Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.K. (FTSE) Banks Industry Analysis

UpdatedSep 15, 2026
DataAggregated Company Financials
Companies13
  • 7D-2.5%
  • 3M7.6%
  • 1Y41.8%
  • YTD18.2%

Over the last 7 days, the Banks industry has dropped 2.5%, driven by HSBC Holdings declining 2.7%. In the past year, the industry has gained 42%. Earnings are forecast to grow by 11% annually.

Industry Valuation and Performance

Has the U.K. Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 15 Sep 2026UK£516.3bUK£138.4bUK£40.3b8.8x12.8x3.7x
Thu, 13 Aug 2026UK£527.4bUK£138.3bUK£40.4b9x13.1x3.8x
Sat, 11 Jul 2026UK£505.1bUK£133.6bUK£39.3b9.6x12.9x3.8x
Mon, 08 Jun 2026UK£461.4bUK£133.8bUK£39.3b8.6x11.7x3.4x
Wed, 06 May 2026UK£435.5bUK£132.5bUK£39.1b8.4x11.1x3.3x
Fri, 03 Apr 2026UK£431.6bUK£132.6bUK£38.7b8.7x11.2x3.3x
Sun, 01 Mar 2026UK£472.1bUK£131.1bUK£38.3b8.8x12.3x3.6x
Tue, 27 Jan 2026UK£451.9bUK£124.2bUK£33.5b10x13.5x3.6x
Thu, 25 Dec 2025UK£443.0bUK£127.5bUK£34.6b8.9x12.8x3.5x
Sat, 22 Nov 2025UK£381.7bUK£126.7bUK£34.1b8.3x11.2x3x
Mon, 20 Oct 2025UK£352.1bUK£121.7bUK£34.5b8.2x10.2x2.9x
Wed, 17 Sep 2025UK£363.2bUK£121.0bUK£34.2b8.7x10.6x3x
Fri, 15 Aug 2025UK£359.4bUK£121.3bUK£34.3b9.2x10.5x3x
Sun, 13 Jul 2025UK£334.8bUK£121.1bUK£34.4b8.5x9.7x2.8x
Tue, 10 Jun 2025UK£330.5bUK£121.0bUK£34.4b8.4x9.6x2.7x
Thu, 08 May 2025UK£309.0bUK£121.7bUK£34.7b7.7x8.9x2.5x
Sat, 05 Apr 2025UK£277.8bUK£124.9bUK£37.1b6.7x7.5x2.2x
Mon, 03 Mar 2025UK£335.0bUK£126.0bUK£37.6b7.5x8.9x2.7x
Wed, 29 Jan 2025UK£293.3bUK£123.7bUK£37.2b5.2x7.9x2.4x
Fri, 27 Dec 2024UK£273.0bUK£123.3bUK£37.0b4.9x7.4x2.2x
Sun, 24 Nov 2024UK£263.2bUK£123.3bUK£37.1b4.9x7.1x2.1x
Tue, 22 Oct 2024UK£218.3bUK£96.5bUK£30.6b6x7.1x2.3x
Thu, 19 Sep 2024UK£213.6bUK£97.2bUK£30.6b5.9x7x2.2x
Sat, 17 Aug 2024UK£216.6bUK£98.2bUK£30.9b6x7x2.2x
Mon, 15 Jul 2024UK£216.7bUK£96.1bUK£31.1b6.1x7x2.3x
Wed, 12 Jun 2024UK£213.4bUK£97.2bUK£31.4b6x6.8x2.2x
Fri, 10 May 2024UK£222.2bUK£98.3bUK£31.7b5.9x7x2.3x
Sun, 07 Apr 2024UK£237.2bUK£121.3bUK£36.6b5.5x6.5x2x
Tue, 05 Mar 2024UK£221.8bUK£120.7bUK£36.4b6.1x6.1x1.8x
Thu, 01 Feb 2024UK£194.7bUK£109.6bUK£37.5b5.4x5.2x1.8x
Sat, 30 Dec 2023UK£203.0bUK£109.1bUK£37.4b5.1x5.4x1.9x
Mon, 27 Nov 2023UK£192.9bUK£109.9bUK£37.6b4.8x5.1x1.8x
Wed, 25 Oct 2023UK£198.5bUK£105.1bUK£34.9b4.8x5.7x1.9x
Fri, 22 Sep 2023UK£207.2bUK£104.4bUK£34.6b5.4x6x2x
Price to Earnings Ratio

