Company: BCS
Filing Date: 2025-02-13
Form Type: 20-F
Source: 0000312069-25-000114
Chunk: 654

Company: BARCLAYS PLC
Filing Date: 2025-02-13
Form: 20-F
Chunk 654
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 Liabilities on its consolidated balance sheet.

T here was no contingent consideration payable in connection with the acquisition . The Barclays Bank UK Group recognised the Retail

Bank Assets and Liabilities as financial assets and liabilities, initially at fair value at the point of acquisition and subsequently at amortised

cost. Fair valuation was performed based on the discounting of future expected cash flows.

In connection with the acquisition of Tesco Bank, Tesco Personal Finance plc agreed to indemnify Barclays Bank UK PLC for certain

matters. An indemnification asset of £ 91 m has been recorded at the acquisition date for this arrangement. Of the £ 91 m balance, £ 60 m

relates to exposures transferred to Barclays Bank UK PLC where there is a present obligation, and it is probable there will be an outflow

of resources. £ 31 m relates to exposures where there is a present obligation, however, it is not probable an outflow of resources will

result. The maximum reimbursement under the indemnity excluding claims relating to PPI is capped at £ 350 m expiring after four years

and including claims related to PPI is capped at £ 600 m.

Since the acquisition date, total operating income of £ 105 m and profit before tax of £ 37 m from the retail banking business of Tesco

Bank have been recognised within the c onsolidated income statement and the consolidated statement of comprehensive income for

the year ended 31 December 2024. This excludes the gain recognised on a cquisition of £ 556 m and expected credit loss allowance of

£ 209 m recognised subseque ntly along with the associated impairment expense on credit cards receivables and unsecured loan

receivables.

Had the retail banking business of Tesco Bank been acquired from 1 January 2024, additional income of £ 420 m and profit before tax of

£ 118 m would have been recognised. Acquisition-related costs of £ 18 m, mainly attributable to professional and legal fees, have been

recognised as an expense in the consolidated income statement mainly within Administrative and general expenses in the year ended

31 December 2024 (2023: £ 2 m, 2022: £ nil ).

| Strategy                                      | Shareholderinformation | Climate andsustainability report | Governance | Riskreview | Financialreview |     | Financialstatements |     | Barclays PLC 2024Annual Reporton Form 20-F | 445 |
| Notes to the financial statements (continued) |                        |                                  |