Bank of Ireland 2021 Interim Results - Debt Investor Presentation slide image

Bank of Ireland 2021 Interim Results - Debt Investor Presentation

Transformation investment / operating expenses Transformation Investment: €1.4bn (2016-2021) Average of €275m p.a. • Bank of Ireland 2021 Interim Results - Debt Investor Presentation €306m €263m €195m €105m €410m 2016 2017 2018 2019 2020 2021 Transformation investment Average annual investment of €275m from 2018-2021; equates to CET1 capital of c.50-60bps Investment of €149m in H1 2021 split across the income statement (14%), balance sheet (36%) and non-core items (50%) Total transformation investment of €1.4bn 2016- 2021 unchanged to support 2021 target for operating expenses <€1.65bn Additional investment required to support 2023 cost target of €1.5bn • H1 2020 H1 2021 Operating Expenses Total staff costs - Staff costs (€m) (€m) 425 413 361 341 - Pension costs 64 72 Other costs 288 290 Depreciation 131 113 Operating Expenses 844 816 Transformation Investment charge 28 21 Operating Expenses (before levies and 872 837 regulatory charges) Levies and Regulatory charges 70 96 Impairment of intangibles and goodwill 9 Total Operating Expenses 951 933 Average staff numbers 10,383 9,643 Cost income ratio¹ 66% 61% Bank of Ireland 1 See page 58 for additional detail 57
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