (54) (225) (8) (4) (69) (34) 91 148 (146) 1 5 (3) (93) 63 15 (17) (3) (57) 10 1 10,489 11,090 Dec 22 (Єm) restated¹ 10,489 Jun 23 (€m) 11,090 (1,276) (1,350) 10 9 9,223 9,749 1,069 1,055 €8.63 €9.24 41#42Bank of Ireland Wealth and Insurance¹. - IFRS 17 application and restatement of H122 H1 2022 H1 2022 H1 2023 (€m IFRS 4) (€m IFRS 17) (€m IFRS 17) Income 123 76 162 Expenses (82) (45) (107) Operating contribution 41 32 55 Investment valuation movement (102) (77) 22 Underlying contribution (61) (44) 77 Dec 2022 AUM (€bn) Jun 2023 (€bn) Davy 18 20 NIAC 21 22 Total AUM 39 42 • • • • • On 1 Jan 2023, the IFRS 17 accounting standard related to insurance contracts became effective, replacing IFRS 4. This has a material impact on the recognition, measurement, presentation and disclosure of the insurance business in the Group's financial statements. The application of IFRS 17 does not impact Davy, the economic value created from the Wealth and Insurance division or the ability of the Group to upstream dividends from the NIAC subsidiary. Cash flows and capital generation from the W&l business remain unchanged Embedded value of Wealth division (excluding Davy) increased to €1.24bn in H123 from €1.17bn in Dec 2022 Following the application of IFRS 17, Wealth and Insurance income for H122 has been restated to €76m (from €123m under IFRS 4) and operating expenses have been restated to €44m (from €82m under IFRS 4) H123 growth in operating income and operating expenses reflect six months contribution from Davy (vs one month in H122), as well as underlying business momentum; market movements have resulted in a positive investment valuation movement of €22m for H123 The impact of the introduction of IFRS 17 on shareholders' equity was €371m at the transition date of 1 Jan 2022 and €410m at the application date of 1 Jan 2023 IFRS 17 has introduced contractual service margin (CSM) which represents the unearned profit of a group of insurance and reinsurance contracts which is released in line with insurance service provided. The CSM of the Group increased by €8m to €561m during H1 2023. There was a c.€38m increase in CSM driven by new business, positive persistency, and positive market movements. €30 million CSM was released to the income statement for insurance services provided 1 Includes New Ireland and Davy 42#43Fully Loaded CET1 ratio Capital ratios - 30 June 2023 Total Equity Less Additional Tier 1 Deferred Tax Intangible assets and goodwill Foreseeable dividend Expected loss deduction Pension Fund Asset Other items¹ Common Equity Tier 1 Capital Credit RWA Operational RWA Market, Counterparty Credit Risk and Securitisations Other Assets/ 10% / 15% / threshold deduction Total RWA Common Equity Tier 1 ratio Total Capital ratio Leverage ratio 1 Other items includes other capital deductions, principal ones being prudential valuation adjustment, 10% / 15% deduction and calendar provisioning deduction Bank of Ireland Fully loaded ratio (€bn) Fully loaded ratio (€bn) Dec 22 Jun 23 11.9 12.1 (1.0) (1.0) (1.0) (0.9) (1.0) (1.0) (0.3) (0.3) (0.2) (0.1) (0.6) (0.8) (0.5) (0.4) 7.3 7.7 35.9 40.7 4.8 5.0 2.6 2.4 4.2 3.9 47.5 52.0 15.4% 14.8% 20.5% 19.5% 6.4% 6.5% 43#44Bank of Ireland Regulatory capital requirements Pro forma CET1 regulatory capital requirements 2022 2023 2024 Pillar 1 CET1 4.50% 4.50% 4.50% Pillar 2 Requirement (P2R) 1.27% 1.27% 1.27% Capital Conservation Buffer (CCB) 2.50% 2.50% 2.50% Ireland Countercyclical buffer (CCYB) UK Countercyclical buffer (CCyB) US and Other O-SII Buffer (phase in July each year) Systemic Risk Buffer - Ireland Pro forma Minimum CET1 Regulatory Requirements Pillar 2 Guidance (P2G) 0.00% 0.62% 0.93% 0.26% 0.53% 0.53% 0.01% 0.03% 0.03% 1.50% 1.50% 1.50% 10.04% 10.95% 11.26% Not disclosed in line with regulatory preference Regulatory capital requirements • . The Group is required to maintain a CET 1 ratio of 10.37% on a regulatory basis at Jun 2023, increasing to 10.95% from Dec 2023 and 11.26% in Dec 2024 (excluding P2G) 2023 requirements include the phase-in of (i) the ROI CCyB to 0.5% from Jun 2023 and to 1% from Nov 2023; and (ii) the UK CCyB to 2% from Jul 2023 . 