14th Jan 2022 11:51
(Alliance News) - Secure Trust Bank PLC on Friday reported record highs in new business lending in the final quarter of 2021, with loan book growth set to exceed targets.
The Solihul, England-based retail and commercial bank said total new business rose by 28% to a record of GBP471.1 million in the recent quarter, 52% higher than about GBP311 million in the same period of 2020.
The record levels of new lending were achieved in real estate finance, with strong demand for the company's green loan products; in vehicle finance, with the division's expansion into broader market segements; and in retail finance, with strong pre-Christmas trading.
The fourth quarter saw the core net loan book grow by "double digits" on a year-on-year basis. The growth was higher than the run-rate required to meet the company's target of 15% compounded annual growth rate for its medium-term lending book.
While Secure Trust Bank said it remains "mindful of the continued impacts of the pandemic on the macroeconomic environment", it is now more confident in achieving their growth targets.
The stock was up 1.7% to 1,365.00 pence each in London on Friday morning.
Chief Executive Officer David McCreadie said: "We achieved record levels of new business across a number of our businesses and, as set out at our recent capital markets day, are demonstrating that we have considerable potential to scale further in the years ahead in attractive, specialist lending markets."
Annual results for 2021 will be released on March 24.
By Elizabeth Winter; [email protected]
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