You are here: Home -

Redwood Bank announces its first full-year profit of £2.2m in 2021

by:
  • 28/07/2022
  • 0
Redwood Bank has reported a pre-tax operating profit of £2.2m in the year to December 2021, up from a loss of £1.7m in 2020.

This is the first profit reported by the bank, which lends to SMEs in the UK, complex buy-to-let borrowers, and property investors. 

Its loan book rose 14 per cent to £370m and deposits increased 15 per cent to £438m. 

During the year, shareholders invested £9.9m of Tier 1 capital, bringing the total invested so far to £47.9m. 

Gary Wilkinson (pictured), CEO and co-founder of Redwood Bank, said: “The fact that we made our first profit, in 2021, is testament to the robustness of our business model. We reached this milestone because we continued to offer vital lending support to British businesses during the various Covid-19 lockdowns, when many other mainstream lenders retrenched. We are proud to have played our part in bolstering the resilience of British business.”   

The bank recently increased its maximum loan to value (LTV) on mortgages up to 70 per cent for commercial loans and to 75 per cent for residential loans. It said these changes are part of its plans to facilitate greater lending options and to drive investment into SMEs.  

Wilkinson said: “We are an established specialist bank focused on simple commercial property loans and business savings accounts, offering secured mortgages to professional landlords, and business owner occupiers.  We are experts in our chosen markets and use that expertise to deliver superior results for our customers and investors.  

“Redwood Bank plugs a gap in the market where mainstream banks prefer not to lend. We dare to be different, as we truly understand the challenges of British businesses, responding to their concerns and supporting their need for flexibility and resilience in the face of a crisis.” 

Related Posts

Tags

There are 0 Comment(s)

You may also be interested in