UTB reports £1.8bn in gross new lending

According to the latest financial report from UTB, the gross new lending figures show an increase from £1.48bn in 2021.

The firm said that there was “significant growth” in Q1 and Q3, but origination had slowed in Q4 in response to a “higher-risk economic environment and housing market”.

The lender’s loan book stood at £3.1bn last year, a 28 per cent increase on the year before.

Within that, the mortgage business passed the £1bn milestone, with “good demand” for first and second charge products.

The company added that its buy-to-let (BTL) offering had been “well-received” since it was launched and is “positioned to grow further”.

Bridging and structured finance also reported “strong originations and longer average loan tenors”.

The firm said that it was looking to launch new products in the property business, and work started last year will be finalised in the coming year.

UTB said that its profit before tax came to £82.7m, a 38 per cent increase on the year before, which was driven by “loan book growth and higher interest rates combined with progress in optimising funding costs”.

Total funding at the year-end is £3.1bn, an increase of 22 per cent driven by a 27 per cent increase in customer deposit balances.

UTB said that staff numbers had risen to 404 in 2023, a rise from 359 in 2022 and 208 in 2021.

UTB’s CEO, Harley Kagan (pictured), said: “During 2023, the UK economy was buffeted by one crisis after another, with higher inflation requiring interest rates to be increased to levels not seen since before 2009. At UTB, we responded well to these challenges, and this is reflected in our strong performance.

“These excellent results are due to the dedication of our skilled and hardworking staff and senior management team, and the continued support of our broker partners and customers. They show that when times are tough, resilience, tenacity and strong relationships make a huge difference.

“Economic headwinds in the UK now appear to be easing, and UTB is well-placed to continue to develop and grow its business with a fantastic team of people. I am confident the bank will go further on delivering its purpose.”

In February, UTB introduced second charge binding offers.