Investor Presentaiton
26
Primarily customer deposit funded with
low loan to deposit ratio
Fully self funded: conservative loan to deposit ratio
£'bn
20
15
10
5
2017
2018
2019
2020
2021
18.3
- 80%
78.9%
14.4
60%
- 40%
- 20%
0%
2022
Net core loans (LHS)
Loans as a % of customer deposits (RHS)
Customer accounts (deposits) (LHS)
Increase in customer deposits over time despite
reduction in cost of customer deposits
100%
Loans as a percentage of customer deposits remains conservative at
78.9%
Customer deposits have grown by 57.2% (12.0% CAGR) since 2018 to
£18.3bn at 31 March 2022
Low usage of central bank funding schemes as a proportion of
funding mix. Current TFSME drawings are £1,2bn which we expect to
refinance well in advance of maturity in September/October 2025
Increase in retail deposits and little reliance on wholesale funding.
Significant portion of UK customer deposits form part of the FSCS
eligibility framework
Fixed and notice deposits make up majority of customer deposits and
our customers display a strong 'stickiness' and willingness to reinvestin
our suite of term and notice products
Investec plc's customer deposits have consistently increased over
many years and remain resilient despite an overall reduction of cost
of customer deposits and through the volatility in the market due to the
COVID-19 pandemic
Customer deposits are dynamically raised through diversified, well-
established channels
During FY2022, the cost of raising customer deposits has considerably
decreased in line with trends in the market. We have also remained
focused on reducing the operational cost of raising those customer
deposits by migrating to a lower cost digital product base.
£'bn
20
20
18.3
1.6%
15.3
16.1
1.4%
13.2
15
1.2%
11.0
11.6
1.0%
10
0.8%
0.6%
0.56%
5
0.4%
0.2%
0
2017
2018
0.0%
2019
2020
Customer deposits
2021
Cost of customer deposits
2022View entire presentation