The government has sold shares worth £420mln in NatWest Group PLC (LSE:NWG), reducing its holding in the bank to 52%.
The Treasury sold another 170.4m shares, according to a regulatory statement.
The government announced last year that it would sell down its stake, which is valued at around £14.5bn at current prices, over a year-long period from August.
The Treasury remains NatWest's biggest shareholder more than a decade after the bank was bailed out by the government for £45.5bn during the financial crisis.