Quilter plc - 2026 Half Year Results - Part 2

Quilter PLC

06 August 2026

 

Statement of Directors' responsibilities in respect of the interim financial statements

For the period ended 30 June 2026

Each of the Directors of Quilter plc confirms to the best of their knowledge and belief that:

·      The condensed consolidated interim financial statements, which comprise the condensed consolidated statement of comprehensive income, the condensed consolidated statement of financial position, the condensed consolidated statement of changes in equity, the condensed consolidated statement of cash flows and the related explanatory notes, have been prepared in accordance with IAS 34 Interim Financial Reporting as adopted by the United Kingdom and give a true and fair view of the assets, liabilities, financial position and profits of the Group for the period ended 30 June 2026. These interim financials have been prepared and published in compliance with the acceptable accounting frameworks of the London Stock Exchange ("LSE"), where the Company has its primary listing.

·      The interim management report includes a fair review of the information required by:

a)     DTR 4.2.7R of the Disclosure Guidance and Transparency Rules, being an indication of important events that have occurred during the first six months of the financial year and their impact on the condensed consolidated interim financial statements, and a description of the principal risks and uncertainties for the remaining six months of the year; and

b)     DTR 4.2.8R of the Disclosure Guidance and Transparency Rules, being related party transactions that have taken place in the first six months of the financial year and that have materially affected the financial position or performance of the Group during that period, and any changes in the related party transactions described in the Group's 2025 Annual Report that could do so.

Consistent with principle N of the UK Corporate Governance Code, the results for the six months ended 30 June 2026 taken as a whole, present a fair, balanced and understandable assessment of the Company's position and prospects.

Quilter plc is listed with a primary listing on the LSE and a secondary listing on the Johannesburg Stock Exchange ("JSE").

A list of the current Directors is maintained on the Group's website: https://plc.quilter.com/about-us/quilter-leadership/.

Signed on behalf of the Board

Steven Levin                                                                             Mark Satchel
Chief Executive Officer                                                             Chief Financial Officer
5 August 2026                                                                            5 August 2026

Independent review report to Quilter plc

Report on the condensed consolidated interim financial statements

Our conclusion

We have reviewed Quilter plc's condensed consolidated interim financial statements (the "interim financial statements") in the interim results of Quilter plc for the 6 month period ended 30 June 2026 (the "period").

Based on our review, nothing has come to our attention that causes us to believe that the interim financial statements are not prepared, in all material respects, in accordance with UK adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority.

The interim financial statements comprise:

·      the Condensed consolidated statement of financial position as at 30 June 2026;

·      the Condensed consolidated statement of comprehensive income for the period then ended;

·      the Condensed consolidated statement of cash flows for the period then ended;

·      the Condensed consolidated statement of changes in equity for the period then ended; and

·      the explanatory notes to the interim financial statements.

The interim financial statements included in the interim results of Quilter plc have been prepared in accordance with UK adopted International Accounting Standard 34, 'Interim Financial Reporting' and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority.

Basis for conclusion

We conducted our review in accordance with International Standard on Review Engagements (UK) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity' issued by the Financial Reporting Council for use in the United Kingdom ("ISRE (UK) 2410"). A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures.

A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK) and, consequently, does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

We have read the other information contained in the interim results and considered whether it contains any apparent misstatements or material inconsistencies with the information in the interim financial statements.

Conclusions relating to going concern

Based on our review procedures, which are less extensive than those performed in an audit as described in the Basis for conclusion section of this report, nothing has come to our attention to suggest that the Directors have inappropriately adopted the going concern basis of accounting or that the Directors have identified material uncertainties relating to going concern that are not appropriately disclosed. This conclusion is based on the review procedures performed in accordance with ISRE (UK) 2410. However, future events or conditions may cause the Group to cease to continue as a going concern.

Responsibilities for the interim financial statements and the review

Our responsibilities and those of the Directors

The interim results, including the interim financial statements, is the responsibility of, and has been approved by the Directors. The Directors are responsible for preparing the interim results in accordance with the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority. In preparing the interim results, including the interim financial statements, the Directors are responsible for assessing the Group's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Group or to cease operations, or have no realistic alternative but to do so.

Our responsibility is to express a conclusion on the interim financial statements in the interim results based on our review. Our conclusion, including our Conclusions relating to going concern, is based on procedures that are less extensive than audit procedures, as described in the Basis for conclusion paragraph of this report.

Use of this report

This report, including the conclusion, has been prepared for and only for the Company for the purpose of complying with the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority and for no other purpose. We do not, in giving this conclusion, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

PricewaterhouseCoopers LLP

Chartered Accountants

London

5 August 2026

Condensed consolidated statement of comprehensive income
For the period ended 30 June 2026
			£m
	Notes	Six months 2026	Six months 2025
Income
Fee income and other income from service activities	6(b)	446	311
Investment return		6,227	2,240
Other income		12	12
Total income		6,685	2,563
Expenses
Change in investment contract liabilities		(5,397)	(1,752)
Fee and commission expenses and other acquisition costs		(30)	(29)
Change in third-party interests in consolidated funds		(703)	(368)
Other operating and administrative expenses		(323)	(305)
Finance costs		(10)	(10)
Total expenses		(6,463)	(2,464)
Reversal of impairment of investments in associates		-	1
Profit before tax		222	100
Income tax expense attributable to policyholder returns	7	(162)	(38)
Profit before tax attributable to shareholder returns		60	62
Income tax expense	7	(177)	(54)
Less: income tax expense attributable to policyholder returns		162	38
Income tax expense attributable to shareholder returns	7	(15)	(16)
Profit after tax attributable to the owners of the Company		45	46
Other comprehensive income
Exchange gains on translation of foreign operations		-	1
Total comprehensive income		45	47
Earnings per Ordinary Share
Basic earnings per Ordinary Share (pence)	8	3.3	3.4
Diluted earnings per Ordinary Share (pence)	8	3.2	3.3

All income and expenses relate to continuing operations.

The above condensed consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.

Condensed consolidated statement of financial position
At 30 June 2026
			£m
	Notes	30 June 2026	31 December 2025
Assets
Goodwill and intangible assets	10	335	328
Property, plant and equipment		82	86
Investment property		7	8
Investments in associates		26	21
Contract costs		38	31
Loans and advances		56	44
Financial investments	11	83,519	73,362
Deferred tax assets		79	88
Trade, other receivables and other assets		1,224	398
Derivative assets		54	24
Cash and cash equivalents	14	2,316	2,152
Total assets		87,736	76,542
Equity and liabilities
Equity
Ordinary Share capital	15	112	115
Ordinary Share premium reserve		58	58
Capital redemption reserve	15	349	346
Share-based payments reserve		32	40
Retained earnings		821	907
Total equity		1,372	1,466
Liabilities
Investment contract liabilities		73,318	64,493
Third-party interests in consolidated funds		10,661	9,394
Provisions	16	51	63
Deferred tax liabilities		298	180
Current tax payable		2	2
Borrowings and lease liabilities		267	271
Trade, other payables and other liabilities		1,691	649
Derivative liabilities		76	24
Total liabilities		86,364	75,076
Total equity and liabilities		87,736	76,542

The financial statements were approved by the Board of Directors on 5 August 2026.

Steven Levin                         Mark Satchel

Chief Executive Officer         Chief Financial Officer

The above condensed consolidated statement of financial position should be read in conjunction with the accompanying notes.

Condensed consolidated statement of changes in equity
For the period ended 30 June 2026
								£m
	Notes	Ordinary Share capital	Ordinary Share premium reserve	Capital redemption reserve	Share-based payments reserve	Other reserves	Retained earnings	Total shareholders' equity
Balance at 1 January 2026		115	58	346	40	-	907	1,466
Profit after tax		-	-	-	-	-	45	45
Total comprehensive income1		-	-	-	-	-	45	45
Dividends	9	-	-	-	-	-	(58)	(58)
Ordinary Shares repurchased in the Buyback Programme2	15	(3)	-	3	-	-	(70)	(70)
Employee benefit trust movements3		-	-	-	-	-	(22)	(22)
Equity share-based payment transactions		-	-	-	(6)	-	15	9
Aggregate tax effects of items recognised directly in equity		-	-	-	(2)	-	4	2
Total transactions with the owners of the Company		(3)	-	3	(8)	-	(131)	(139)
Balance at 30 June 2026		112	58	349	32	-	821	1,372
Balance at 1 January 2025		115	58	346	42	(1)	863	1,423
Profit after tax		-	-	-	-	-	46	46
Other comprehensive income		-	-	-	-	1	-	1
Total comprehensive income		-	-	-	-	1	46	47
Dividends	9	-	-	-	-	-	(57)	(57)
Employee benefit trust movements3		-	-	-	-	-	(13)	(13)
Equity share-based payment transactions		-	-	-	(10)	-	16	6
Aggregate tax effects of items recognised directly in equity		-	-	-	-	-	2	2
Total transactions with the owners of the Company		-	-	-	(10)	-	(52)	(62)
Balance at 30 June 2025		115	58	346	32	-	857	1,408

¹For the six-month period to 30 June 2026, total comprehensive income was equal to profit after tax attributable to the owners of the Company.

