RBS Details Proposed Future Ring-Fenced Legal Entity Structure - Quick Facts

(RTTNews) - Royal Bank of Scotland Group PLC (RBS, RBS.L) said the Group needs to undertake a significant reorganisation of its current legal entity structure and business model to comply with the UK's ring-fencing requirements prior to 1 January 2019. The UK ring-fencing legislation requires the separation of essential banking services from investment banking services.

The first step of the reorganisation is the transfer of most of the Group's existing personal, private, business and commercial customers from The Royal Bank of Scotland plc to Adam & Company PLC, current Scottish private bank, in mid-2018. Adam & Company PLC will be renamed "The Royal Bank of Scotland plc". The new Royal Bank of Scotland plc will be a ring-fenced bank within the ring-fenced group. RBS plc will be renamed to "NatWest Markets Plc" and will continue to operate CIB businesses. The renamed entity NatWest Markets Plc will be the non-ring-fenced bank and direct subsidiary of RBS Group plc.

RBS said the bank's newly relaunched brand strategy supports the future ring-fenced structure. The Group will focus on its individual customer brands by re-launching them to align more closely with the geographies they serve. Over the coming months, NatWest will become the Group's main customer facing brand in England and Wales and Western Europe, and in Scotland, Royal Bank of Scotland will be core brand. CIB business will become known as NatWest Markets.