IAS19 Defined Benefit Pension + Mortgage Portfolio Analysis
Residential 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
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