²On 4 March 2026, the Company announced a Share Buyback Programme (the "Programme") to purchase Ordinary Shares of up to £100 million. During the period ended 30 June 2026, the Company acquired 32,088,808 shares for a total consideration including associated transaction costs, of £59 million, of which £53 million was settled in cash in the six-month period to 30 June 2026. The shares, which have a nominal value of £3 million, were subsequently cancelled, giving rise to a capital redemption reserve of the same value as required by the Companies Act 2006. At 30 June 2026, the committed remaining share buyback for which irrevocable instruction had been provided by the Board under the relevant contractual arrangements, of £11 million was accrued as a liability against retained earnings.

³Movements in the employee benefit trusts include £24 million purchase of own shares (30 June 2025: £13 million) which is offset by other movements relating to employee variable compensation schemes of £2 million (30 June 2025: £nil).

The above condensed consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

Condensed consolidated statement of cash flows

For the period ended 30 June 2026

The cash flows presented in this statement cover all the Group's activities and include flows from both policyholder and shareholder activities. All cash and cash equivalents are available for general use by the Group for the purposes of the disclosures required under IAS 7 Statement of Cash Flows except for cash and cash equivalents in consolidated funds (as shown in note 14).

			£m
	Notes	Six months 2026	Six months 2025
Cash flows from operating activities
Cash flows from operating activities		3,955	3,003
Taxation paid		(49)	(4)
Total net cash flows from operating activities		3,906	2,999
Cash flows from investing activities
Net purchases and sales of financial investments excluding fixed-term deposits		(3,533)	(2,692)
Net investment in fixed-term deposits		(50)	-
Purchase of property, plant and equipment		(1)	(3)
Acquisition of subsidiaries	4	(5)	(2)
Acquisition of shares in associates		(4)	(4)
Total net cash flows from investing activities		(3,593)	(2,701)
Cash flows from financing activities
Dividends paid to the owners of the Company	9	(58)	(57)
Quilter plc shares repurchased and cancelled under the Programme	15	(53)	-
Quilter plc shares acquired for use within the Group's employee share schemes		(24)	(13)
Finance costs on borrowings1		(9)	(9)
Payment of interest on lease liabilities1		(1)	(1)
Payment of principal of lease liabilities		(4)	(2)
Total net cash flows from financing activities		(149)	(82)
Net increase in cash and cash equivalents		164	216
Cash and cash equivalents at the beginning of the year		2,152	1,949
Cash and cash equivalents at the end of the period	14	2,316	2,165

¹The total interest paid of £10 million (30 June 2025: £10 million) includes finance costs on borrowings and payment of interest on lease liabilities.

The above condensed consolidated statement of cash flows should be read in conjunction with the accompanying notes.

Notes to the condensed consolidated interim financial statements

For the period ended 30 June 2026

General information

Quilter plc (the "Company", the "Parent Company"), a public limited company incorporated in England and Wales and domiciled in the United Kingdom ("UK"), together with its subsidiaries (collectively, the "Group") offers investment and wealth management services, long-term savings and financial advice primarily in the UK. Quilter plc is listed with a primary listing on the London Stock Exchange ("LSE") and a secondary listing on the Johannesburg Stock Exchange ("JSE").

The Company's registration number is 06404270. The address of the registered office is Senator House, 85 Queen Victoria Street, London, EC4V 4AB.

1: Basis of preparation

The results for the six months ended 30 June 2026 have been prepared in accordance with the UK-adopted IAS 34 Interim Financial Reporting and the Disclosure Guidance and Transparency Rules sourcebook of the United Kingdom's Financial Conduct Authority. Although unaudited, the results have been reviewed by the Group's auditor, PricewaterhouseCoopers LLP, and their report is included earlier in this document. These condensed consolidated interim financial statements (the "interim financial statements") of Quilter plc for the six months ended 30 June 2026 do not constitute statutory accounts as defined by section 434 of the Companies Act 2006. Comparative financial information for the full year 2025 has been presented from the Group's 2025 Annual Report, which has been filed with the Registrar of Companies and was prepared in accordance with the UK-adopted International Accounting Standards and with the requirements of the Companies Act 2006 as applicable to companies reporting under those standards. The auditor's report on those financial statements was not qualified, did not include a reference to any matters to which the auditor drew attention by way of emphasis without qualifying the report and did not contain statements under section 498(2) or (3) of the Companies Act 2006. Copies of the Group's 2025 Annual Report are available online at plc.quilter.com.

These interim financial statements do not include all of the information required for a complete set of IFRS compliant financial statements. Selected notes are included to explain events and transactions that are significant to an understanding of the changes in the Group's financial position and performance since the publication of the Group's 2025 Annual Report. The Board considers that the alternative performance measures provided, such as adjusted profit, are also useful for both management and investors. Any seasonal or cyclical factors, to the extent that they materially impact the Group's results, are described in the Financial review.

There have been no changes in the Group's material accounting policies during the period. All accounting policies for recognition, measurement, consolidation and presentation are as outlined in the Group's 2025 Annual Report. These interim financial statements have been prepared on a historical cost basis, except for the revaluation of certain financial instruments, and are presented in pounds sterling, which is the currency of the primary economic environment in which the Group operates.

Going concern

The Directors have considered the resilience of the Group, its current financial position, the principal risks facing the business and the effectiveness of any mitigating strategies which are or could be applied. This included an assessment of capital and liquidity over a three-year business planning period covering 2026 to 2028. This assessment incorporated a number of stress tests covering a range of severe but plausible adverse scenarios. As part of the going concern assessment, the Group took into consideration the current position of the UK and global economy. The Group also considered how climate-related risks and opportunities affect operations, investment activities, advice and distribution, and their impact on specific projects and initiatives, estimates and judgements. Based on the assessment, the Directors believe that both the Group and Quilter plc have sufficient financial resources to continue in business for a period of at least 12 months from the date of approval of these interim financial statements and continue to adopt the going concern basis in preparing the interim financial statements.

Critical accounting estimates and judgements

The preparation of financial statements requires management to exercise judgement in applying the Group's material accounting policies and make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements. The Board Audit Committee reviews these areas of judgement and estimates, and the appropriateness of material accounting policies adopted in the preparation of these interim financial statements.

The Group's critical accounting judgements and estimates are detailed below:

Critical accounting judgements

The Group's critical accounting judgements are those made when applying its material accounting policies and that have the greatest effect on the net profit and net assets recognised in the Group's financial statements. There are no critical accounting judgements that have a significant impact on these interim financial statements.

Critical accounting estimates

The Group's critical accounting estimates involve the most complex or subjective assessments and assumptions, which have a significant risk of resulting in material adjustment to the net carrying amounts of assets and liabilities until those amounts are settled. Management uses its knowledge of current facts and circumstances and applies estimation and assumption setting techniques, that are aligned with relevant actuarial and accounting standards and guidance, to make predictions about future actions and events. Actual results may differ materially from those estimates.

Ongoing Advice Review

As previously announced, the Group committed to undertake a review of historical data and practices across the Appointed Representative firms in the Quilter Financial Planning network in relation to the provision of ongoing advice. Following discussion with the FCA, a Skilled Person was appointed in June 2024 to assess and provide a view to the FCA on whether the delivery of ongoing advice services by Appointed Representative firms in the Quilter Financial Planning network had been compliant with applicable regulatory requirements, during the period from 1 January 2017 to 31 December 2023.

The Skilled Person Review was finalised, and the final report submitted to the FCA during the first half of 2025. Accordingly, a Customer Remediation Strategy in relation to ongoing advice was developed by the Group, in consultation with management's external experts and remains ongoing. The remediation exercise is risk-based and considers cases where the customer has been charged for ongoing advice services, and the adviser is unable to satisfactorily evidence the provision of those services. The remediation exercise involves the population of customers who are at the highest likelihood of having not received the expected level of service from their adviser, based upon the results of the Skilled Person Review, together with other evidence available.

The Group has revised the estimated costs in the calculation of the provision. The value of the provision at 30 June 2026 takes account of the latest estimates for:

- refunds of fees previously charged for the population of customers included within the review;

- interest payable, which has been updated to align to the latest Financial Ombudsman Service interest payment policy; and

- the costs of carrying out the remediation exercise.

Further information on the provision including information about the assumptions made and the uncertainties arising is contained in note 16.

The significant estimates in the calculation of the provision are:

- extrapolation of the proportion of the customers where satisfactory evidence of servicing was not found during the remediation exercise to date, to the entire population of ongoing advice customers;

- response rate for customers invited to engage in the remediation exercise; and

- administrative costs to perform the remediation exercise, including costs associated with customer engagement and case reviews, which have been determined based upon experience from the project to date, and assumptions on the time period to complete the review process.

2: New standards, amendments to standards, and interpretations adopted by the Group

The amendments to accounting standards in the table below became applicable for the current reporting period, with no material impact on the Group's results, financial position or disclosures.

Adopted by the Group from	Amendments to standards
1 January 2026	IFRS 9 and IFRS 7 - Amendments to the Classification and Measurement of Financial Instruments

3: Significant changes in the current reporting period

Except for the matters disclosed in the notes to these interim financial statements there are no significant changes in the current reporting period to be disclosed.

We continually review the principal risks and uncertainties facing the Group which could pose a threat to the delivery of Quilter's strategic objectives. The Group considers that the nature of the principal risks and uncertainties that may have a material effect on the Group's performance over the remainder of the financial year remains unchanged from those presented within the 2025 Annual Report and Accounts.

