Metro Bank may float as it gains more customers

Tim Wallace
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METRO Bank reported a 75 per cent rise in customer numbers in the first three quarters of the year yesterday.

The strong growth figures prompted the bank to write to shareholders to tell them it is considering floating on the stock market to raise more funds.

Metro now has 238,000 current accounts across its business and consumer lines. Deposits increased 24 per cent on the quarter to £1.1bn and loan volumes rose 59 per cent in the three-month period to £565m.

The three-year-old bank made a loss of £11.5m in the quarter, running roughly in line with the £45.7m losses over the whole of 2012.

“The bank intends to conduct a further capital raise to support the dynamic growth in lending and stores; the timing, quantum and methodology of the capital raise will be formally communicated shortly,” said the bank in a letter to investors seen by Sky News.

Metro declined to comment on its plans, but chief executive Craig Donaldson said he is pleased with its UK growth.

“We’re delighted to be growing our presence across so many new communities at a time when the British public is demanding a refreshing choice for banking on the high street,” he said.

“We’re providing business and personal customers with a real alternative on the high street.”