16th Oct 2019 09:08
(Alliance News) - Secure Trust Bank PLC on Wednesday backed annual guidance despite warning of a recent slowdown in demand for loans amid Brexit uncertainty.
Secure Trust said the firm did well in the quarter ended September, with results meeting its expectations.
However, though lending demand was "healthy", Secure Trust did note demand slowed down in September.
"This appears consistent with the recent economic data and is considered by the group to be a function of consumers and businesses becoming more cautious ahead of the October 31 Brexit date," the company said.
"Given the strong performance over the first three quarters of 2019, the group remains comfortable with guidance in respect of the outlook for the full year, although political developments in the coming weeks could impact the UK economy and the group's results in the final quarter. The group remains well capitalised and funded."
Secure Trust believes its lending portfolio is "appropriately positioned" for current economic conditions.
Elsewhere, on Tuesday the UK Financial Conduct Authority announced a 2020 ban on the way car retailers and motor finance brokers receive commission. Secure Trust said, after reviewing the FCA paper, it does not expect any negative impact on its motor finance business.
Secure Trust shares were untraded on Wednesday morning in London, last quoted at 1,280.00 pence each.
By George Collard; [email protected]
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