4: Acquisitions and disposals

Acquisitions

The Group made two acquisitions during the period to 30 June 2026.

ILTB Limited, 14 January 2026

On 14 January 2026, the Group acquired 100% of the issued share capital of ILTB Limited, a company incorporated in Ireland. The acquisition strengthens Quilter's presence in Ireland and supports the continued development of its investment management and financial planning services for clients in Ireland and across Europe.

The fair value of the consideration was €16 million (equivalent of £14 million). €8 million (equivalent of £7 million) was paid on acquisition, with an estimated further €8 million (equivalent of £7 million) payable as contingent consideration in instalments up to the third anniversary of completion. The estimate is based on the value attributed to the expected future business performance. The consideration includes payment for control of the net assets of ILTB Limited of €3 million (equivalent of £3 million).

Net assets acquired consisted of €3 million (equivalent of £3 million) cash and, immaterial balances of property, plant and equipment, trade, other receivables and other assets, trade, other payables and other liabilities, and current tax payable.

The estimate of the excess of consideration over the fair value of assets acquired of €13 million (equivalent of £11 million) is to be attributable to goodwill and intangible assets when consolidating balances into the Quilter plc Group statement of financial position. An intangible asset has been recognised in respect of client contracts that existed, at the acquisition date. The intangible asset will be amortised over the expected life of the contracts (estimated to be 10 years), in accordance with the Group's accounting policies. An analysis was performed based upon future estimated cash flows from the list of clients at acquisition to determine the asset value. The analysis has determined this amount as €4 million (equivalent of £3 million). The remaining excess of €9 million (£8 million) has been recognised as goodwill relating to synergies, employee expertise and future growth prospects, adjusted for the impact of deferred tax arising on the recognised intangible assets.

Acquisition-related costs of €0.4 million (equivalent of £0.4 million) were recognised within administrative expenses in profit or loss. The contingent consideration arrangement requires the Group to pay additional amounts in 2027 and 2029 based on business performance expectations set out in the sale and purchase agreement, resulting in a liability of €8 million (equivalent of £7 million).

Post-acquisition performance

From the acquisition date of 14 January 2026 to 30 June 2026, the acquired business contributed £2 million of revenue and £1 million of profit after tax to the Group.

Had the acquisition occurred on 1 January 2026, to the nearest whole million, the acquired business' contribution to the Group's revenue and profit after tax would have been unchanged.

St Edmundsbury, 27 March 2026

On 27 March 2026, the Group acquired 30% of the share capital of St Edmundsbury Wealth Management Limited ("St Edmundsbury") for £4 million. St Edmundsbury has two subsidiaries, GAR Holdings Ltd and Camouse Financial Management Limited. The Group has carried out an assessment of control and influence and concluded that it has significant influence but not control of St Edmundsbury. It therefore accounts for the holding as an investment in associate and accounts for its share of the post-tax profits or losses of the entities using the equity method of accounting. Subject to certain terms being met, the Group intends to acquire the remaining share capital of St Edmundsbury in 2031.

Acquisitions in the prior period

MediFintech Ltd, 1 April 2025

On 1 April 2025, Quilter acquired 100% of the share capital of MediFintech Ltd, a company that provides detailed NHS pension reports, technical support and analysis to NHS Pension Scheme members, for a total consideration of £5 million. Of the total consideration £2 million was paid on acquisition and a further estimated £3 million is deferred consideration payable in stages on the first, second, third and fourth anniversary dates post completion dependent on business performance. The Group has carried out an assessment of control and concluded that it has control of this entity and accordingly MediFintech Ltd's results are included in the Group's financial statements from 1 April 2025.

During the six-month period to 30 June 2026, a deferred consideration payment of £1 million was paid, following the first anniversary date post completion, which reduced the deferred consideration payable to £2 million.

Digby Associates Limited, 3 April 2025

On 3 April 2025, the Group acquired 30% of the share capital of Digby Associates Limited for £3 million. The Group has carried out an assessment of control and influence and concluded that it has significant influence but not control of this entity. It therefore accounts for the holding as an investment in associate and accounts for its share of the post-tax profits or losses of Digby Associates Limited using the equity method of accounting. Subject to certain terms being met, the Group will acquire the remaining share capital of Digby Associates Limited in 2027.

Disposals

There were no material disposals of businesses during the current or the prior periods.

5: Alternative performance measures

5(a): Adjusted profit before tax and reconciliation to profit after tax                                                                                         

Basis of preparation of adjusted profit before tax

Adjusted profit before tax is one of the Group's alternative performance measures ("APMs") and represents the Group's IFRS results, adjusted for specific items that management considers to be outside of the Group's normal operations or one-off in nature, as detailed in note 5(b). Adjusted profit before tax does not provide a complete picture of the Group's financial performance, which is disclosed in the condensed consolidated statement of comprehensive income, but is instead intended to provide additional comparability and understanding of the financial results.

			£m
	Notes	Six months 2026	Six months 2025
Affluent		86	79
High Net Worth		29	24
Head Office		(3)	(3)
Adjusted profit before tax	6(b)	112	100
Adjusting items:
Impact of acquisition and disposal-related accounting	5(b)(i)	(7)	(11)
Business transformation costs	5(b)(ii)	(13)	(17)
Customer remediation exercise	5(b)(iii)	5	(1)
Policyholder tax adjustments	5(b)(iv)	(28)	-
Finance costs	5(b)(v)	(9)	(9)
Total adjusting items before tax		(52)	(38)
Profit before tax attributable to shareholder returns		60	62
Income tax attributable to policyholder returns	7	162	38
IFRS profit before tax		222	100
Income tax expense	7	(177)	(54)
IFRS profit after tax		45	46

5(b): Adjusting items

The adjustments made to the Group's IFRS profit before tax to calculate adjusted profit before tax are detailed below.

5(b)(i): Impact of acquisition and disposal-related accounting

The Group excludes any impairment of goodwill from adjusted profit as well as the amortisation and impairment of acquired intangible assets, finance costs related to the discounting of contingent consideration and incidental items relating to past disposals.

The effect of these adjustments to determine adjusted profit are summarised below.

			£m
		Six months 2026	Six months 2025
Amortisation of acquired intangible assets		5	10
Amortisation of acquired adviser schemes		2	1
Total impact of acquisition and disposal-related accounting		7	11

5(b)(ii): Business transformation costs

For the six months to 30 June 2026, business transformation costs totalled £13 million (30 June 2025: £17 million). These costs included the implementation of the Advice and Wealth Transformation programmes, as well as the final closure costs associated with Business Simplification. The Group expects these costs to continue, before reducing during 2027 following the completion of the Advice and Wealth Transformation programmes.

5(b)(iii): Customer remediation exercise

For the period ended 30 June 2026, a customer remediation credit has been recognised of £5 million (30 June 2025: £1 million cost). The current period credit reflects a release of redress costs based on the latest estimate, following progress made on the exercise to date, partially offset by an increase in expected administration expenses. The prior period charge represented the unwinding of the discount rate, reflecting the passage of time since 31 December 2024, when the present value of future cost associated with the customer remediation exercise provision was calculated to 30 June 2025. Charges and credits relating to the customer remediation exercise are excluded from adjusted profit as management considers the exercise to be outside of the Group's normal operations and one-off in nature.

5(b)(iv): Policyholder tax adjustments

For the period ended 30 June 2026, the total amount of policyholder tax adjustments to adjusted profit is £28 million (30 June 2025: £nil). Adjustments to policyholder tax are made to remove distortions due to the recognition of the income received from policyholders to fund the policyholder tax liability (which is included within the Group's income) which may vary in timing to the recognition of the corresponding tax expense, creating volatility in the Group's IFRS profit or loss before tax.

The adjustment in the period ended 30 June 2026 relates primarily to the impact of the future change in policyholder tax rate which was substantively enacted in March 2026.

5(b)(v): Finance costs

The nature of much of the Group's operations means that, for management's decision-making and internal performance management, the effects of interest costs on subordinated debt are removed when calculating adjusted profit. For the period ended 30 June 2026, finance costs were £9 million (30 June 2025: £9 million).

5(c): Reconciliation of IFRS income and expenses to "Total net revenue" and "Operating expenses" within adjusted profit

This reconciliation shows how each line of the Group's IFRS income and expenses are allocated to the Group's APMs: Net management fees, Other revenue, Investment revenue, Total net revenue and Operating expenses, which form the Group's adjusted profit before tax. The total column in the table below, down to "Profit before tax attributable to shareholder returns", reconciles to each line of the condensed consolidated statement of comprehensive income. Allocations are determined by management and aim to show the Group's sources of profit (net of relevant directly attributable expenses). These allocations remain consistent from period to period to ensure comparability, unless otherwise stated.

