GlobalData
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Arbuthnot Banking Group has reported a stable loan book and a 17% growth in deposits for the four months ending 30 April 2025.
The bank's loan balances stood at £2.36bn ($3.16bn) on 30 April, reflecting a decrease from £2.38bn at the end of last year, due to the group's cautious credit approach amid economic uncertainty.
Despite the challenging economic environment, Arbuthnot said it has continued its strategy of allocating capital to its specialist lending divisions, which are experiencing growth opportunities.
The bank has also noted increased activity in its lending pipeline, indicating a positive trend in the coming months.
The group added that its deposit gathering efforts have been successful, with balances rising to £4.25bn, marking a 3% increase since the year-end and a 17% growth over the past year.
The focus on raising profitable deposits is a key part of Arbuthnot's client growth strategy.
In its trading update, the bank said: “Despite the global economic outlook becoming increasingly uncertain during the start of 2025, in particular due to the threat of trade wars and tariffs, the group has continued to focus on progressing its on-going long-term strategic initiatives to attract profitable relationship driven deposits whist growing and diversifying its lending proposition.”
The Arbuthnot Commercial Asset Based Lending (ACABL) unit ended the period with a loan book of £216m, a 6% decrease from the end of 2024.
Economic uncertainty and low growth have continued to impact activity, but originations and ACABL's pipeline are showing positive signs, the group said.
Arbuthnot’s Renaissance Asset Finance (RAF) division concluded the period with a loan book of £264m, a 6% increase from the end of 2024, with a 21% year-on-year growth.
New business in this division rose by 16% compared with the same period last year.
Launched in late 2021, the Block Discounting business also reported a 16% increase in its loan book over the period.
"Arbuthnot Banking Group reports 17% deposit growth amid stable loans" was originally created and published by Leasing Life, a GlobalData owned brand.
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