NatWest Group has announced the appointment of Paul Thwaite as its new Chief Executive Officer, marking a significant milestone as the company unveils its highest annual profit since the year preceding the 2008 financial crisis.
Paul Thwaite steps into the role, succeeding Dame Alison Rose, in the aftermath of last year’s debanking controversy. The board expressed its confidence in Thwaite, describing him as an “outstanding candidate” with the vision and capability to steer NatWest Group into its next chapter of growth and innovation.
“I want to thank the Board for their support and the opportunity they have given me. It’s an honour to lead what, I believe, is a great business, which plays a vital role in the lives of the 19 million customers we serve. With that, comes a great sense of responsibility to succeed for our customers, colleagues, and shareholders. It is an exciting time for our sector and our bank. I am confident we can shape the future of NatWest to deliver its full potential.”
Paul Thwaite, NatWest Group CEO
In a financial highlight, NatWest Group reported a robust operating pre-tax profit of £6.2 billion for the year 2023, surpassing analyst expectations. This figure not only represents a 20% increase from 2022 but also the highest profitability level since 2007, just before the global financial downturn. The bank attributes this financial success to the favourable impact of rising interest rates on borrowing costs.
Paul Thwaite, who assumed the interim CEO role in July, previously managed the bank’s commercial business segment. The search for a permanent CEO was described by incoming Chairman Rick Haythornwaite as a “rigorous and competitive” process, emphasising that the bank faced no governmental pressure in confirming Thwaite’s appointment. Haythornwaite stressed the importance of leadership stability for the health of the organisation.
Reflecting on his appointment and the bank’s strategic direction for the year, Thwaite expressed enthusiasm for the opportunities and challenges within the banking sector. He outlined key focus areas, including driving profitable growth, enhancing efficiency, and simplifying operations, all while maintaining prudent cost and capital management.
“I am very pleased with the outcome of the process Rick ran. I have worked closely with Paul over the last seven months and am confident that he has all the skills needed to lead the bank forward.”
Howard Davies, NatWest Group Chairman
Thwaite’s vision for NatWest Group is clear: to navigate the complexities of the banking industry with a commitment to operational excellence and strategic growth, ensuring the bank’s continued success and resilience in the dynamic financial landscape.