Strategic Shareholder Climate and Risk Financial Financial Barclays PLC 509 report information sustainability report Governance review review statements Annual Report 2022 Notes to the financial statements (continued) Scope of consolidation 38 Assets pledged, collateral received and assets transferred Assets are pledged or transferred as collateral to secure liabilities under repurchase agreements, securitisations and stock lending agreements or as security deposits relating to derivatives. Assets transferred are non-cash assets transferred to a third party that do not qualify for derecognition from the Group balance sheet, for example because Barclays retains substantially all the exposure to those assets under an agreement to repurchase them in the future for a fixed price. Assets pledged or transferred as collateral include all assets categorised as encumbered in the disclosure on pages 180 to 182 of the Barclays PLC Pillar 3 Report 2022 (unaudited), other than those held in commercial paper conduits. In these transactions, the Group will be required to step in to provide financing itself under a liquidity facility if the vehicle cannot access the commercial paper market. Where non-cash assets are pledged or transferred as collateral for cash received, the asset continues to be recognised in full, and a related liability is also recognised on the balance sheet. Where non-cash assets are pledged or transferred as collateral in an exchange for non-cash assets, the transferred asset continues to be recognised in full, and there is no associated liability as the non-cash collateral received is not recognised on the balance sheet. The Group is unable to use, sell or pledge the transferred assets for the duration of the transaction and remains exposed to interest rate risk and credit risk on these pledged assets. Unless stated, the counterparty's recourse is not limited to the transferred assets. The following table summarises the nature and carrying amount of the assets pledged as security against these liabilities: 2022 2021 £m £m Cash collateral and settlements 78,996 66,138 Loans and advances at amortised cost 64,772 65,216 Trading portfolio assets 63,969 71,518 Financial assets at fair value through the income statement 8,220 5,595 Financial assets at fair value through other comprehensive income 18,210 13,748 Assets pledged 234,167 222,215 The following table summarises the transferred financial assets and the associated liabilities. The transferred assets represent the gross carrying value of the assets pledged and the associated liabilities represent the IFRS balance sheet value of the related liability recorded on the balance sheet: Associated Transferred assets liabilities £m £m At 31 December 2022 Derivatives 79,474 (79,474) Repurchase agreements 74,291 (46,617) Securities lending arrangements 67,554 — Other 12,848 (11,055) 234,167 (137,146) At 31 December 2021 Derivatives 66,744 (66,744) Repurchase agreements 71,820 (49,543) Securities lending arrangements 69,316 — Other 14,335 (12,121) 222,215 (128,408) For repurchase agreements the difference between transferred assets and the associated liabilities is predominantly due to IFRS netting. Included within Other are agreements where a counterparty's recourse is limited to the transferred assets. The relationship between the gross transferred assets and the associated liabilities is that holders of notes may only look to cash flows from the securitised assets for payments of principal and interest due to them under the terms of their notes. Carrying value Fair value Associated Associated Transferred assets liabilities Transferred assets liabilities Net position £m £m £m £m £m 2022 Recourse to transferred assets only 6,150 (1,557) 6,530 (1,480) 5,050 2021 Recourse to transferred assets only 1,303 (1,225) 1,423 (1,219) 204 The Group has an additional £5.3bn (2021: £5.8bn) of loans and advances within its asset backed funding programmes that can readily be used to raise additional secured funding and are available to support future issuances.