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TSB blasts big banks’ “stranglehold” in Q1 results

TSB store front 700 x 450

TSB chief executive Paul Pester has called on the Competition and Markets Authority to break the “stranglehold” of big UK banks.

In the firm’s first quarter results, published today, Pester says TSB is already taking customers from big banks, but that the sector was still uncompetitive.

He says: “So, whilst I think TSB is doing its bit to break the stranglehold the big five banks have on the UK market, we can’t do this alone. We need the CMA to use the once in a generation opportunity they have to help us bring the full force of competition to bear on the UK banking market.

“We want all bank customers to know what they’re paying for their banking; all customers – including overdraft users – to be able to switch easily; and all customers to be aware of their right to switch banks. Only then will competition really start to work and the culture of UK banks finally shift to serving customers on their terms – rather than on the banks’.”

TSB’s total lending rose 28.3 per cent to £27.4bn in the first quarter of 2016. TSB says this was driven by mortgage lending.

Pre-tax profits rose 53 per cent from last year to £52.6m in the three months to the end of March,

Franchise customer lending was £22.4bn, up £1.3bn on the previous quarter.


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TSB cuts B2L rates by up to 35bps

TSB is cutting rates by up to 35 basis points on its buy-to-let range and 30 basis points on its residential products. The buy-to-let cuts will apply to the lender’s two-, three- and five-year terms, including the following: TSB’s residential rates will see cuts of up to 30bps. The biggest reduction will be the lender’s […]

TSB store front 700 x 450

TSB merges intermediary and direct teams

TSB is merging its intermediary and direct mortgage distribution teams into one unit to help standardise customer experience of the lender. Roland McCormack, who is currently TSB’s intermediary mortgage director, will lead the unit in his new role as mortgage distribution director. McCormack has TSB partners Andy Sykes and Beverley Bradford as head of national […]


TSB to increase B2L assessment interest rate

TSB will increase its interest rate for buy-to-let affordability calculations from 5 per cent to 5.5 per cent from Tuesday. The rise will affect mortgages of more than 65 per cent LTV, according to a broker note released this morning. The notional rate for loans of less than 65 per cent LTV will stay at 5 […]

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TSB launches its first ever securitisation

TSB has launched its first ever securitisation and is currently holding a road show for investors. The bond, called Duncan Funding 2015-1 plc, is made up of prime owner-occupied loans and the pool size is £2.3bn. The majority of the loans were originated between 2012 and 2015 and the weighted average LTV is 76.1 per […]


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