Company Registered Number: R0000733
ULSTER BANK LIMITED
REPORT OF THE DIRECTORS AND FINANCIAL STATEMENTS
31 December 2014
ULSTER BANK LIMITED
CONTENTS
BOARD OF DIRECTORS AND SECRETARIES 1
STRATEGIC REPORT 2
REPORT OF THE DIRECTORS 7
STATEMENT OF DIRECTORS’ RESPONSIBILITIES 8
INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF ULSTER BANK LIMITED 9
CONSOLIDATED INCOME STATEMENT for the year ended 31 December 2014 11
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME for the year ended 31 December 2014 12
BALANCE SHEETS as at 31 December 2014 13
STATEMENTS OF CHANGES IN EQUITY for the year ended 31 December 2014 14
CASH FLOW STATEMENTS for the year ended 31 December 2014 15
ACCOUNTING POLICIES 16
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2014 27
DIRECTORS AND EXECUTIVES 97 ULSTER BANK LIMITED
BOARD OF DIRECTORS AND SECRETARIES
DIRECTORS: S Bell J Brown C Campbell N Hamilton C M Mills P Nolan (Chairman) D O’Shea R Quinlan B Rosewell P Stanley
REGISTERED OFFICE: 11-16 Donegall Square East Belfast BT1 5UB
SECRETARIES: R Bergin S Anderson (Joint secretary) E Dignam (Deputy secretary)
AUDITORS: Deloitte & Touche Chartered Accountants & Statutory Audit Firm Deloitte and Touche House Earlsfort Terrace Dublin 2
1
ULSTER BANK LIMITED
STRATEGIC REPORT
The directors of Ulster Bank Limited (“the Bank”) present their report, together with audited financial statements of the Bank and its subsidiaries (together "the Group" or “Ulster Bank Group”) for the year ended 31 December 2014. The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the European Union (EU).
ACTIVITIES AND BUSINESS REVIEW
Principal activities
The Group’s principal operating entities are leading retail and commercial banks in Northern Ireland and the Republic of Ireland, operating under the Ulster Bank brand. The Group provides a comprehensive range of financial services through both its Retail Banking and Corporate Banking divisions. Retail Banking provides loan and deposit products through a network of branches and direct channels, including telephony, the internet and mobile apps. Corporate Banking provides services to business and corporate customers, including small and medium enterprises.
Business review
The Group’s ambition is to become the number one bank for customer service, trust and advocacy across the island of Ireland whilst dealing with its legacy issues. In October 2014 The Royal Bank of Scotland (“RBS”) announced the conclusion of an extensive strategic review of Ulster Bank. RBS confirmed Ulster Bank as a good strategic fit with RBS’ retail and commercial banking strategy and confirmed its core status within RBS. With the continued support of RBS the directors will drive forward the Group’s dual strategy of building a challenger bank to the domestic banks in the Republic of Ireland and strengthening its market leading position in Northern Ireland through greater alignment with RBS.
The Group returned to profitability in 2014 reporting a total profit after tax for the year ended 31 December 2014 of £1,912m (2013: £4,193m loss). The turnaround in the Group’s performance was driven primarily by a net impairment gain of £1,471m versus an impairment loss of £4,794m in 2013. The major contributor to the 2013 impairment charge was the strategic decision to establish RBS Capital