6x


Total Market Cap: UK£207.2bTotal Earnings: UK£34.6bTotal Revenue: UK£104.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.K. Banks Industry Price to Earnings3Y Average 8.9x202420252026
Current Industry PE
  • Investors are optimistic on the British Banks industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 12.8x which is higher than its 3-year average PE of 8.9x.
  • The 3-year average PS ratio of 2.6x is lower than the industry's current PS ratio of 3.7x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have grown 5.2% per year over the last three years.
  • Revenues for these companies have grown 9.8% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.K. Financials industry?

GB Market-1.48%
Financials-2.56%
Banks-2.54%
Diversified Banks-2.54%
Regional Banks-2.86%
Industry PE
  • Investors are most optimistic about the Diversified Banks industry which is trading above its 3-year average PE ratio of 8.9x.
    • Analysts are expecting annual earnings growth of 10.8%, which is lower than the prior year's growth of 14.0% per year.
  • Investors are most pessimistic about the Regional Banks industry, which is trading below its 3-year average of 18.0x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 22% over the next 5 years.
  • This is better than its past earnings decline of 30% per year.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 11% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
STAN Standard CharteredUK£22.991.3%
+UK£621.0m		59.0%PB1.3x
TBCG TBC Bank GroupUK£51.000.2%
+UK£5.5m		12.1%PB1.5x

Latest News

LLOY
UK£1.09
Lloyds Banking Group
7D
-3.5%
1Y
29.5%
TBCG
UK£51.00
TBC Bank Group
7D
0.2%
1Y
12.1%
HSBA
UK£15.37
HSBC Holdings
7D
-2.7%
1Y
51.7%
BARC
UK£4.79
Barclays
7D
-4.2%
1Y
24.4%
BGEO
UK£134.10
Lion Finance Group
7D
-0.7%
1Y
73.6%
Narrative Update • Sep 09

BGEO: Higher Street Price And Capital Returns Will Support Balanced Future Re Rating

Analysts have lifted their fair value estimate for Lion Finance Group from £12,500 to £13,800, reflecting the higher £13,900 price target and updated views on the discount rate, revenue growth, profit margin and future P/E assumptions. What’s in the News for Lion Finance Group Lion Finance Group PLC declared an interim dividend of GEL 3.05 per ordinary share for the second quarter of 2026, payable in Pounds Sterling on 25 September 2026.
NWG
UK£6.83
NatWest Group
7D
-2.5%
1Y
27.0%
STAN
UK£22.99
Standard Chartered
7D
1.3%
1Y
59.0%
Narrative Update • Sep 03

STAN: Fair Value Case Will Test Repricing Against Indonesia Exposure And Efficiency Execution

The analyst price target for Standard Chartered has moved higher by about £1.13 to £22.84, supported by Street research that cites firmer expectations around revenue growth, profit margins and medium term P/E assumptions despite a mix of rating changes across banks. Analyst Commentary Recent research on Standard Chartered points to a more constructive tone overall, with several price target lifts in the £22 to £24 range and a mix of Overweight, Neutral and Buy views.
CBG
UK£3.98
Close Brothers Group
7D
-6.1%
1Y
-20.1%
HSBK
US$33.35
Halyk Bank of Kazakhstan
7D
-1.9%
1Y
24.4%
SHAW
UK£3.11
Shawbrook Group
7D
-3.9%
1Y
n/a
New Narrative • Aug 08

Specialist Lending And Technology Investment Will Reshape This U.K. Bank’s Long-Term Prospects

Catalysts About Shawbrook Group Shawbrook Group is a specialist U.K. lender focused on SMEs, real estate professionals and selected consumer segments, supported by a technology and data driven funding and underwriting platform. What are the underlying business or industry changes driving this perspective?