								£m
Six months 2026	Net mgmt. fees1	Other revenue1	Investment revenue1	Total net revenue1	Operating expenses1	Adjusted profit before tax	Consol. of funds2	Total
Income
Fee income and other income from service activities	453	49	-	502	-	502	(56)	446
Investment return3	26	5,384	36	5,446	-	5,446	781	6,227
Other income	-	-	-	-	11	11	1	12
Total income	479	5,433	36	5,948	11	5,959	726	6,685
Expenses
Change in investment contract liabilities3	(10)	(5,382)	(5)	(5,397)	-	(5,397)	-	(5,397)
Fee and commission expenses and other acquisition costs	(29)	-	-	(29)	-	(29)	(1)	(30)
Change in third-party interests in consolidated funds	-	-	-	-	-	-	(703)	(703)
Other operating and administrative expenses	(9)	-	-	(9)	(292)	(301)	(22)	(323)
Finance costs	-	-	-	-	(10)	(10)	-	(10)
Total expenses	(48)	(5,382)	(5)	(5,435)	(302)	(5,737)	(726)	(6,463)
Profit before tax	431	51	31	513	(291)	222	-	222
Income tax expense attributable to policyholder returns	(162)	-	-	(162)	-	(162)	-	(162)
Profit before tax attributable to shareholder returns	269	51	31	351	(291)	60	-	60
Adjusting items:
Impact of acquisition and disposal-related accounting	-	-	-	-	7	7
Business transformation costs	-	-	-	-	13	13
Customer remediation exercise	-	-	-	-	(5)	(5)
Policyholder tax adjustments	29	-	(1)	28	-	28
Finance costs	-	-	-	-	9	9
Adjusting items	29	-	(1)	28	24	52
Adjusted profit before tax	298	51	30	379	(267)	112

 ¹The APMs "Net management fees", "Other revenue", "Investment revenue", "Total net revenue" and "Operating expenses" are commented on within the Financial review.

²Consolidation of funds shows the grossing up impact to the Group's profit or loss as a result of the consolidation of funds requirements, as described within note 5(a) to the Group's 2025 Annual Report. This grossing up is excluded from the Group's adjusted profit.

³Reported within net management fees, investment return of £26 million represents £15 million interest income on investments held for the benefit of policyholders and £11 million net interest income on client money balances. Change in investment contract liabilities of £10 million represents the amount of interest income paid to policyholders. The net balance of £16 million represents interest income on customer balances retained by the Group for 2026. The £36 million investment return less £5 million change in investment contract liabilities paid to customers on transactional cash balances after the policyholder tax adjustment of £1 million, as reported within investment revenue, represents £30 million of net interest income on shareholder cash and cash equivalents.

								£m
Six months 2025	Net mgmt. fees1	Other revenue1	Investment revenue1	Total net revenue1	Operating expenses1	Adjusted profit before tax	Consol. of funds2	Total
Income
Fee income and other income from service activities	313	44	-	357	-	357	(46)	311
Investment return3	24	1,740	37	1,801	-	1,801	439	2,240
Other income	-	1	-	1	10	11	1	12
Total income	337	1,785	37	2,159	10	2,169	394	2,563
Expenses
Change in investment contract liabilities3	(10)	(1,737)	(5)	(1,752)	-	(1,752)	-	(1,752)
Fee and commission expenses and other acquisition costs	(25)	1	-	(24)	(1)	(25)	(4)	(29)
Change in third-party interests in consolidated funds	-	-	-	-	-	-	(368)	(368)
Other operating and administrative expenses	(7)	(1)	-	(8)	(275)	(283)	(22)	(305)
Finance costs	-	-	-	-	(10)	(10)	-	(10)
Total expenses	(42)	(1,737)	(5)	(1,784)	(286)	(2,070)	(394)	(2,464)
Reversal of impairment of investments in associates	-	-	-	-	1	1	-	1
Profit before tax	295	48	32	375	(275)	100	-	100
Income tax expense attributable to policyholder returns	(38)	-	-	(38)	-	(38)	-	(38)
Profit before tax attributable to shareholder returns	257	48	32	337	(275)	62	-	62
Adjusting items:
Impact of acquisition and disposal-related accounting	-	-	-	-	11	11
Business transformation costs	-	-	-	-	17	17
Customer remediation exercise	-	-	-	-	1	1
Finance costs	-	-	-	-	9	9
Adjusting items	-	-	-	-	38	38
Adjusted profit before tax	257	48	32	337	(237)	100

¹The APMs "Net management fees", "Other revenue", "Investment revenue", "Total net revenue" and "Operating expenses" are commented on within the Financial review.

²Consolidation of funds shows the grossing up impact to the Group's income and expenses as a result of the consolidation of funds requirements, as described within note 5(a) to the Group's 2025 Annual Report. This grossing up is excluded from the Group's adjusted profit.

³Reported within net management fees, investment return of £24 million represents £14 million interest income on investments held for the benefit of policyholders and £10 million net interest income on client money balances. Change in investment contract liabilities of £10 million represents the amount of interest income paid to policyholders. The net balance of £14 million represents interest income on customer balances retained by the Group for the six months to 30 June 2025. The £37 million investment return less £5 million change in investment contract liabilities paid to customers on transactional cash balances, as reported within investment revenue, represents £32 million of interest income on shareholder cash and cash equivalents.

6: Segment information

6(a): Segment presentation

The Group has two operating segments: High Net Worth and Affluent. The segments used for reporting purposes are consistent with the structure and management of the Group. Head Office includes certain revenues and central costs that are not allocated to the segments.

Adjusted profit before tax is an APM reported to the Group's management and the Board of Quilter plc. The segment information in this note reflects the adjusted and IFRS profit measures for each operating segment as provided to management and the Board. Management and the Board use additional performance indicators to assess the performance of each of the segments, including net inflows, assets under management and administration, total net revenue and operating margin. Income is analysed in further detail for each operating segment in note 6(b).

Consistent with internal reporting, income and expenses that are not directly attributable to a particular segment are allocated between segments where appropriate. The Group accounts for inter-segment income and transfers as if the transactions were with third parties at current market prices.

High Net Worth

This segment comprises Quilter Cheviot and Quilter Cheviot Financial Planning.

Quilter Cheviot provides discretionary investment management, predominantly in the United Kingdom, with bespoke investment portfolios tailored to the individual needs of high net worth clients, charities, companies and institutions through a network of branches in London and the regions. Investment management services are also provided by operations in the Channel Islands and Ireland.

Quilter Cheviot Financial Planning offers a restricted advice proposition to high net worth clients in the UK.

Affluent

This segment comprises Quilter Investment Platform, Quilter Investors, Quilter Financial Planning and Quilter Invest.

Quilter Investment Platform is a leading investment platform provider of advice-based wealth management products and services in the UK, which serves an affluent customer base through advised multi-channel distribution.

Quilter Investors is a leading provider of investment solutions in the UK multi-asset market. It develops and manages investment solutions in the form of funds for the Group and third-party customers. It has several fund ranges which vary in breadth of underlying asset class.

Quilter Financial Planning is a restricted and independent financial adviser network providing mortgage and financial planning advice and financial solutions for both individuals and businesses through a network of intermediaries. It operates across all markets, from wealth management and retirement planning advice through to dealing with property wealth and personal and business protection needs.

Quilter Invest manages a fintech platform through which customers can build investment portfolios. The Quilter Invest platform provides access to savings and investments and is particularly aimed at people starting to invest who are looking for additional help and guidance, and may choose to work with a financial adviser later in their investment journey.

Head Office

In addition to the Group's two operating segments, Head Office comprises the investment return on centrally held assets, central support function expenses, central core structural borrowings and certain tax balances.

6(b): Adjusted profit statement - segment information

The table below presents the Group's operations split by operating segment, reconciling IFRS profit or loss to adjusted profit before tax. The Total column, down to "Profit/(loss) before tax attributable to shareholder returns", reconciles to the condensed consolidated statement of comprehensive income.

						£m
		Operating segments
Six months 2026	Notes	Affluent	High Net Worth	Head Office	Consolidation adjustments1	Total
Income
Premium-based fees		36	13	-	-	49
Fund-based fees		210	106	-	(56)	260
Fixed fees		1	-	-	-	1
Other fee and commission income		136	-	-	-	136
Fee income and other income from service activities		383	119	-	(56)	446
Investment return2		5,433	8	13	773	6,227
Other income		44	-	-	(32)	12
Segment income		5,860	127	13	685	6,685
Expenses
Change in investment contract liabilities2		(5,397)	-	-	-	(5,397)
Fee and commission expenses and other acquisition costs		(30)	-	-	-	(30)
Change in third-party interests in consolidated funds		-	-	-	(703)	(703)
Other operating and administrative expenses		(221)	(103)	(11)	12	(323)
Finance costs		(1)	-	(15)	6	(10)
Segment expenses		(5,649)	(103)	(26)	(685)	(6,463)
Profit/(loss) before tax		211	24	(13)	-	222
Income tax expense attributable to policyholder returns		(162)	-	-	-	(162)
Profit/(loss) before tax attributable to shareholder returns		49	24	(13)	-	60
Adjusting items:
Impact of acquisition and disposal-related accounting	5(b)(i)	6	1	-	-	7
Business transformation costs	5(b)(ii)	8	4	1	-	13
Customer remediation exercise	5(b)(iii)	(5)	-	-	-	(5)
Policyholder tax adjustments	5(b)(iv)	28	-	-	-	28
Finance costs	5(b)(v)	-	-	9	-	9
Adjusting items before tax		37	5	10	-	52
Adjusted profit/(loss) before tax		86	29	(3)	-	112

¹Consolidation adjustments comprise the elimination of inter-segment transactions and the consolidation of investment funds.