2024 requirements include the increase of the ROI CCyB from 1% to 1.5% from Jun 2024 • CET1 headroom of c.405bps to Dec 2023 regulatory capital requirements of 10.95% . Regulatory total capital ratio of 19.7% at Jun 2023 provides headroom of c.425bps above 2023 total capital requirement of 15.43% 44#45EAD³ RWA (€bn) (€bn) 30.9 8.1 Risk Weighted Assets (RWAs) / Leverage ratio Customer lending average credit risk weights - Jun 20231,2 (Based on regulatory exposure class) Ireland Mortgages EBA Transparency Exercise 2022 Country by Country Average IRB risk weights Residential Mortgages - Jun 2022 Sweden Netherlands Belgium France Denmark Avg. Risk Weight 3.9% 9.7% 10.4% 26% 12.4% 14.0% UK Mortgages SME Corporate 16.2 3.6 22% Austria 14.0% 15.7 11.6 74% United Kingdom 14.5% Portugal 15.3% 12.6 11.5 91% Germany 15.5% Other Retail 6.9 5.1 74% Spain 15.8% Finland 16.7% Customer lending credit risk 82.3 39.8 48% Norway 19.9% Italy 20.0% Ireland 31.0% IRB approach accounts for: 54% of credit EAD (Dec 2022: 55%) 66% of credit RWA (Dec 2022: 70%) Regulatory RWA has increased from €47.5bn at Dec 2022 to €52.0bn at Jun 2023. The increase primarily reflects the KBCI portfolio acquisition, new lending and book mix change Leverage Ratio Fully Loaded leverage ratio: 6.5% Regulatory leverage ratio: 6.6% 1 EAD and RWA include both IRB and Standardised approaches and comprise both non-defaulted and defaulted loans 2 Securitised exposures are excluded from the table (i.e. excludes exposures included in CRT transactions) Bank of Ireland EBA Risk Dashboard - Jun 2022 Country by Country Average Regulatory Leverage ratios Sweden 4.7% Denmark 4.9% Germany 4.9% France 4.9% Spain 5.1% Belgium 5.1% Italy 5.4% Netherlands 5.5% Finland 5.6% Portugal 6.2% Norway 6.4% Austria 6.6% Ireland 7.9% 0% 2% 4% 6% 8% 10% 3 Exposure at default (EAD) is a regulatory estimate of credit risk exposure consisting of both on balance exposures and off balance sheet commitments 45#46Return on Tangible Equity (ROTE) HY23: Headline vs. Adjusted Adjustments H1 2023 Headline (€m) & valuation items, Additional gains net of tax Adjusted for CET1 ratio at 14.0% Pension Surplus Profit for the period 853 Coupon on Additional Tier 1 securities Preference share dividends (34) (4) Adjusted profit after tax 815 (42) Annualised profit after tax 1,649 (84) At June 2023 Shareholders' equity 11,090 Intangible assets (1,350) Shareholders' tangible equity 9,740 Average shareholders' tangible equity 9,672 Return on tangible equity (ROTE) 17.0% H1 2023 adjusted return on tangible equity is adjusted for: - Additional gains and valuation items, net of tax (€42m) Average shareholders' tangible equity calculated on a CET1 Ratio at 14.0% (€365m) Removal of average pension surplus €850m Bank of Ireland H1 2023 Adjusted (€m) 773 1,565 (397) (891) 9,802 (1,350) (397) (891) 8,452 (365) (850) 8,457 18.5% • Tangible Net Asset Value (TNAV) per share as at end Jun 2023 was €9.24, or €8.40 excluding the pension surplus 46#47Cost-to-income ratio: HY 2023 Headline vs Adjusted Net interest income Other income Bank of Ireland H1 2023 Headline (€m) 1,802 Pro forma adjustments (€m) H1 2023 Pro forma (€m) 1,802 - Business income 350 350 - Additional gains, valuation and other items 49 (49) Total Income 2,201 (49) 2,152 Costs - Operating expenses Costs Cost-to-income ratio (907) (907) 41% (907) (907) 42% Cost-to-income ratio excludes: Levies and regulatory fees Non-core items . HY23 adjusted cost-to-income ratio is adjusted for: Additional gains, valuation and other items of €49m 47#48Defined benefit pension schemes Group IAS19 Defined Benefit Pension (deficit)/surplus Bank of Ireland Total Group defined benefit pension scheme assets (%) 3.80% 3.60% €7.2bn €7.2bn €8.4bn €8.9bn €9.6bn €6.9bn €7.0bn 2.10% 2.00% 1.30% 1.35% 55% 65% 65% 69% 66% 66% 67% 0.80% €0.89bn €0.60bn €0.70bn 21% 23% 23% 21% 24% 29% 27% 24% 12% 12% 10% 10% 5% 6% (€0.23bn) (€0.48bn) Dec 17 Dec 18 (€0.14bn) (€0.13bn) Dec 19 Dec 17 Dec 18 Dec 19 Dec 20 Dec 21 Dec 22 Jun 23 Dec 20 Dec 21 Dec 22 Jun 23 Listed equities Diversified assets¹ Credit/LDI/Hedging EUR Discount Rate 118 ■IAS19 DB pension (Deficit) / Surplus IAS19 pension sensitivities (Dec 2017 / Dec 2018 / Dec 2019 / Dec 2020 / Dec 2021 / Dec 2022 / Jun 2023) €m 88 Interest rates¹ 107 Credit spreads² 103 4 Inflation³ 1 Sensitivity of Group funding requirement to a 0.25% decrease in interest rates ☐ 9L- -11 2 Sensitivity of IAS19 liabilities to a 0.10% decrease in credit spread over risk free rates Sensitivity of Group funding requirement to a 0.10% increase in long term inflation 128 06 102 121 137 78 81 Global equity4 4 Sensitivity of Group assets to a 5% movement in global equity markets with allowance for other correlated diversified asset classes • 1 Diversified assets includes infrastructure, private equity, hedge funds and property IAS19 net pension surplus of €0.889bn at Jun 2023 (€0.7bn net surplus Dec 2022). Schemes in surplus €0.894bn, schemes in deficit €0.005bn Both euro and sterling discount rates increased over the half-year (20 bps and 40 bps respectively). The euro discount rate change was due primarily to increases in the corporate bond credit spreads and the sterling discount rate change was due primarily to increases in long term risk free interest rates The discount rate increases resulted in a reduction in Group DB pension scheme liabilities, partially offset by a corresponding reduction in the interest rate hedging assets Long term euro inflation assumptions remained stable in the period at 2.6% while long term sterling inflation assumptions increased marginally (by 5bps to 3.35%), with the resulting increase in UK liabilities partially offset by the increase in inflation hedging assets Further progress was made over the course of the half-year on the de-risking of the investment strategy of the BSPF, the Group's largest pension scheme. When completed this will result in a further reduction in return-seeking assets and an increase in Credit/ LDI/Hedging assets The IAS19 Pension Sensitivities graphs demonstrate the reduction over recent years in the sensitivity of the Group's pension schemes to movements in interest rates, credit spreads, inflation and equities 48#49Bank of Ireland Forward looking statement This document contains forward-looking statements with respect to certain of the Bank of Ireland Group plc (the 'Company' or 'BOIG plc') and its subsidiaries' (collectively the 'Group' or 'BOIG plc Group') plans and its current goals and expectations relating to its future financial condition and performance, the markets in which it operates and its future capital requirements. These forward-looking statements often can be identified by the fact that they do not relate only to historical or current facts. Generally, but not always, words such as 'may,' 'could,' 'should,' 'will,' 'expect,' 'intend,' 'estimate,' 'anticipate,' 'assume,' 'believe,' 'plan,' 'seek,' 'continue,' 'target,' 'goal,' 'would,' or their negative variations or similar expressions identify forward-looking statements, but their absence does not mean that a statement is not forward-looking. Examples of forward-looking statements include, among others: statements regarding the Group's near term and longer term future capital requirements and ratios, LDRs, expected impairment charges, the level of the Group's assets, the Group's financial position, future income, business strategy, projected costs, margins, future payment of dividends, future share buybacks, the implementation of changes in respect of certain of the Group's pension schemes, estimates of capital expenditures, discussions with Irish, UK, European and other regulators, plans and objectives for future operations, and the impact of Russia's invasion of Ukraine particularly on certain of the above issues and generally on the global and domestic economies. Such forward-looking statements are inherently subject to risks and uncertainties, and hence actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, but are not limited to, those as set out in the Risk Management Report in the Group's Annual Report for the year ended 31 December 2022. Investors should also read 'Principal Risks and Uncertainties' in the Group's Interim Report for the six months ended 30 June 2023 beginning on page 25. Nothing in this document should be considered to be a forecast of future profitability, dividend forecast or financial position of the Group and none of the information in this document is or is intended to be a profit forecast, dividend forecast, or profit estimate. Any forward-looking statement speaks only as at the date it is made. The Group does not undertake to release publicly any revision to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date hereof. 49#50Contact details For further information please contact: Group Chief Financial Officer Mark Spain tel: +353 1 250 8900 ext. 43291 [email protected] Investor Relations Darach O'Leary Eamonn Hughes Owen Callan Philip O'Sullivan Darragh Crowley Capital Management Tony Morley Alan Elliott Alan McNamara Group Corporate Affairs Damien Garvey Investor Relations website www.bankofireland.com/investor tel: +353 87 948 0650 tel: +353 87 202 6325 tel: +353 86 047 1678 tel: +353 86 358 7674 tel: +353 87 380 3246 tel: +353 1 250 8900 ext. 41974 tel: +353 1 250 8900 ext. 44371 tel: +353 1 250 8900 ext. 48725 tel: +353 86 8314435 [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] [email protected] Bank of Ireland 50#51Empty#52Empty