TSB advanced £665m of gross lending through the intermediary channel in the first six months of the year while receiving mortgage applications of £1.9bn from brokers.
Despite strong lending figures since its launch into the intermediary mortgage in January this year, the bank reported a 44% decline in its statutory profit before tax. In H1 2015, the bank’s statutory profit before tax was £23.2m compared to £41.7 in the six months to 31 December 2014.
TSB said this drop reflected the impact of the full year Financial Services Compensation Scheme levy of £14.8m, lower average loan balances and the one off cost of the Sabadell transaction, which will see the Spanish bank become its new owner.
The offer to acquire the TSB in its entirety by Sabadell for 340p per share in cash, which was previously recommended by the board to TSB’s shareholders, completed on 30 June 2015.
Paul Pester, chief executive officer, said: “The completion of the Sabadell Group’s acquisition of TSB at a premium of over 30% to our IPO (Initial Public Offering) share price is recognition of the excellent progress and great potential of the bank.
“We remain unwavering in our mission of bringing more competition to UK banking and, with the extra firepower of Sabadell behind us, we look forward to accelerating our growth plans and continuing to take on the big banks that have had a stranglehold on the UK market for far too long.”
