Growth with intent: How UK banks can reach new frontiers of value
Growth has reclaimed its place at the heart of the banking agenda. It’s becoming a central theme not just in boardrooms, but in political and regulatory conversations. The new Labour government has placed financial services at the core of its plans to grow the economy and cement the UK’s position as an international financial centre. Regulators are shifting their posture too, with recent messaging suggesting an easing of the rules imposed in the wake of the global financial crisis. This is being taken up by leaders across UK banks, who are shifting their strategic focus – and redirecting more capital – towards innovation, investment, and growth.
This pivot comes at an opportune moment. UK banks are emerging from one of their strongest performance cycles in recent memory. Buoyed by high interest rates, firms have been able to build robust capital buffers and improved operational resilience. They are slowly loosening the regulatory shackles and the legacy from the financial crash in the late noughties, with the Government’s complete exit from NatWest – selling its last shares on 30 May 2025 – marking the end of an era.
Yet storm clouds are gathering on the horizon, signalling a fundamentally different challenge ahead. Economic growth remains subdued, interest rates are retreating, and macroeconomic volatility persists. The tailwinds that propelled recent success are dissipating, and the window of opportunity is narrowing.
Now is the moment for banks to move from talking about growth to delivering it effectively and efficiently. To support this shift, we propose a fundamental shift in the bank-wide approach for achieving sustained growth and value. We call it growth with intent.
Growth with intent: How UK banks can reach new frontiers of value
Growth has reclaimed its place at the heart of the banking agenda. It’s becoming a central theme not just in boardrooms, but in political and regulatory conversations. The new Labour government has placed financial services at the core of its plans to grow the economy and cement the UK’s position as an international financial centre. Regulators are shifting their posture too, with recent messaging suggesting an easing of the rules imposed in the wake of the global financial crisis. This is being taken up by leaders across UK banks, who are shifting their strategic focus – and redirecting more capital – towards innovation, investment, and growth.
This pivot comes at an opportune moment. UK banks are emerging from one of their strongest performance cycles in recent memory. Buoyed by high interest rates, firms have been able to build robust capital buffers and improved operational resilience. They are slowly loosening the regulatory shackles and the legacy from the financial crash in the late noughties, with the Government’s complete exit from NatWest – selling its last shares on 30 May 2025 – marking the end of an era.
Yet storm clouds are gathering on the horizon, signalling a fundamentally different challenge ahead. Economic growth remains subdued, interest rates are retreating, and macroeconomic volatility persists. The tailwinds that propelled recent success are dissipating, and the window of opportunity is narrowing.
Now is the moment for banks to move from talking about growth to delivering it effectively and efficiently. To support this shift, we propose a fundamental shift in the bank-wide approach for achieving sustained growth and value. We call it growth with intent.