TSB increases mortgage lending over 51%

TSB increased its mortgage lending by 51.5 per cent year-on-year in the first quarter.

Its first quarter results show it lent £479m to borrowers in the first three months of the year, up from £316m in the same period of 2014.

Of the £479m, some £100m was mortgage business introduced by brokers. The lender says it has received £700m in applications since it launched into the broker market in January.

TSB made a £34.3m pre-tea profit in Q1, down from £102.8m in the first quarter of 2014.

TSB chief executive Paul Pester says: “TSB is starting to fire on all cylinders as we take on the big banks in our mission to bring more competition to UK banking.”

He adds: “Whilst we still have a long way to go in bringing better banking to UK consumers, we’re making real progress.  This is reinforced by Banco de Sabadell’s recommended offer to acquire TSB, which is a real vote of confidence in everything we’ve achieved so far and in our potential to succeed further in the future”.

TSB, which last month confirmed it had been bought by Spanish bank Sabadell for £1.7bn, was created in September 2013 when Lloyds Banking Group floated 631 branches to comply with European Commission requirements.

Last month, the lender announced it had started piloting its buy-to-let proposition through London & Country ahead of a wider roll-out in the coming months.