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Metro Bank edging its way out of loss-making

Metro Bank edging its way out of loss-making

Metro Bank has continued to minimise losses, with a loss of £8.5m after tax in the first quarter this year, down 20 per cent compared to a loss of £10.6m after tax in the same quarter last year.

The challenger bank’s latest trading update, published today (22 April) added that the latest figure also compared favourably to a £8.9m loss after tax in the final quarter of 2014.

Continued losses were attributed to the bank’s continued investment in people, infrastructure and technology.

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Craig Donaldson, chief executive at Metro Bank, commented that they have invested heavily to give our customers the ability to bank however, whenever and wherever they want.

On the upside, total deposits grew 18 per cent to £3.3bn at the end of March, from £2.8bn at the start of the year.

Lending increased 15 per cent to £1.8bn from £1.5bn, with loans to business customers representing almost half (45 per cent) of total lending in the first quarter.

Total assets were up to £4.2bn, up from £3.6bn at the start of the quarter, up 16 per cent in the quarter and 74 per cent year on year.

The statement also noted a further seven stores planned to open this year, including Tunbridge Wells in May and Harrow in June.

peter.walker@ft.com