Arbuthnot bucks trend as new structure defies banking slump

 
Marion Dakers
ARBUTHNOT reported pre-tax profit of £10.8m for the half year, up from £200,000 a year ago, thanks in part to the rapid growth of Secure Trust, the retail banking arm that it floated on Aim in November.

Secure Trust, which remains 75 per cent owned by Arbuthnot, boasted its own pre-tax profit of £12.5m as its acquisition of Everyday Loans in June boosted its bottom line.

The firm also grew its customer base 58 per cent to almost 200,000 and nearly doubled its loan book to £260.3m.

Part of that increase came from the acquisition of personal credit firm Everyday Loans – a step which added £71m to the group’s loan book, taking it to a total of £260.3m.

The firm is also benefitting from the sale of its securities arm, divested in an effort to move out of the struggling sector and free up funds for expansion in the retail sector.

Meanwhile Arbuthnot Latham, the group’s private bank, continued with its turnaround plan and reported a pre-tax profit of £1.4m, up from £1m.