The UK government has officially sold its remaining shares in NatWest Group (formerly Royal Bank of Scotland), ending nearly 17 years of public ownership that began during the 2008
financial crisis.
The government first intervened in 2008 and 2009, injecting £45.5 billion into RBS to stabilise the banking system and protect millions of savers, businesses, and jobs. At the time, RBS was one of the world’s largest banks, with over 40 million customers and a global footprint in more than 50 countries.
Chancellor Rachel Reeves commented:
“Nearly two decades ago, the then Government stepped in to protect millions of savers and businesses from the consequences of the collapse of RBS. That was the right decision then to secure the economy and NatWest’s return to private ownership turns the page on a significant chapter in this country’s history. We protected the economy in a time of crisis nearly seventeen years ago, now we are focused on securing Britain’s future in a new era of global change”.
Economic Secretary to the Treasury, Emma Reynolds said:
“Bringing NatWest fully back into private ownership marks a significant milestone for the UK banking sector following the financial crisis.
Since coming into government, we have halted the NatWest retail share sale, which could have cost taxpayers hundreds of millions. Instead, we put taxpayers first by only selling NatWest shares at market value— securing more money to invest in vital public services”.
So far, £35 billion has been recovered through share sales, dividends, and fees. While this is £10.5 billion less than the original investment, the Office for Budget Responsibility has made it clear that allowing RBS to fail would have had far greater economic and social consequences.
The decision to sell only when shares reached market value helped fund vital public services, including the NHS, education, and defence — all part of the government’s broader Plan for Change.
With this final sale, the government has now completed all banking sector exits linked to the financial crisis. Photo by By Phil Nash from Wikimedia Commons CC BY-SA 4.0 & GFDL
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