Company: BCS
Filing Date: 2025-02-13
Form Type: 20-F
Source: 0000312069-25-000114
Chunk: 438

Company: BARCLAYS PLC
Filing Date: 2025-02-13
Form: 20-F
Chunk 438
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 updated macroeconomic outlook. Model uncertainty provisions of £ 25 m (2023: £ 32 m): Retail mortgages (UK) £ 25 m (2023: £ 32 m): This adjustment remediates the higher recovery expectations impacted by model oversensitivity to certain macroeconomic variables and has reduced following the updated macroeconomic outlook.

| Strategy                                   | Shareholderinformation | Climate andsustainability report | Governance |     | Riskreview | Financialreview | Financialstatements |     | Barclays PLC 2024Annual Reporton Form 20-F | 250 |
| Risk performance - Credit risk (continued) |                        |                                  |            |     |            |                 |                     |     |                                            |     |

Other adjustments Other adjustments are operational in nature and are expected to remain in place until they can be reflected in the underlying models. These adjustments result from data limitations and model performance related issues identified through model monitoring and other established governance processes. Other adjustments of £ 150 m (2023: £ 179 m) includes: Adjustments for definition of default (DOD) under the Capital Requirements Regulation and model monitoring across products. Retail mortgages (UK) £ 71 m (2023: £ 121 m): The reduction is driven by the adoption of a new LGD2 (Loss Given Default) model for the default book and re-sizing of model monitoring adjustments. Retail credit cards (UK) £ ( 22) m (2023: £ ( 9) m): The movement is driven by a model monitoring adjustment to correct for 12m PD over prediction. Retail credit cards (ROW) £ ( 23) m (2023: £ 8 m): The movement is driven by an adjustment introduced in the US to enhance the qualitative measures used to identify high-risk account management (HRAM) accounts. Retail other ( UK) £ 90 m (2023: £ 62 m): The increase reflects re-sizing of operational adjustments including model monitoring in the Barclays Partner Finance and Consumer Loan portfolios. Corporate loans ( UK) £ 39 m (2023: £ 10 m): The increase reflects re-sizing of an adjustment to remediate conservative modelled recovery expectations in the ESHLA portfolio partially offset by a reduction in the adjustment for DOD following model remediation. Debt securities £ ( 7) m: This reflects an adjustment applied to Exposure at Default (EAD) within the IB portfolio to remediate an overly conservative modelled amortisation expectation.

| Strategy                                   | Shareholderinformation | Climate