HSBC Bank plc
Pillar 3 Disclosures at 31 March 2024 
Registered number - 00014259


Contents
2
Introduction
2
Pillar 3 disclosures and governance
3
Key metrics
4
Risk-weighted assets
5
Credit risk, including amounts below the thresholds for deduction
5
Counterparty credit risk, including settlement risk
5
Market risk
5
Operational risk
6
Liquidity
6
Management of liquidity and funding risk
8
Cautionary statement regarding forward-looking statements
10
Abbreviations
Tables
3
1
Key metrics (KM1/IFRS9-FL)
4
2
Overview of risk-weighted exposure amounts (OV1)
5
3
RWA flow statements of credit risk exposures under IRB 
approach (CR8)
5
4
RWA flow statements of counterparty credit risk exposures 
under the IMM (CCR7)
6
5
RWA flow statements of market risk exposures under IMA 
(MR2-B)
7
6
Level and components of HSBC Bank plc liquidity coverage 
ratio (LIQ1)
Certain defined terms
This document comprises the 31 March 2024 Pillar 3 disclosures for 
HSBC Bank plc.
Unless the context requires otherwise, ‘HSBC Holdings’ means HSBC 
Holdings plc and ‘HSBC’ and the ‘ HSBC Group’ refer to HSBC 
Holdings together with its subsidiaries; similarly, ‘HSBC Bank’ and the 
‘bank’ mean HSBC Bank plc, and the ‘group’, ‘we’, ‘us’ and ‘our’ 
refers to HSBC Bank together with its subsidiaries.
When used in the terms ‘shareholders’ equity’ and ‘total 
shareholders’ equity’, ‘shareholders’ means holders of HSBC Bank 
ordinary shares and those preference shares and capital securities 
issued by HSBC Bank classified as equity. The abbreviations ‘£m’ and 
‘£bn’ represent millions and billions (thousands of millions) of GB 
pounds respectively.
Pillar 3 Disclosures at 31 March 2024
1
HSBC Bank plc Pillar 3 Disclosures at 31 March 2024


Introduction
Pillar 3 disclosures and governance
Regulatory framework for disclosure
Our Pillar 3 Disclosures at 31 March 2024 comprises both quantitative 
and qualitative information required under Pillar 3. These disclosures 
are made in accordance with Part Eight of CRR II and the Prudential 
Regulation Authority (‘PRA’) disclosure templates and instructions. 
They are supplemented by specific additional requirements of the 
PRA and discretionary disclosures on our part.
We are supervised on an individual basis in the United Kingdom ('UK') 
by the PRA, which receives information on the capital and liquidity 
adequacy of, and sets capital and liquidity requirements for the bank. 
Individual banking subsidiaries are directly regulated by their local 
banking supervisors, who set and monitor their local capital and 
liquidity adequacy requirements. In most jurisdictions, non-banking 
financial subsidiaries are also subject to the supervision and capital 
and liquidity requirements of local regulatory authorities.
We calculate the bank's capital for prudential regulatory reporting 
purposes using the Basel III framework of the Basel Committee on 
Banking Supervision (‘Basel’), as implemented in the UK. Any 
references to European Union (‘EU’) regulations and directives 
(including technical standards) should, as applicable, be read as 
references to the UK’s version of such regulation and/or directive, as 
onshored into UK law under the European Union (Withdrawal) Act 
2018, and may be subsequently amended under UK law. We refer to 
the regulatory requirements of the Capital Requirements Regulation 
and Directive, the CRR II regulation and the PRA Rulebook as ‘CRR II’.
The Basel III framework is structured around three ‘pillars’, with Pillar 
1 minimum capital requirements and the Pillar 2 supervisory review 
process complemented by Pillar 3 market discipline. The aim of Pillar 
3 is to produce disclosures that allow market participants to assess 
the scope of application by banks of the Basel framework and the 
rules in their jurisdiction, their capital resources, risk exposures and 
risk management processes, and hence their capital adequacy.
Regulatory reporting processes and controls
The quality of regulatory reporting remains a key priority for 
management and regulators. We are progressing with a 
comprehensive programme to strengthen our global processes, 
improve consistency and enhance controls across regulatory reports. 
The ongoing programme of work focuses on our material regulatory 
reports and is being phased over a number of years. This programme 
includes data enhancement, transformation of the reporting systems 
and an uplift to the control environment over the report production 
process.
While this programme continues, there may be further impacts on 
some of our regulatory ratios, such as the common equity tier 1 
(‘CET1’), liquidity coverage ratio (‘LCR’) and net stable funding ratio 
(‘NSFR’), as we implement recommended changes and continue to 
enhance our controls across the process.
Comparatives and references
To give insight into movements during 2024, we provide comparative 
figures, commentary on variances and flow tables for capital 
requirements. In all tables where the term 'capital requirements' is 
used, this represents the minimum total capital charge set at 8% of 
risk-weighted assets ('RWAs') by article 92(1) of CRR II. Narratives are 
included to explain quantitative disclosures where necessary.
The regulatory numbers and ratios presented in this document were 
accurate as at the date of reporting. Small changes may exist 
between these numbers and ratios and those submitted in regulatory 
filings. Where differences are significant, we will restate 
comparatives.
Where disclosures have been enhanced, or are new, we do not 
generally restate or provide comparatives. Wherever specific rows 
and columns in the tables prescribed are not applicable or are 
immaterial to our activities, we omit them and follow the same 
approach for comparatives.
Pillar 3 requirements may be met by inclusion in other disclosure 
media. Where we adopt this approach, references are provided to the 
relevant pages of other documents.
Frequency and location
We publish our Pillar 3 disclosures quarterly on our website 
www.hsbc.com/investors.
Material risks
Pillar 3 requires all material risks to be disclosed to provide a 
comprehensive view of a bank’s risk profile.
Governance
The Board continued to oversee the governance, smooth operation 
and oversight of HSBC Bank plc.
HSBC Bank plc Pillar 3 Disclosures at 31 March 2024 are approved by 
HSBC Bank plc Chief Financial Officer. 
 
