NatWest has purchased £1bn in shares of the bank from the Treasury, further reducing the government’s stake in the lender.
The agreement was made in an off-market purchase which will settle on 13 November. Following this, the government will hold a stake of around 12% in NatWest.
Paul Thwaite, CEO of NatWest Group, said: “As a result of NatWest Group’s continued strong performance, we are pleased to have today completed our second buy back of government shares of 2024, further reducing HM Treasury’s shareholding.
“This transaction represents another important milestone on the path to full privatisation. We believe it is a positive use of capital for the bank and for our shareholders and we are pleased with the sustained momentum in reducing HM Treasury’s stake in NatWest Group throughout this year.”
Last month, a share sell-off saw the government reduce its stake to around 15% as part of a plan to return the bank to private ownership by 2026.
Despite cancelling the previous government’s retail sale earlier this year, Chancellor Rachel Reeves said the state still intended to fully exit from the bank by the 2025 to 2026 deadline.
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