²Investment return and change in investment contract liabilities includes net £16 million interest income on customer cash and cash equivalents retained by the Group. Investment return total also includes £30 million of interest income on shareholder cash and cash equivalents.

						£m
		Operating segments
Six months 2025	Notes	Affluent	High  Net  Worth	Head Office	Consolidation adjustments1	Total
Income
Premium-based fees		33	11	-	-	44
Fund-based fees		178	93	-	(46)	225
Fixed fees		1	-	-	-	1
Other fee and commission income		41	-	-	-	41
Fee income and other income from service activities		253	104	-	(46)	311
Investment return2		1,785	9	16	430	2,240
Other income		52	-	-	(40)	12
Segment income		2,090	113	16	344	2,563
Expenses
Change in investment contract liabilities2		(1,752)	-	-	-	(1,752)
Fee and commission expenses and other acquisition costs		(26)	-	-	(3)	(29)
Change in third-party interests in consolidated funds		-	-	-	(368)	(368)
Other operating and administrative expenses		(205)	(100)	(18)	18	(305)
Finance costs		(1)	-	(18)	9	(10)
Segment expenses		(1,984)	(100)	(36)	(344)	(2,464)
Reversal of impairment of investments in associates		-	-	1	-	1
Profit/(loss) before tax		106	13	(19)	-	100
Income tax expense attributable to policyholder returns		(38)	-	-	-	(38)
Profit/(loss) before tax attributable to shareholder returns		68	13	(19)	-	62
Adjusting items:
Impact of acquisition and disposal-related accounting	5(b)(i)	5	6	-	-	11
Business transformation costs	5(b)(ii)	5	5	7	-	17
Customer remediation exercise	5(b)(iii)	1	-	-	-	1
Finance costs	5(b)(v)	-	-	9	-	9
Adjusting items before tax		11	11	16	-	38
Adjusted profit before tax		79	24	(3)	-	100

¹Consolidation adjustments comprise the elimination of inter-segment transactions and the consolidation of investment funds.

²Investment return and change in investment contract liabilities includes net £14 million interest income on customer cash and cash equivalents retained by the Group. Investment return total also includes £32 million interest income on shareholder cash and cash equivalents.

7: Tax

			£m
		Six months 2026	Six months 2025
Current tax
United Kingdom		53	29
Overseas tax		1	1
Adjustments to current tax in respect of prior years		(1)	-
Total current tax charge		53	30
Deferred tax
Origination and reversal of temporary differences		112	25
Adjustments to deferred tax in respect of prior periods		12	(1)
Total deferred tax charge		124	24
Total tax charge		177	54
Attributable to policyholder returns		162	38
Attributable to shareholder returns		15	16
Total tax charge		177	54

Change in tax rate

As part of the UK Government's Autumn Budget delivered in November 2025, the Chancellor announced an increase in the future policyholder tax rate from 20% to 22%. The revised rate applies from April 2027 following Royal Assent in March 2026. The new rate has been used in recognising the Group's deferred tax assets and liabilities should the temporary difference reverse after 1 April 2027, and also resulted in a rebasing of deferred tax liabilities as at 31 December 2025 for deemed gains brought forward at the higher rate, which has increased the policyholder deferred tax liability by £12 million.

There has been no change in the shareholder tax rate which remains at 25% (30 June 2025: 25%).

Policyholder tax

Certain products are subject to tax on policyholders' investment returns. This "policyholder tax" is an element of total tax expense. To make the tax expense more meaningful, tax attributable to policyholder returns and tax attributable to shareholder returns are shown separately in the condensed consolidated statement of comprehensive income.

The tax attributable to policyholder returns is the amount payable in the period plus the movement of amounts expected to be payable in future periods. The remainder of the tax expense is attributed to shareholder returns.

The Group's income tax charge was £177 million for the six months to 30 June 2026 (30 June 2025: £54 million tax charge). The income tax charge can vary significantly period-on-period because of market volatility and the impact this has on policyholder tax.

Market movements for the period ended 30 June 2026 resulted in investment gains of £642 million on products subject to policyholder tax. The gain is a component of the total "investment return" gain of £6,227 million shown in the condensed consolidated statement of comprehensive income. The tax impact of the £642 million investment return gain is a significant element of the £162 million tax charge attributable to policyholder returns for the six months ended 30 June 2026.

Pillar II taxes

Pillar II legislation is applicable in the UK, establishing a Pillar II minimum effective tax rate of 15%. The legislation implements a Multinational Top-up Tax ("MTT") and a Domestic Top-up Tax ("DTT").

In line with the exception in IAS 12.4A, the Group does not recognise or disclose information about deferred tax assets and liabilities related to Pillar II income taxes.

The scope of the MTT means that a top-up tax charge may also arise in the UK on profits earned in countries with lower tax rates in which the Group operates, subject to a local qualifying domestic minimum tax. The Group's main non-UK operations are in Jersey and Ireland. In the six months to 30 June 2026, the effective corporation tax rates in both Ireland and Jersey are above 15%, therefore there is no Pillar II tax liability due for the six months to 30 June 2026 in the UK for these jurisdictions (2025: £nil). The Group has assessed that there are no material Pillar II tax charges in any other countries in which it operates.

8: Earnings per share

The Group calculates earnings per share ("EPS") on a number of different bases. IFRS requires the calculation of basic and diluted EPS. Adjusted EPS reflects earnings that are consistent with the Group's adjusted profit measure and Headline earnings per share ("HEPS") is a requirement of the Johannesburg Stock Exchange.

8(a): Weighted average number of Ordinary Shares

The table below summarises the calculation of the weighted average number of Ordinary Shares for the purposes of calculating basic and diluted earnings per share for each profit measure (IFRS, adjusted profit and Headline earnings).

The bases for the calculation of the Group's EPS are disclosed in note 5(t) of the Group's 2025 Annual Report.

			Million
		Six months 2026	Six months 2025
Weighted average number of Ordinary Shares		1,394	1,404
Own shares including those held in consolidated funds and employee benefit trusts		(46)	(55)
Basic weighted average number of Ordinary Shares		1,348	1,349
Adjustment for dilutive share awards and options		40	39
Diluted weighted average number of Ordinary Shares		1,388	1,388

8(b): Basic and diluted EPS (IFRS and adjusted profit)

			£m
	Note	Six months 2026	Six months 2025
Profit after tax		45	46
Total adjusting items before tax	5(a)	52	38
Tax on adjusting items		15	(9)
Less: policyholder tax adjustments		(28)	-
Adjusted profit after tax		84	75

			Pence
	Post-tax profit measure used	Six months 2026	Six months 2025
Basic EPS	IFRS profit	3.3	3.4
Diluted EPS	IFRS profit	3.2	3.3
Adjusted basic EPS	Adjusted profit	6.2	5.6
Adjusted diluted EPS	Adjusted profit	6.1	5.4

8(c): Headline earnings per share

	+	+		£m
	Six months 2026		Six months 2025
	Gross of tax	Net of tax	Gross of tax	Net of tax
Profit		45		46
Adjusted for:
- less reversal of impairment of investments in associates	-	-	(1)	(1)
- add back loss on disposal of property, plant and equipment	-	-	1	1
Headline earnings		45		46
Headline basic EPS (pence)		3.3		3.4
Headline diluted EPS (pence)		3.2		3.3

9: Dividends

			£m
	Payment date	Six months 2026	Six months 2025
2024 Final Dividend paid - 4.2p per Ordinary Share	27 May 2025	-	57
2025 Final Dividend paid - 4.3p per Ordinary Share	18 May 2026	58	-
Dividends paid to Ordinary Shareholders		58	57

Final and Interim Dividends paid to Ordinary Shareholders are calculated using the number of shares in issue at the record date less own shares held in employee benefit trusts.

10: Goodwill and intangible assets

		£m
	30 June 2026	31 December 2025
Goodwill	316	308
Software and other intangible assets	19	20
Total goodwill and intangible assets	335	328

10(a): Allocation of goodwill to cash-generating units ("CGUs") and consideration of the need for an impairment review

Goodwill is monitored by management at the level of the Group's two operating segments: Affluent and High Net Worth. Each of the two operating segments represents a group of CGUs.

		£m
	30 June 2026	31 December 2025
Goodwill (net carrying amount)
Affluent	225	225
High Net Worth	91	83
Total goodwill	316	308

Goodwill has increased by £8 million since 31 December 2025 due to the Group's acquisition of ILTB Limited in January 2026 and has been fully allocated to the High Net Worth CGU.

Consideration of the need for an impairment review

Goodwill in both the Affluent and High Net Worth CGU groups is tested for impairment annually, or earlier if an indicator of impairment exists, by comparing the carrying value of the CGU group to which the goodwill relates to the recoverable value of that CGU group, being the higher of that CGU group's value-in-use or fair value less costs to sell. If applicable, an impairment charge is recognised when the recoverable amount is less than the carrying value. Goodwill impairment indicators can include sudden stock market falls, the absence of net inflows, significant falls in profits and significant increases in the discount rate.

During the six months to 30 June 2026, management considers there to be no indicators of impairment for the Affluent and High Net Worth CGU groups. The positive movements in equity markets and resulting increase in AuMA have contributed to higher revenues, leading to adjusted profit before tax of £112 million, which is a 12% increase from the prior period to 30 June 2025 of £100 million. Net inflows have also been stronger compared to the prior period due to higher gross sales.

