15th Oct 2015 07:45
LONDON (Alliance News) - Secure Trust Bank PLC on Thursday said that customer lending balances across the group have exceeded GBP900 million for the first time, with the lender's results on track to be in line with market expectations at the full year.
Secure Trust Bank said its expectation around the full-year results was driven by growth in lending balances and continuing lower levels of impairment charges for bad loans. It was updating the market on the quarter to September 30.
"With the UK economy continuing to expand, inflation remaining subdued, real wages growing, employment levels rising and consumers and businesses feeling more confident, Secure Trust Bank believes it is well positioned to sustain its positive progress over the coming period," the company said.
Meanwhile, Arbuthnot Banking Group PLC, which owns a 51.9% stake in Secure Trust, said it made good progress in the quarter ended September 30, with total assets now in excess of GBP2 billion.
Its private banking unit, Latham, has seen the repayment of a number of loans due to the improvement in the property market, resulting in a "temporary slowing" of the growth in customer lending balances.
"Given the robust nature of the pipeline, we anticipate that this will recover and the year-end balance will be in line with market expectations," Arbuthnot said of the private banking division.
Overall, Arbuthnot said it is confident of making further progress, with opportunities seen for both Secure Trust and Arbuthnot.
"Accordingly, we expect the group's results to be in line with market expectations for 2015. However, we continue to monitor the increasingly uncertain economic environment and remain vigilant as to the impact that the current geopolitical events may have on our plans," Arbuthnot said.
Secure Trust was untraded at 2,750.00 pence on Thursday morning, while Arbuthnot was down 1.5% at 1,489.66p.
By Samuel Agini; [email protected]; @samuelagini
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