Edinburgh headquartered bank TSB today said its profits for the first half of the year had more than doubled, as its incomes were boosted by higher lending balances and increased card spending following the end of Covid restrictions.
The bank said its statutory pre-tax profits had increased 139.9 per cent to £102.9m, as customer lending increased by £500m to a total of £37.9bn, with growth driven by mortgages.
Increased card spending after the lifting of Covid restrictions also boosted TSB’s income, even as customer deposits dropped by 0.7bn.
TSB’s higher incomes were paired with lower operating expenses, that saw its total costs drop from £405.7m in the first half of 2021 to £386m in the first half of 2022, in a shift that saw the firms cost to income ratio fall from 86 per cent to 74 per cent.
Robin Bulloch, TSB’s Chief Executive Officer, said: “This represents another strong set of results for TSB. The past six months have been incredibly challenging for many people across the UK, and I am deeply grateful to all TSB colleagues for helping customers continue to have Money Confidence during this time.”
“We’ve invested in improving the customer experience, pressing ahead with our programme of branch upgrades and further developing our digital offer, as well as continuing to offer a strong mortgage proposition – all of which has contributed to sustainable balance sheet growth and improved profitability.”
“As we move through the second half of the year, our focus continues to be driving growth across our business and making sure that TSB is the bank of choice for more customers for more of their financial needs.”