Growth in loan books after Charter Court tie-up with OneSavings
Onesavings Bank and Charter Court Financial struck an upbeat tone yesterday after saying that lending franchises at both groups were strong following their recent merger.
The duo said that they are expecting to report larger loan portfolios for the full-year period.
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Loan book growth at OneSavings grew 15 per cent for the nine months to 30 September 2019, while loan book growth at Charter Court climbed four per cent over the same time frame.
Margins at the lenders have faced headwinds in the last year amid mounting uncertainty over Britain’s planned departure from the EU.
“We remain cognisant of the continued uncertain macroeconomic and political outlook, however we believe that as a combined business we are well placed to continue to deliver on our strategy and generate attractive shareholder returns through the cycle,” OneSavings chief executive Andy Golding said.
He added that the two banks were “now in the early stages of integrating the two businesses….we remain focused on delivering shareholder value as we execute on the strategy for the enlarged group”.
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OneSavings said that it expects to deliver net loan book growth for 2019 in the high teens as a percentage, while net interest margin is set to be broadly flat, in line with management expectations.
Shares in the FTSE 250 group edged down two per cent to 363p during trading yesterday.