11: Financial investments

The table below analyses the investments and securities that the Group invests in, either on its own proprietary behalf (shareholder funds) or on behalf of third parties (policyholder funds).

		£m
	30 June 2026	31 December 2025
Government and government-guaranteed securities	909	264
Other debt securities, preference shares and debentures	4,128	3,515
Equity securities	10,995	9,716
Pooled investments	67,386	59,816
Fixed-term deposits treated as investments	100	50
Other	1	1
Total financial investments	83,519	73,362

The financial investments are recoverable within 12 months, apart from £8 million (2025: £7 million) which is recoverable after 12 months. The financial investments recoverability profile is based on the intention with which the financial assets are held. The assets held on behalf of policyholders cover the liabilities for linked investment contracts, all of which can be withdrawn by policyholders on demand.

12: Categories of financial instruments

The analysis of financial assets and liabilities into categories as defined in IFRS 9 Financial Instruments is set out in the following tables. Assets and liabilities of a non-financial nature, or financial assets and liabilities that are specifically excluded from the scope of IFRS 9, are reflected in the non‑financial assets and liabilities category.

For information about the methods and assumptions used in determining fair value, refer to note 13. The Group's exposure to various risks associated with financial instruments is discussed in note 38 to the Group's 2025 Annual Report. During the period, there have been no material changes in the Group's exposure to those risks.

30 June 2026
					£m
Measurement basis	Fair value
	Mandatorily at FVTPL	Designated at FVTPL	Amortised cost	Non-financial assets and liabilities	Total
Assets
Loans and advances	-	-	56	-	56
Financial investments	83,418	1	100	-	83,519
Trade, other receivables and other assets	-	-	1,179	45	1,224
Derivative assets	54	-	-	-	54
Cash and cash equivalents	1,491	-	825	-	2,316
Total assets that include financial instruments	84,963	1	2,160	45	87,169
Total other non-financial assets	-	-	-	567	567
Total assets	84,963	1	2,160	612	87,736
Liabilities
Investment contract liabilities	-	73,318	-	-	73,318
Third-party interests in consolidated funds	10,661	-	-	-	10,661
Borrowings and lease liabilities	-	-	267	-	267
Trade, other payables and other liabilities	-	1	1,609	81	1,691
Derivative liabilities	76	-	-	-	76
Total liabilities that include financial instruments	10,737	73,319	1,876	81	86,013
Total other non-financial liabilities	-	-	-	351	351
Total liabilities	10,737	73,319	1,876	432	86,364

31 December 2025
					£m
Measurement basis	Fair value
	Mandatorily at FVTPL	Designated at FVTPL	Amortised cost	Non-financial assets and liabilities	Total
Assets
Loans and advances	-	-	44	-	44
Financial investments	73,311	1	50	-	73,362
Trade, other receivables and other assets	-	-	356	42	398
Derivative assets	24	-	-	-	24
Cash and cash equivalents	1,425	-	727	-	2,152
Total assets that include financial instruments	74,760	1	1,177	42	75,980
Total other non-financial assets	-	-	-	562	562
Total assets	74,760	1	1,177	604	76,542
Liabilities
Investment contract liabilities	-	64,493	-	-	64,493
Third-party interests in consolidated funds	9,394	-	-	-	9,394
Borrowings and lease liabilities	-	-	271	-	271
Trade, other payables and other liabilities	-	1	543	105	649
Derivative liabilities	24	-	-	-	24
Total liabilities that include financial instruments	9,418	64,494	814	105	74,831
Total other non-financial liabilities	-	-	-	245	245
Total liabilities	9,418	64,494	814	350	75,076

13: Fair value methodology

This section explains the judgements and estimates made in determining the fair values of financial instruments that are recognised and measured at fair value in the financial statements. Classifying financial instruments into the three levels of the fair value hierarchy (see note 13(b)) provides an indication of the reliability of inputs used in determining fair value.

13(a): Determination of fair value

The fair value of financial instruments that are actively traded in organised financial markets is determined by reference to quoted market exit prices for assets and offer prices for liabilities, at the close of business on the reporting date, without any deduction for transaction costs:

·      for units in unit trusts and shares in open-ended investment companies, fair value is determined by reference to published quoted prices representing exit values in an active market;

·      for equity and debt securities not actively traded in organised markets and where the price cannot be retrieved, the fair value is determined by reference to similar instruments for which market observable prices exist;

·      for assets that have been suspended from trading on an active market, the last published price is used. Many suspended assets are still regularly priced. At the reporting date, all suspended assets are assessed for impairment; and

·      where the assets are private equity investments or within consolidated investment funds, the valuation is based on the latest available set of audited financial statements, or if more recent is available, reports from Investment Managers or professional valuation experts on the value of the underlying assets of the private equity investment or fund.

There have been no significant changes in the valuation techniques applied when valuing financial instruments. Where assets are valued by the Group, the general principles applied to those instruments measured at fair value are outlined below:

Financial investments

Financial investments include government and government-guaranteed securities, listed and unlisted debt securities, preference shares and debentures, listed and unlisted equity securities, listed and unlisted pooled investments (see below), short-term funds and securities treated as investments and certain other securities.

Pooled investments represent the Group's holdings of shares/units in open-ended investment companies, unit trusts, mutual funds and similar investment vehicles. Pooled investments are recognised at fair value. The fair values of pooled investments are based on widely published prices that are regularly updated except for pooled investments relating to Quilter smoothed funds. Smoothed funds are valued using a valuation technique (given no observable market prices are available) which is deemed to be fair value under the assumption that market participants would use the stated value when pricing the asset and linked liability.

Other financial investments that are measured at fair value use observable market prices where available. In the absence of observable market prices, these investments and securities are fair valued using various approaches including valuations based on discounted cash flows and earnings before interest, tax, depreciation and amortisation multiples.

Derivatives

The fair value of derivatives is determined with reference to the exchange-traded prices of the specific instruments. The fair value of over-the-counter forward foreign exchange contracts is determined by reference to the relevant exchange rates.

Investment contract liabilities

The fair value of the investment contract liabilities is determined with reference to the underlying funds that are held by the Group.

Third-party interests in consolidated funds

Third-party interests in consolidated funds are measured at the attributable net asset value of each fund.

13(b): Fair value hierarchy

Fair values are determined according to the following hierarchy:

Description of hierarchy	Types of instruments classified in the respective levels
Level 1 - quoted market prices: financial assets and liabilities with quoted prices for identical instruments in active markets.	Listed equity securities, government securities and other listed debt securities and similar instruments that are actively traded, actively traded pooled investments, certain quoted derivative assets and liabilities and investment contract liabilities directly linked to Level 1 financial assets.
Level 2 - valuation techniques using observable inputs: financial assets and liabilities with quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in inactive markets and financial assets and liabilities valued using models where all significant inputs are observable.	Unlisted equity and debt securities where the valuation is based on models involving no significant unobservable data. Over-the-counter derivatives, certain privately placed debt instruments and third-party interests in consolidated funds.
Level 3 - valuation techniques using significant unobservable inputs: financial assets and liabilities valued using valuation techniques where one or more significant inputs are unobservable.	Unlisted equity and securities with significant unobservable inputs, securities where the market is not considered sufficiently active, including certain inactive pooled investments and smoothed funds. Investment contract liabilities directly linked to smoothed funds are reported as Level 3.

The judgement as to whether a market is active may include, for example, consideration of factors such as the magnitude and frequency of trading activity, the availability of prices and the size of bid/offer spreads. In inactive markets, obtaining assurance that the transaction price provides evidence of fair value or determining the adjustments to transaction prices that are necessary to measure the fair value of the asset or liability requires additional work during the valuation process.

The majority of valuation techniques employ only observable data and so the reliability of the fair value measurement is high. Certain financial assets and liabilities are valued on the basis of valuation techniques that feature one or more significant inputs that are unobservable and, for them, the derivation of fair value is more judgemental. A financial asset or liability in its entirety is classified as valued using significant unobservable inputs if a significant proportion of that asset or liability's carrying amount is driven by unobservable inputs.

In this context, 'unobservable' means that there is little or no current market data available from which to determine the price at which an arm's length transaction would be likely to occur. It generally does not mean that there is no market data available at all upon which to base a determination of fair value. Furthermore, in some cases the majority of the fair value derived from a valuation technique with significant unobservable data may be attributable to observable inputs.

13(c): Transfer between fair value hierarchies

The Group deems a transfer to have occurred between Level 1 and Level 2 or Level 3 when an actively traded primary market ceases to exist for that financial instrument. A transfer between Level 2 and Level 3 occurs when one or more of the significant inputs used to determine the fair value of the instrument become unobservable. Transfers from Levels 3 or 2 to Level 1 are also possible when assets become actively priced.

There were £nil transfers of financial investments between Level 1 and Level 2 during the six months to 30 June 2026 (31 December 2025: £nil).

Note 13(e) contains information on movements in Level 3 financial instruments during the period.

13(d): Financial assets and liabilities measured at fair value, classified according to the fair value hierarchy

The majority of the Group's financial assets are measured using quoted market prices for identical instruments in active markets (Level 1) and there have been no significant changes during the period.

