OSB Group’s mortgage originations rise to £1.6bn in Q3

This is a 53 per cent rise on the same period last year and the group said it was on track to deliver a 10 per cent growth in its underlying net loan book. 

Its underlying net interest margin was broadly flat compared to the first half of the year and its underlying cost to income ratio rose slightly compared to 2021. 

The proportion of accounts in arrears of three months or more was flat on the previous quarter at 1.1 per cent. 

Underlying and statutory net loans increased by seven per cent in the year to 30 September from £20.9bn at year-end 2021 to £22.4bn, and £21.1bn to £22.5bn respectively. 

OSB also repurchased all of its shares under a £100m share buyback programme as of market close on 2 November. 

OSB: ‘Group’s franchises performed well’

Andy Golding (pictured), CEO of OSB Group, said: “The group delivered a strong performance in the third quarter, despite the backdrop of macroeconomic instability and rising interest rates, demonstrating the resilience of our business model. Our focus as always is on helping our customers who may be impacted by the rising cost of living and borrowing, and we are ready to provide appropriate support if required.” 

Golding said the group’s franchises “performed well” during the quarter, which gave him confidence to proceed with its guidance for the growth of its underlying net loan book. 

He added: “Looking ahead, whilst the outlook for the UK economy and the overall shape and size of the mortgage market is somewhat unclear, the fundamental drivers of demand in the private rented sector remain robust.  

“Our strong capital and liquidity position, secured loan book and proven risk management capabilities, as well as our focus on professional and portfolio landlords, position us well to navigate this challenging period and continue to generate attractive and sustainable returns for shareholders across the cycle.”