Pablo de la Torre

Pablo de la Torre Cuevas of RBC Capital Markets inquired about lending exposure to tariff-sensitive sectors, the potential impact of a negative macro scenario on cost of risk guidance, and if a new buyback announcement is contingent on clarity around the bank tax.

Answer

Gonzalo Gortázar Rotaeche (executive) stated that the timing of a new buyback is not related to the bank tax issue. He also affirmed the bank is very comfortable with its cost of risk guidance even in a worse macro scenario. Javier Pano Riera (executive) added that in potentially exposed sectors, CaixaBank's exposures are to industry champions and investment-grade names, so no material impact is expected.

Pablo de la Torre from RBC Capital Markets asked about the potential financial impact of abolishing the U.K.'s ring-fencing regime and requested an update on the U.K. structural hedge and NII outlook.

Answer

CFO José Antonio García Cantera stated that while a simpler regulatory framework would be beneficial for the U.K. economy, the direct financial impact on Santander from removing ring-fencing would be 'negligible.' He confirmed the U.K. structural hedge is nearly EUR 110 billion at a ~2.5% yield and that U.K. NII is expected to grow by low single digits for the year.