The bank, established in 2009, saw mortgage lending and business credit both hit £1bn in the year.
Net operating income increased to £55.6m, up 30.5 per cent on the year, while post-tax profits came in at £800,000, up from a loss of £900,000 in the previous year.
Lending increased 75 per cent in 2012 and the bank believes it can up that by 60 per cent this year.
“A number of banks have disappeared – ING has left the UK, lease finance firms have scaled back, £1bn of asset finance lending has left the market, Irish and Icelandic banks are doing less here. There is a huge amount of head room for us to continue to grow,” chief Phillip Monks told City A.M.
And he insists the bank has a sustainable funding model to enable that.
“We will be diversifying away from Funding for Lending and retail deposits, into wholesale funding – we aim to carry out a securitisation next year.”