HSBC Bank plc Pillar 3 Disclosures at 31 March 2024
2


Key metrics
KM1 table below sets out the key regulatory metrics covering the HSBC Bank plc's available capital (including buffer requirements and ratios), 
RWAs, Leverage ratio, LCR and NSFR. Unless stated otherwise, figures have been prepared on an IFRS 9 transitional basis. Capital figures and 
ratios are reported on a CRR II transitional basis for capital instruments and the leverage ratio is calculated using the CRR II end point basis for 
capital. The calculation for LCR is the average of the preceding 12 months for each quarter and NSFR is the average of the preceding four 
quarters. LCR and NSFR amounts relate to HSBC Bank plc as a single entity and are not produced on a consolidated basis.
Table 1: Key metrics (KM1/IFRS9-FL)
At
31 Mar
31 Dec
30 Sep
30 Jun
31 Mar
Ref*
2024
2023
2023
2023
2023
Available capital (£m)
1
Common equity tier 1 (‘CET1’) capital^
 
20,124  
19,230  
20,390  
19,747  
19,984 
CET1 capital as if IFRS 9 transitional arrangements had not been applied
 
20,124  
19,230  
20,390  
19,747  
19,984 
2
Tier 1 capital^
 
24,066  
23,124  
24,281  
23,642  
23,876 
Tier 1 capital as if IFRS 9 transitional arrangements had not been applied
 
24,066  
23,124  
24,281  
23,642  
23,876 
3
Total capital^
 
38,634  
37,131  
37,112  
35,671  
37,173 
Total capital as if IFRS 9 transitional arrangements had not been applied
 
38,634  
37,131  
37,112  
35,671  
37,173 
Risk-weighted assets (‘RWAs’) (£m)
4
Total RWAs^
 
113,430  
107,449  
109,000  
106,627  
112,001 
Total RWAs as if IFRS 9 transitional arrangements had not been applied
 