Financial investments include linked assets that are held to cover the liabilities for linked investment contracts which form part of the investment contract liabilities balance. The difference between the value of linked assets and that of linked liabilities is mainly due to short-term timing differences between policyholder premiums being received and invested in advance of policies being issued, and tax liabilities within funds which are reflected within the Group's tax liabilities.

Differences between assets and liabilities within the respective levels of the fair value hierarchy also arise due to the mix of underlying assets and liabilities within consolidated funds. In addition, third-party interests in consolidated funds are classified as Level 2.

The tables below analyse the Group's financial assets and liabilities measured at fair value by the fair value hierarchy described in note 13(b).

				£m
30 June 2026	Level 1	Level 2	Level 3	Total
Financial investments	71,581	11,807	31	83,419
Cash and cash equivalents	1,491	-	-	1,491
Derivative assets	-	54	-	54
Total financial assets measured at fair value through profit or loss	73,072	11,861	31	84,964
Third-party interests in consolidated funds	-	10,661	-	10,661
Derivative liabilities	-	76	-	76
Investment contract liabilities	73,291	-	27	73,318
Other liabilities	-	1	-	1
Total financial liabilities measured at fair value through profit or loss	73,291	10,738	27	84,056
				£m
31 December 2025	Level 1	Level 2	Level 3	Total
Financial investments	62,183	11,108	21	73,312
Cash and cash equivalents	1,425	-	-	1,425
Derivative assets	-	24	-	24
Total financial assets measured at fair value through profit or loss	63,608	11,132	21	74,761
Third-party interests in consolidated funds	-	9,394	-	9,394
Derivative liabilities	-	24	-	24
Investment contract liabilities	64,473	-	20	64,493
Other liabilities	-	1	-	1
Total financial liabilities measured at fair value through profit or loss	64,473	9,419	20	73,912

13(e): Level 3 fair value hierarchy disclosure

The majority of the assets classified as Level 3 are held within linked policyholder funds. The Level 3 assets reported represent suspended funds and smoothed funds. Prices are available daily for these funds, however, since they cannot be actively traded, they are given Level 3 status. For both suspended funds and smoothed funds held within linked policyholder funds, all of the investment risk associated with these assets is borne by policyholders and the value of these assets is exactly matched by a corresponding liability due to policyholders. The Group bears no risk from a change in the market value of these assets except to the extent that it has an impact on fees earned.

Level 3 assets also include investments within consolidated funds attributable to the third-party interest in those funds. The Group bears no risk from a change in the market value of these assets except to the extent that it has an impact on fees earned. Any changes in market value are matched by a corresponding change in the Level 2 liability for third-party interests in consolidated funds.

The table below reconciles the opening balance of Level 3 financial assets to the closing balance at each period end:

		£m
	30 June 2026	31 December 2025
Balance at 1 January	21	16
Fair value gains/(losses) credited/(charged) to profit or loss1	2	(2)
Purchases	3	-
Sales	-	(2)
Transfers in	10	14
Transfers out	(5)	(5)
Total Level 3 financial assets at the end of the period	31	21
Unrealised fair value gains/(losses) recognised in profit or loss relating to assets held at the period end	2	(2)

¹Included in Investment return.

Level 3 assets comprise suspended funds and, from January 2026, smoothed funds, which are also classified as Level 3. At the end of the period, smoothed funds accounted for £9 million of the total Level 3 financial assets (31 December 2025: £nil).

Transfers into Level 3 assets in the current period are mainly due to funds from Level 1 being suspended and moved to Level 3 and the addition of customer investments in smoothed funds. Suspended funds are valued based on external valuation reports received from fund managers. Transfers out of Level 3 assets result from a transfer to Level 1 assets relating to assets that are now being actively repriced (that were previously stale) and where fund suspensions have been lifted.

The table below reconciles the opening balance of Level 3 financial liabilities to the closing balance at each period end:

		£m
	30 June 2026	31 December 2025
Balance at 1 January	20	13
Fair value losses/(gains) charged/(credited) to profit or loss1	2	(2)
Transfers in	10	14
Transfers out	(5)	(5)
Total Level 3 financial liabilities at the end of the period	27	20
Unrealised fair value losses/(gains) recognised in profit or loss relating to liabilities at the period end	2	(2)

¹Included in Investment return.

13(f): Effect of changes in significant unobservable assumptions to reasonable alternatives

Details of the valuation techniques applied to the different categories of financial instruments can be found in note 13(a) above, including the valuation techniques applied when significant unobservable assumptions are used to value Level 3 assets.

For Level 3 assets and liabilities, no reasonable alternative assumptions are applicable and the Group therefore performs a sensitivity test of an aggregate 10% change in the value of the financial asset or liability (31 December 2025: 10%), representing a reasonable alternative judgement in the context of the current macroeconomic environment in which the Group operates. It is therefore considered that the impact of this sensitivity will be in the range of £3 million to the reported fair value of Level 3 assets, both favourable and unfavourable (31 December 2025: £2 million) and £3 million (31 December 2025: £2 million) to the reported fair value of Level 3 liabilities, both favourable and unfavourable.

13(g): Fair value hierarchy for assets and liabilities not measured at fair value

Certain financial instruments of the Group are not carried at fair value. The carrying values of these are considered reasonable approximations of their respective fair values as they are either short term in nature or are repriced to current market rates at frequent intervals.

14: Cash and cash equivalents

Analysis of cash and cash equivalents

			£m
		30 June 2026	31 December 2025
Cash at bank		323	323
Money market funds		1,491	1,425
Cash and cash equivalents in consolidated funds		502	404
Total cash and cash equivalents per statement of cash flows		2,316	2,152

The Group's management does not consider that the cash and cash equivalents balance arising due to consolidation of funds of £502 million (31 December 2025: £404 million) is available for use in the Group's day-to-day operations. The remainder of the Group's cash and cash equivalents balance of £1,814 million (31 December 2025: £1,748 million) is considered to be available for general use by the Group for the purposes of the disclosures required under IAS 7 Statement of Cash Flows. This balance includes policyholder cash as well as cash and cash equivalents held by regulated subsidiaries to meet their capital and liquidity requirements.

15: Ordinary Share capital, Ordinary Share premium and capital redemption reserve

At 30 June 2026, the Company's equity capital comprises 1,372,016,690 Ordinary Shares of 8 1/6 pence each with an aggregated nominal value of £112,048,029 (31 December 2025: 1,404,105,498 Ordinary Shares of 8 1/6 pence each with an aggregated nominal value of £114,668,616). All Ordinary Shares have been called up and fully paid.

On 4 March 2026, the Board approved a capital return of up to £100 million to the shareholders of Quilter plc in the form of a Share Buyback Programme. The Programme has received regulatory approval from the Group's lead supervisor, the Prudential Regulation Authority, and the South African Reserve Bank and is effective from 4 March 2026. The Programme is being conducted concurrently on the London and Johannesburg Stock Exchanges and is subject to periodic Board review to ensure that it continues to be the most effective and timely method of returning capital to shareholders. The Programme is expected to be completed by the end of 2026.

At 30 June 2026, the Company acquired 32,088,808 shares for a total consideration including associated transaction costs, of £59 million, of which £53 million was settled in cash in the six-month period to 30 June 2026. The shares, which had a nominal value of £3 million, have subsequently been cancelled, giving rise to an increase in the capital redemption reserve of the same value as required by the Companies Act 2006.

			£m	£m	£m
		Number of Ordinary Shares	Nominal value of Ordinary Shares	Ordinary Share premium	Capital redemption reserve
At 1 January 2025		1,404,105,498	115	58	346
At 30 June 2025		1,404,105,498	115	58	346
At 31 December 2025		1,404,105,498	115	58	346
Shares cancelled through Share Buyback Programme		(32,088,808)	(3)	-	3
At 30 June 2026		1,372,016,690	112	58	349

16: Provisions

						£m
30 June 2026	Customer remediation exercise provision	Compensation provisions	Sale of subsidiaries provision	Property provisions	Clawback and other provisions	Total
Balance at 1 January	42	2	-	6	13	63
Charge to profit or loss	-	2	-	-	2	4
Used during the period	(7)	-	-	-	(3)	(10)
Unused amounts reversed	(5)	(1)	-	-	-	(6)
Balance at 30 June 2026	30	3	-	6	12	51
						£m
31 December 2025	Customer remediation exercise provision	Compensation provisions	Sale of subsidiaries provision	Property provisions	Clawback and other provisions	Total
Balance at 1 January	76	14	1	7	13	111
Charge to profit or loss	-	2	-	-	6	8
Used during the year	(14)	(3)	-	-	(7)	(24)
Unused amounts reversed	(22)	(11)	(1)	(1)	-	(35)
Reclassification within the statement of financial position	-	-	-	-	1	1
Unwind of discounting	2	-	-	-	-	2
Balance at 31 December 2025	42	2	-	6	13	63

Customer remediation exercise provision

At 30 June 2026, the customer remediation exercise provision was £30 million (31 December 2025: £42 million). The provision represents the cost of a customer remediation exercise, following the review of the delivery of ongoing advice services by the Appointed Representative firms in the Quilter Financial Planning network. The provision includes an estimate of the refund of ongoing advice charges for customers impacted, interest payable to customers at rates in line with the applicable Financial Ombudsman Service interest rates, and administrative costs, both internal and external, to perform the customer remediation exercise.

