At its Investor Day in London, Banco Santander today presents plans detailing how it will deliver on its strategy for the medium term. The bank will set out its objectives to drive growth and increase profitability by accelerating digitalisation, and further improving operational performance and capital allocation.Santander is today reaffirming key financial targets including achieving an underlying return on tangible equity (RoTE) of 13-15% and a fully loaded CET1 ratio of 11-12%. The Group also plans to improve its efficiency ratio to below 45% and increase its dividend payout ratio to 40-50%.


Accelerating digitalisation

Santander expects to extract and create significant value from digitalisation and global platforms, which will grow the top-line and generate cost savings. The company will accelerate the development of its high growth ‘speedboat’ businesses, which will enable the Group to test new solutions and compete in the open market for new customers.

Santander will continue to leverage its scale to invest in digital and technology to generate customer and revenue growth. As part of the new plan, the Group will invest over €20 billion in digital and technology over the next four years, improving and personalising customer experiences to further increase customer loyalty, while lowering its cost of delivery.