Royal Bank of Scotland has unveiled a re-branding of its operations as part of requirements to increase consumer protection following the banking crisis.
Under the changes the RBS name will be used only in Scotland while the investment bank will be named NatWest Markets.
Banks were ordered to separate retail operations from riskier investment banking businesses by 2019.
RBS today said its ring-fenced bank would be called NatWest Holdings, comprising its core NatWest, Coutts & Co, Ulster Bank Limited and Ulster Bank Ireland DAC brands.
The Edinburgh-based private bank, Adam & Company, will be renamed Royal Bank of Scotland PLC, although it will continue to trade under the Adam name.
Its corporate and institutional banking business – the investment bank – and its Channel Islands operations will be held in a non ring-fenced entity called NatWest Markets.
The brand strategy is designed to align with the bank’s business strategy and future ring-fenced structure.
“We will focus on our strong individual customer brands by re-launching them to align more closely with the geographies they serve,” it said in a statement. “Over the coming months, NatWest will become our main customer facing brand in England and Wales and Western Europe, and in Scotland, Royal Bank of Scotland will be our core brand.
“Alongside the investment and changes in our Royal Bank of Scotland and NatWest brands, our CIB business will become known as NatWest Markets in readiness for our future ring-fenced structure. NatWest Markets will continue to offer financing, rates and currencies to our customers.”
RBS said Adam & Company activities will continue under the Adam & Company brand.
A spokesman said: “We recognise the strong affinity that clients share with Adam & Company, and reassure customers that we have no plans to change the Adam brand, values, culture, location, management structure, systems or strategy and that Adam & Company remains a core part of theRBS Group.”
Ross McEwan, RBS chief executive said: “Our proposed future structure under the ring-fencing legislation and our brand strategy are key elements of the bank we are becoming.
“The future ring-fenced structure of the bank is not only designed to be in compliance with the new regulatory requirements and objectives but will better reflect who we are as a bank and what we stand for: a bank that is focused on its customers.”
The move comes after it was revealed taxpayers are facing a bill of up to £103m to cover the legal costs of fighting RBS shareholders over a controversial share issue.
Former executives of the bank are being sued for allegedly misleading investors over the £12 billion rights issue in 2008, just before the bank collapsed.
Around 30,000 investors claim the bank concealed its financial difficulties when it asked them to buy the shares to pay for the takeover of Dutch bank ABN Amro.
They are claiming £4bn in damages along £2bn in interest and legal fees.
RBS has run up legal costs of £86.2m, with the total rising to £103.4m once 20% VAT is added.
Since the lender is 70% state-owned, taxpayers will have to foot most of the bill.
The case has been filed against the bank and four of former directors, including ex-chief executive Fred Goodwin.
RBS has denied wrongdoing and was reported to have offered £700m to settle the case in July, but the offer was rejected by claimants.
The case is due for trial in March next year and could last for six months.
Earlier this week, RBS reached a $1.1 billion (£846m) final settlement with a US regulator over claims that it mis-sold mortgage securities in the run-up to the financial crisis.
