Standard Life Bank, the direct banking offshoot of the UK life assurer, is reporting a ten per cent jump in net lending in the half-year to 15 May 2003, pushing the mortgage book through the £8 billion barrier and setting the bank on-course for profitability in 2004.
In the first six months of the fiscal year, net lending has increased by £0.8 billion says the bank, with growth across its mortgage range, including discounts, fixed rates, offsetting and buy to lets. Mortgage arrears stand at 0.08%, less than a tenth of the industry average, with average loan to value at 60%.
Retail savings business remains constant at £4.6 billion.
Anne Gunther, chief executive of Standard Life Bank, says "Last year Standard Life Bank moved from being a niche player in the UK mortgage market into the mainstream. As we have said for the last three years, we expect our first full year of profitability to be 2004 and I am very encouraged by the financial progress made during the first half of 2003."