Shawbrook Group has issued its trading update for the three months ended 30 September 2022.
Its loan book grew to £9.8 billion as at 30 September 2022, which represents annualised growth of 23%.
Customer deposits passed the £10 billion milestone, growing 27% during the nine months ended 30 September 2022.
During the period, its also completed a £346 million fully retained securitisation of buy-to-let loans originated through its The Mortgage Lender franchise in October 2022.
Shawbrook warned that the outlook for the macroeconomic backdrop continues to worsen and that it remains alert to the potential challenges ahead; however, it is currently not seeing a material deterioration in its Early Warning Indicators and it continues to experience low levels of impairment losses and arrears.
Marcelino Castrillo, Shawbrook’s chief executive officer, said: “Against an increasingly challenging macroeconomic backdrop, our focus remains on ensuring Shawbrook provides a stable and consistent offering to our chosen markets inside a well-established risk appetite. Our well-diversified lending proposition offers us an additional layer of security. As some markets retrench and others expand, creating a greater need for lending, this gives us the optionality to deploy our capital across a range of asset classes.
“In support of this, we continue to scale our digital capabilities through targeted investments in technology to deliver excellent customer experiences, with our loan book growing to £9.8 billion. This growth was funded by our strong and consistent savings franchise, which surpassed the £10 billion customer deposits milestone and more than 210,000 customers entrusting us with their savings.
“Our unique business model, combining deep human expertise with digital and data, continued to produce strong returns and we are closely monitoring the wider macro environment and the impact it may have on our chosen lending markets.
“While we do not yet see any material worsening of credit risk profiles across the book, our investments in technology and data to enhance our risk management capabilities, coupled with our investment in human expertise ensures we remain prepared for a more challenged economic cycle.”
