Despite this, HSBC’s half-year results showed its UK bank increased its market share from 8% at the end of 2023 to 8.1% by June. 

This was also higher than a market share of 7.8% during the same period last year. 

HSBC UK’s total mortgage book rose from £126.4bn in H1 2023 to £131.2bn this year. 

The average loan to value (LTV) of its entire mortgage book was 53%, while the average LTV of new loans was 67%. 

The UK bank’s net interest margin (NIM) came to 2.57% in Q2, a slight rise on the 2.56% margin during the preceding quarter. This was also higher than the margin of 2.49% over the same period a year earlier. 

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HSBC UK reported a profit before tax of £2.95bn, a 24% drop on its profit of £3.9bn a year earlier. Excluding a £1.24bn gain on its acquisition of Silicon Valley Bank, HSBC UK’s profit before tax was 11% higher than in 2023. 

HSBC said it was “well-positioned” to capitalise on the opportunity of the UK’s resilient economy, which was showing signs of growth. 

Noel Quinn, group chief executive of HSBC, said: “After delivering record profits in 2023, we had another strong profit performance in the first half of 2024, which is further evidence that our strategy is working.

“We are confident that we have the right strategy and model to grow revenue, even in a lower interest rate environment, and are therefore providing new guidance of a mid-teens return on average tangible equity in 2025.” 

He added: “I have always been immensely proud of the heritage of this bank and the strategic role it plays in the world. My aim when I took this job was to deliver financial performance to match our standing. Working together, I believe we have done that and created a strong platform for growth.” 

Earlier this month, it was announced that Georges Elhedery would take over from Quinn as group CEO in September, as Quinn enters retirement.