113,430  
107,449  
109,000  
106,627  
112,001 
Capital ratios (%)
5
CET1^
 17.7 
 17.9 
 18.7 
 18.5 
 17.8 
CET1 as if IFRS 9 transitional arrangements had not been applied
 17.7 
 17.9 
 18.7 
 18.5 
 17.8 
6
Tier 1^
 21.2 
 21.5 
 22.3 
 22.2 
 21.3 
Tier 1 as if IFRS 9 transitional arrangements had not been applied
 21.2 
 21.5 
 22.3 
 22.2 
 21.3 
7
Total capital^
 34.1 
 34.6 
 34.0 
 33.5 
 33.2 
Total capital as if IFRS 9 transitional arrangements had not been applied
 34.1 
 34.6 
 34.0 
 33.5 
 33.2 
Additional own funds requirements based on supervisory review and evaluation 
process (‘SREP’) as a percentage of RWAs (%)
UK-7d
Total SREP own funds requirements
 8.0 
 8.0 
 8.0 
 8.0 
 8.0 
Combined buffer requirement as a percentage of RWAs (%)
8
Capital conservation buffer requirement
 2.5 
 2.5 
 2.5 
 2.5 
 2.5 
UK-8a
Conservation buffer due to macro-prudential or systemic risk identified at the level of a 
Member State (%)
9
Institution specific countercyclical capital buffer (CCyB)
 0.9 
 0.9 
 0.9 
 0.6 
 0.4 
11
Combined buffer requirement
 3.4 
 3.4 
 3.4 
 3.1 
 2.9 
UK-11a
Overall capital requirements
 11.4 
 11.4 
 11.4 
 11.1 
 10.9 
12
CET1 available after meeting the total SREP own funds requirements
 13.2 
 13.4 
 14.2 
 14.0 
 13.3 
Leverage ratio^
13
Total exposure measure excluding claims on central banks (£m)
 
481,973  
455,852  
447,967  
431,714  
431,255 
14
Leverage ratio excluding claims on central banks (%)
 5.0 
 5.1 
 5.4 
 5.5 
 5.5 
Additional own funds requirements to address risks of excessive leverage 
(as a percentage of leverage ratio total exposure amount)^
Average exposure measure excluding claims on central banks (£m)
469,171  
449,733  
430,507  
448,477  
429,024 
14a
Fully loaded expected credit losses (‘ECL’) accounting model leverage ratio excluding 
claims on central banks (%)
 5.0 
 5.1 
5.4
 5.5 
 5.5 
14b
Leverage ratio including claims on central banks (%)
 4.1 
 4.0 
4.2
 4.3 
 4.2 
14c
Average leverage ratio excluding claims on central banks (%)
 5.1 
 5.3 
5.6
 5.3 
 5.3 
14d
Average leverage ratio including claims on central banks (%)
 4.0 
 4.1 
4.3
 4.2 
 4.0 
14e
Countercyclical leverage ratio buffer (%)
 0.3 
 0.3 
0.3
 0.2 
 0.1 
EU 14d
Leverage ratio buffer requirement (%)
 0.3 
 0.3 
0.3
 0.2 
 0.1 
EU 14e
Overall leverage ratio requirements (%)
 3.6 
 3.6 
3.6
 3.5 
 3.4 
Liquidity coverage ratio (‘LCR’)
15
Total high-quality liquid assets (£m)
104,159
105,524  
106,095 
108,593  
108,336 
UK-16a
Cash outflows – total weighted value (£m)
118,501
120,627  
123,613 
126,649  
126,430 
UK-16b
Cash inflows – total weighted value (£m)
47,370
49,517  
52,027 
53,934  
53,249 
16
Total net cash outflow (£m)
71,131
71,110  
71,586 
72,715  
73,181 
17
LCR ratio (%)
 146 
 148 
 148 
 149 
 148 
Net Stable Funding Ratio (‘NSFR’)
18
Total available stable funding (£m)
118,287
116,303  
114,368 
112,860  
111,775 
19
Total required stable funding (£m)
104,619  
100,094  
98,662  
96,646  
94,279 
20
NSFR ratio (%)
 113 
 116 
 116 
 117 
 119 
* The references in this and subsequent tables identify lines prescribed in the relevant PRA template where applicable and where there is a value. 
^ For 31 March 2024, the add-back to CET1 capital and the related tax were immaterial.
Pillar 3 Disclosures at 31 March 2024
3
HSBC Bank plc Pillar 3 Disclosures at 31 March 2024


