Key facts:
European retail banks closed 2025 with another strong performance, supported by resilient net interest income, modest cost growth, and the ongoing benefits of digital transformation. Across our sample, deposits rose by 4%, loans by 3%, topline by 3%, and operating profit by 6%.
But beneath the headline numbers, structural pressure is building. Challengers are winning new customer relationships, investment products are migrating to new platforms, and AI is creating a visible performance gap between leaders and laggards. Fee income remains uneven across markets, and early signals in consumer and SME credit quality suggest that current stability should not be taken for granted.