The lender said it saw “strong demand” across its residential, retirement interest-only (RIO), buy-to-let (BTL) and self-build mortgages.
Its RIO portfolio was stable at £8.7m, while there was a 14% rise in self-build business.
The lender said a demand for high-value, complex loans drove the growth in new business introduced by mortgage brokers. It said its credit quality was still strong.
Business introduced by brokers rose by 39%, more than double the 16% growth it recorded in the previous year. Hampden and Co attributed this to a demand for personalised and bespoke lending, as well as clients transferring from other private and mainstream high-street banks.
The growth in business coincided with an increase in client numbers, which rose by 19% to a high of 5,598.
To accommodate the increased demand, Hampden and Co increased its employee numbers by 23% to 154.
This included the appointment of Mark Plummer, who joined as head of private banking in London, and Patrick Preece, who was appointed as banking director to its London office.
The lender also hired Claire Mann as head of client proposition and Martin Hillyer as intermediary relationship director.
First dividends for Hampden and Co as profit increases
Hampden and Co posted a profit before tax of £9.1m, up from £2m in 2022.
Launched in 2015, this is the second year of profit the lender has seen. In light of this, the lender’s board recommended an inaugural dividend.
Graeme Hartop (pictured), CEO of Hampden and Co, said: “Our accessible and personalised approach to banking is valued by our existing clients and has attracted many new clients. It shows that many people, including high-net-worth and affluent customers of high-street lenders, appreciate the benefits of relationship banking.”
“The growth in new business introduced by mortgage brokers was driven by strong demand for high-value, often complex loans as interest rates stabilised. Credit quality remains strong.”
Hartop added: “In an environment where interest rate rises have encouraged people to use savings to pay down debt, the bank grew both deposits and lending in 2023.
“The high volume of referrals from other advisers, including wealth managers, solicitors, accountants and mortgage brokers was a further positive endorsement of the bank, our staff and our ability to work in partnership with these other professionals.”
