NatWest lifted its first‑quarter pre‑tax profit to £2 bn, up 12 percent from the same period last year, as the Bank of England kept borrowing costs at 3.75 % amid Middle East‑driven inflation worries. The high‑street lender posted £4.4 bn in revenue, topping analysts’ forecast of £4.3 bn.

Net interest income rose to £3.4 bn, 12 percent higher than the £3 bn seen a year earlier, while total net loans climbed £7.2 bn as mortgage and corporate lending expanded. The bank earmarked £283 mn in provisions for bad loans, up from £189 mn, with £140 mn tied to the Iran conflict.

Despite the upbeat figures, chief executive Paul Thwaite warned that late‑quarter events had increased uncertainty for customers. Shares fell 3 percent in morning trade after investors balked at the bank’s modest guidance upgrade, which still places 2026 revenue at the upper end of the £17.2‑£17.6 bn range.

NatWest’s return on tangible equity dropped slightly to 18.2 percent from 18.5 percent, yet the bank expects it to stay above 17 percent for the year. The deal to acquire wealth manager Evelyn Partners for £2.7 bn marks the biggest purchase since the 2008 ABN Amro debacle, underscoring a shift toward client‑centric growth.