Bank of Ireland 2021 Interim Results - Debt Investor Presentation
Net interest income +2%
Bank of Ireland 2021 Interim Results - Debt Investor Presentation
Net interest income
€1,052m
€1,063m
€1,080m
278bps
284bps
294bps
25%
(24bps)
H1 20
Loan asset spread
27%
32%
(26bps)
H2 20
(32bps)
H121
Liquid asset spread Liquid assets as % of AIEAS
NIM movement
3bps
3bps
(10bps)
7bps
2.00%
(3bps)
2.00%
•
•
Pricing discipline maintained
-
Loan asset spread' 16bps higher H1 2021 vs H1 2020
Application of negative interest rates on deposits and
reduction in UK funding costs offsetting the impact of
low rates on liquid assets and structural hedge
€30m generated from application of negative
interest rates (€11m H1 2020)
€5.6bn increase in average deposit volumes
attracting a negative rate
€50m reduction in UK deposit funding costs
Reflecting TLTRO participation and build-up of
liquidity, liquid assets increased to 32% of AIEA
(25% in H1 2020)
TLTRO participation benefits net interest income, but
mechanically lowers NIM
TLTRO
(10bps)
1.90%
H
FY 20
UK
deposits
Negative
interest rates
Other
Liquid
assets
Structural
hedge
H121
1 Spread Loan asset yield or Liquid asset yield less Group's average cost of funds
Bank of Ireland
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