Quilter is committed to ensuring that customers who have not received the services that they were charged for are appropriately identified and remediated. Accordingly, following the Skilled Person's report, which was finalised during the first half of 2025, a Customer Remediation Strategy was developed by the Group during the second half of 2025, in consultation with management's external experts. The strategy includes identifying the customer cohorts to be involved within the exercise, and a sampling exercise of cases for each Appointed Representative firm who have customers within the relevant population. The remediation exercise is risk-based and considers cases where the customer has been charged for ongoing advice services between 2018 and 2023 (inclusive of both years), and the adviser is unable to satisfactorily evidence the provision of those services. The remediation exercise involves the population of customers who are at the highest likelihood of having not received the expected level of service from their adviser. These customers are being invited to join the review if they believe that they have not received ongoing advice and if they wish to have their situation reviewed by Quilter.

During 2025, an expense of £2 million was recognised for the unwind of the discount rate when calculating the present value of future costs of the customer remediation exercise provision due to the passage of time, and £14 million of the provision was utilised for administrative costs. Given that activity during 2025 was focused on development of the Customer Remediation Strategy, no customers were remediated during the year. The provision was recalculated based upon the initial findings of the Customer Remediation Strategy and reflected the impact of the change in the Financial Ombudsman Service interest rates policy on customer redress. These changes, overall, resulted in a reduction of the provision of £22 million.

During the period to 30 June 2026, £6 million of the provision was utilised for administrative costs, and £1 million was paid to customers as remediation. Significant progress has been made on the number of cases reviewed internally for customers. The provision has been recalculated based upon the findings of the Customer Remediation Strategy to date, which has resulted in a reduction of the provision of £5 million. Assumptions on the number of customers who may be subject to the review process, estimates of the response rate of customers to join the review and the proportion of the in-scope population where satisfactory service evidence is unavailable, and of the associated administrative costs, were determined based upon experience to date of the review. The principles used in the calculation of the provision remained unchanged.

Customer redress is expected to be calculated and paid to relevant customers over a 12-month period to 30 June 2027. Of the total £30 million (31 December 2025: £42 million) provision outstanding at the reporting date, £30 million (31 December 2025: £31 million) is estimated to be payable within one year.

The following table presents sensitivities showing the potential change to the provision balance as a result of movements in the key assumptions:

				£m
	30 June 2026		31 December 2025
	Increase	Decrease	Increase	Decrease
Percentage point change in proportion of in-scope population where satisfactory service evidence is unavailable of 10%	4	(4)	9	(8)
Percentage point change in response rate of 10%	4	(4)	9	(9)
Change in administrative costs of 10% related to time period to complete the exercise	1	(1)	2	(2)

Uncertainty exists regarding the remediation exercise, including the proportion of the population of customers charged a fee where servicing was not provided, the response rate of customers contacted and the administrative costs to complete the exercise. The financial impact could be materially higher or lower than the amount of the provision.

Where redress payments are made to customers, the Group has the ability to seek appropriate reimbursement from the relevant Appointed Representative firms who have been unable to demonstrate that the ongoing advice service paid by the customer was provided. Should the Group make payments to customers, recompense to the Group can be sought from the relevant Appointed Representative firm who has benefited from the majority of the revenue recognised over the period of the servicing agreement. Any reimbursement would not be recognised as a reduction of the provision recognised and would only be recognised as an asset at such time as recoverability became virtually certain. If the receipt of the potential reimbursement became probable but was not virtually certain it would be disclosed as a contingent asset but not recognised within net assets.

Compensation provisions

At 30 June 2026, compensation provisions total £3 million (31 December 2025: £2 million). The net increase of £1 million during the period consists of additional charges to profit or loss of £2 million, offset by £1 million release of unused amounts following further review work completed during the period.

Compensation provisions include amounts relating to internally conducted past business reviews, the cost of correcting deficiencies in policy administration systems, including redress, any associated litigation costs and the related costs to compensate current and former policyholders and customers. This provision represents management's best estimate of expected outcomes based upon past experience, and a review of the details of each case. Due to the nature of the provision, the timing of the expected cash outflows is uncertain. The best estimate of the timing of outflows is that the majority of the balance is expected to be settled within 12 months.

Property provisions

Property provisions total £6 million (31 December 2025: £6 million). Property provisions represent the discounted value of expected future costs of reinstating leased property to its original condition at the end of the lease term, and any onerous commitments which may arise in cases where a leased property is no longer fully used by the Group. The estimate is based upon property location, size of property and an estimate of the cost per square foot. Property provisions are used or released when the reinstatement obligations are satisfied. The associated asset for the property provisions relating to the cost of reinstating property is included within Property, plant and equipment.

Of the £6 million provision outstanding, £nil (31 December 2025: £nil) is estimated to be payable within one year. The majority of the balance relates to leased properties which have a lease term maturity of more than five years.

Clawback and other provisions

Clawback and other provisions total £12 million (31 December 2025: £13 million) and include amounts for the resolution of legal uncertainties and the settlement of other claims raised by contracting parties and indemnity commission provisions. Where the impact of discounting is material, provisions are discounted at a risk-free rate. The timing and final amounts of payments, particularly those in respect of litigation claims and similar actions against the Group, are uncertain and could result in adjustments to the amounts recorded.

Included within the balance at 30 June 2026 is £9 million (31 December 2025: £9 million) of clawback provisions in respect of potential refunds due to product providers on indemnity commission within the Quilter Financial Planning business. This provision, which is estimated and charged as a reduction of revenue at the point of sale of each policy, is based upon assumptions determined from historical experience of the proportion of policyholders cancelling their policies, which requires the Group to refund a portion of commission previously received to the product provider. Reductions to the provision result from the payment of cash to product providers as refunds or the recognition of revenue where a portion of the indemnity commission is assessed as no longer payable. The provision has been assessed at the reporting date and adjusted for the latest cancellation information available. At 30 June 2026, an associated balance of £6 million recoverable from brokers is included within Trade, other receivables and other assets (31 December 2025: £6 million).

The Group estimates a reasonably possible change of +/- £3 million, based upon the potential range of outcomes for the proportion of cancelled policies within the clawback provision, and a detailed review of the other provisions.

Of the total £12 million provision outstanding, £4 million is estimated to be payable within one year (31 December 2025: £6 million).

17: Contingent liabilities and commitments

17(a): Contingent liabilities

The Group, in the ordinary course of business, enters into transactions that expose it to tax, legal, regulatory and business risks. The Group recognises a provision when it has a present obligation as a result of past events, and it is probable that a transfer of economic benefits will be required to settle the obligation and a reliable estimate of the amount can be made (see note 16). Possible obligations and known liabilities are reported as contingent liabilities where no reliable estimate can be made, or it is considered improbable that an outflow would result.

The Group routinely monitors and assesses contingent liabilities arising from matters such as business reviews, litigation, warranties and indemnities relating to past acquisitions and disposals.

Tax

The Group is committed to conducting its tax affairs in accordance with the tax legislation of the countries in which it operates and this includes compliance with legislation related to levies, sales taxes and payroll deductions.

The tax authorities in the countries in which the Group operates routinely review historical transactions undertaken and tax law interpretations made by the Group. All interpretations made by the Group are made with reference to the specific facts and circumstances of the transaction and the relevant legislation.

There are occasions where the Group's interpretation of tax law may be challenged by the tax authorities. The condensed consolidated financial statements include provisions that reflect the Group's assessment of liabilities which might reasonably be expected to materialise as part of their review. The Group is satisfied that adequate provisions have been made in respect of tax uncertainties.

Complaints, disputes and regulations

The Group is committed to treating customers fairly and remains focused on delivering good outcomes for customers to support them in meeting their lifetime goals. During the normal course of business, from time to time, the Group receives complaints and claims from customers including, but not limited to, complaints to the Financial Ombudsman Service and legal proceedings, enters into commercial disputes with service providers and other parties, and is subject to discussions and reviews with regulators. The costs, including legal costs, of these issues as they arise can be significant and, where appropriate, provisions have been established.

17(b): Commitments

Investments in associates

The Group accounts for certain investments as Investments in associates. For a number of these associates, the Group has entered into contracts with the other shareholders with the intention of ultimately acquiring full ownership of these companies within the next four years subject to all of the relevant contractual provisions being satisfied.

The amount to be paid for any further investment by the Group would be determined based on the future financial performance of the relevant entities. As at 30 June 2026, the total amount of payments that may ultimately be required is estimated to be in the range of £40 million to £51 million (31 December 2025: £24 million to £31 million). In the Group's condensed consolidated statement of financial position, these potential future payments have not been recognised as liabilities and the potential future shareholdings have not been recognised as assets.

18: Related party transactions

In the normal course of business, the Group enters into transactions with related parties. Loans to related parties are conducted on an arm's length basis and are not material to the Group's results. There were no transactions with related parties during the current period or the prior period which had a material effect on the results or financial position of the Group.

19: Events after the reporting date

Interim Dividend

On 5 August 2026, the Board declared an Interim Dividend of 2.1 pence per Ordinary Share amounting to £28 million in total. The Interim Dividend will be paid on 21 September 2026 to shareholders on the UK and South African share registers. These condensed consolidated interim financial statements do not reflect this dividend payable.

 

END