Further details emerged on the upcoming Barclays Capital  U.K. RMBS deal from its Gracechurch master trust structure.

The deal, which will offer investors a Moody's Investors Service-rated 'Aaa' tranche, has been sized at  $2.5 billion of bonds backed by by a pool of prime U.K. residential mortgages originated by Barclays Bank.

The capital structure includes $500 million of bonds due in 0.87 years, and a minimum $2 billion of notes with an average life of 2.9 years that may pay about 155 basis points more than three-month benchmark rates, according to a Bloomberg report.

The issue will also offer notes in euros with an average of life of 2.9 years paying a spread of about 150 basis points, and sterling-denominated securities due in 4.7 years paying a spread of about 165 basis points, the report said.

This represents the fourth issue out of the Gracechurch master issuer structure, according to a Moody's report and the first U.K. RMBS issue from the bank since 2007

The Gracechurch trust was restructured about a year ago, with Barclays repaying Series 2009-1 notes that were retained by the originator, according to a Reuters report.

The bank also repurchased around £11.5 billion of trust collateral and added a new subordinated loan of £548 million, which will only be repaid after all other notes have been redeemed.

The subordinated loan is a limited recourse loan facility. And earlier this month, the redemption of the series 2006-1 Class A5, B3, B4, C3, C4, D2, D3 and D4 bonds was announced for the Nov. 21 payment date.

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