Wednesday 19 June 2019 8:44 am

CYBG to rebrand as Virgin Money to 'disrupt status quo' of UK banking

Clydesdale and Yorkshire bank owner CYBG will be renamed Virgin Money in a major rebranding to “disrupt the status quo” of UK banking.

CYBG acquired Virgin Money last year in a £1.7bn deal and will now adopt its name across its business by the end of the year.

Read more: CYBG shares jump as it hits profit after £1.7bn Virgin Money merger

Ahead of its capital markets day, CYBG also said it aimed to make a further £50m in savings from the merger, taking the total savings to £200m by the end 2022.

It maintained its 2019 guidance of £950m underlying costs and targeted costs below £780m by the end of 2022.

Chief executive David Duffy said: “We have a clear ambition to disrupt the status quo with the new Virgin Money.

“The new group combines the ethos of Virgin, with its distinctive and brilliant customer experience, with CYBG’s technology, product expertise and know-how.”

Duffy added: “Despite the ongoing Brexit headwinds and continued competitive pressures, the strength of the newly combined group gives us every confidence we will deliver our targets.”

The bank said it would place renewed focus on business and unsecured lending and maintain its UK mortgage market share.

Last month, in its first set of results since the Virgin Money deal, CYBG returned to profit beating analysts’ expectations.

Read more: CYBG raises business banking fees to ‘stay competitive’ weeks after RBS fund snub

The bank reported statutory pre-tax profit of £42m in the six months to 31 March and Duffy welcomed the “resilient” performance amid tough market conditions.

The parent group will also be renamed Virgin Money UK Plc by the end of the year, CYBG said.