LONDON (ShareCast) - (Sharecast News) - Secure Bank Trust said on Thursday it had moved closer to its £4bn net lending target, despite heightened turbulence across global markets, following a strong first quarter.
The challenger bank said deposits in the three months to 31 March rose 15.4% year-on-year, to £3.37bn, while the net loan book increased 10.5% at £3.73bn.

Within lending, business and consumer balances rose by 4.9% and 1.8% respectively.

Quarter-on-quarter, deposits grew by 3.9% and net lending by 3.2%.

David McCreadie, chief executive, said: "The group delivered strong net lending growth in the period, moving closer towards our £4bn net lending ambition.

"We continue to manage the trajectory towards this level prudently. We are monitoring for potential impacts of the current turbulence in global markets and across the geopolitical landscape."

Secure Trust also confirmed it had sold £25.8m of defaulted vehicle finance loan balances after the period end.

The balances built up in 2024, after collections were paused while the Financial Conduct Authority carried out a Borrowers in Financial Difficulty review.

"This transaction is the first of several initiatives that will allow operational resources to be deployed more effectively to manage early-stage arrears and defaults," it noted.

As at 1100 BST, shares in Secure Trust were up 3% at 625.6p.

Shore Capital, which acts as joint broker to the bank, said: "Secure Trust has published an encouraging first quarter trading up, which demonstrates continued progress towards management's £4bn net loan book target.

"The group also continues to deliver cost savings in line with its plan."

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