At 31 March 2024, our CET1 capital ratio decreased to 17.7% from 
17.9% at 31 December 2023, as a result of a increase in RWAs by 
£6.0bn, offset by £0.9bn increase in CET1. The key drivers of this 
(0.2) percentage point decline in our CET1 ratio were: 
–
a (1.0) percentage point decrease as a result of increase in RWAs 
mainly due to bank’s transitory exposure to the proceeds from the 
sale of the HSBC Group’s Canadian business and HSBC Bank 
acquisition of HSBC Private Bank (Suisse) SA. This was offset by a 
fall from the sale of our retail banking operations in France;
–
a (0.2) percentage point impact from unfavourable FX movement 
and other movements; 
–
a 1.0 percentage point increase from capital generation through 
share issuance, profits accrual offset by foreseeable dividend.
Our leverage ratio was 5.0% at 31 March 2024, down from 5.1% at 
31 December 2023. The increase in leverage exposure led to a fall of 
(0.3) percentage point in the leverage ratio, primarily due to growth in 
the balance sheet. This was partly offset by a rise of 0.2 percentage 
points due to an increase in the Tier 1 Capital.
The average leverage ratio went down to 5.1% at 31 March 2024, 
from 5.3% at 31 December 2023, primarily due to decrease of (0.2) 
percentage point driven by a rise in the average leverage exposure, 
which was mainly due to a growth in the average balance sheet.
Throughout Q1 2024, we complied with the PRA's regulatory capital 
adequacy requirements, including those relating to stress testing.
Risk-weighted assets
Table OV1 below shows total RWAs including free deliveries, and the corresponding total own funds requirement split by risk type, and 
represents the minimum capital charge set at 8% of RWAs by Article 92(1) of CRR II. Other counterparty credit risk includes securities financing 
transactions RWAs.
Table 2: Overview of risk-weighted exposure amounts (OV1)
At
31 Mar
31 Dec
31 Mar
2024
2023
2024
RWAs
RWAs
Total own
funds
requirement1
£m
£m
£m
1
Credit risk (excluding counterparty credit risk)
 
61,833  
58,620  
4,946 
2
–  standardised approach (‘STD’)
 
21,177  
16,966  
1,694 
3
–  foundation internal ratings-based (‘FIRB’) approach
 
16,718  
15,315  
1,337 
4
–  slotting approach
 
512  
599  
41 
UK-4a
–  equities under the simple risk weighted approach1
 
2,876  
2,990  
230 
5
–  advanced IRB (‘AIRB’) approach
 
20,550  
22,750  
1,644 
6
Counterparty credit risk (‘CCR’)
 
17,866  
17,037  
1,430 
7
–  standardised approach
 
4,301  
4,170  
344 
8
–  internal model method (‘IMM’)
 
6,322  
6,231  
506 
UK-8a
–  exposures to a central counterparty
 
327  
295  
26 
UK-8b
–  credit valuation adjustment (‘CVA’)
 
1,294  
1,441  
104 
9
–  other counterparty credit risk
 
5,622  
4,900  
450 
15
Settlement risk
 
33  
29  
3 
16
Securitisation exposures in the non-trading book (after the cap)
 
3,318  
3,363  
265 
17
–  internal ratings-based approach (‘SEC-IRBA’)
 
823  
782  
66 
18
–  external ratings-based approach (‘SEC-ERBA’) (including internal assessment approach (‘IAA’))
 
1,505  
1,600  
120 
19
–  standardised approach (‘SEC-SA’)
 
877  
868  
70 
UK-19a
–  1250% deduction
 
113  
113  
9 
20
Position, foreign exchange and commodities risks (Market risk)
 
17,109  
15,525  
1,369 
21
–  standardised approach
 
3,465  
2,709  
277 
22
–  internal models approach (‘IMA’)
 
13,644  
12,816  
1,092 
23
Operational risk
 
13,271  
12,875  
1,062 
UK-23b
–  standardised approach
 
13,271  
12,875  
1,062 
29
Total
 
113,430  
107,449  
9,075 
24
–  of which: amounts below the thresholds for deduction (subject to 250% risk-weight)2
 
4,281  
4,216  
342 
1 This includes off balance sheet collective investment undertakings (‘CIU’) equity exposures, calculated as per CRR II Article 132(c).
2 These balances are included in rows 2 and 5 of the table and include thresholds for the recognition of significant investments and deferred tax assets.
 
HSBC Bank plc Pillar 3 Disclosures at 31 March 2024
4