United Trust Bank (“UTB”) has reported a resilient financial performance for the year ended 31 December 2025, delivering £92.3m operating profit before impairments as well as growth in lending in a challenging UK economic environment, while further strengthening its capital position to support future growth.
UTB’s Annual Report & Accounts for 2025 show operating income increased by 7% to £176m with loan book growth remaining strong at 12%, reaching just under £3.9bn by year end. The performance reflects the Bank’s ability to identify opportunities and support customers in more competitive and subdued markets.
2025 financial highlights include:
- Gross new lending: £1.98bn
- Operating income: £176m
- Operating profit before impairment charges: £92.3m
- Profit before tax: £78.7m
- Loan book at year end: £3.9bn
- Total customer deposits: £3.8bn
- Return on equity: 14.1%
Despite ongoing margin pressure from falling interest rates and heightened competition, UTB continued to invest in its digital platforms, broadened its lending and deposit propositions and strengthened its funding franchise. Customer deposit balances increased by 13% to £3.8bn, supported by growth across retail, SME and charity savings accounts, alongside the launch of new products and a new deposit onboarding platform.
UTB maintained a strong capital position throughout the year, comfortably above regulatory requirements. Higher impairment charges in parts of the property portfolio, contributed to a reduction in profit before tax to £78.7m (2024: £86.4m) and a moderation of return on equity to 14.1%.
The minority equity investment by Warburg Pincus completed in March 2025 and UTB has already begun to benefit from their support as a new long‑term shareholder. In addition to strengthening the Bank’s capital base, Warburg Pincus provide valuable strategic insight, sector expertise and a global perspective, which are helping to inform and challenge management as UTB progresses through its next phase of development. Their engagement has supported the refinement of strategic priorities and reinforced the Bank’s focus on disciplined growth, operational excellence and long‑term value creation.
In February 2025, UTB also issued £50m of Additional Tier 1 capital, via its parent, UTB Partners, to a number of leading institutional investors. Together with the Warburg Pincus investment, this capital further enhances the Bank’s resilience and capacity to support customers, invest in technology and scale its specialist lending propositions.
United Trust Bank Chief Executive Officer, Harley Kagan, commented:
“The UK faced a challenging economic climate due to global trade tensions and domestic uncertainty ahead of the Autumn Budget. Although inflation fell and GDP growth was steady, high interest rates and low consumer confidence depressed the housing market. Against this backdrop, UTB delivered continued growth in lending, increased operating income and strengthened its capital base, underlining the resilience of its specialist business model and the strength of its customer relationships.
“The completion of the Warburg Pincus investment and £50m Additional Tier 1 capital issuance were important milestones that enhance our ability to grow. While higher provisions impacted profit before tax, our underlying performance remains strong, and we continue to invest in technology, people and product development to support sustainable, long-term success.”
United Trust Bank Chair, Richard Murley, added:
“Despite a complex economic environment, UTB has demonstrated discipline, resilience and strategic focus in 2025. With a strengthened capital base, the support of a new long-term shareholder and a clear strategy, the Bank is well positioned to deliver disciplined growth, enhance its customer experience and create enduring value for stakeholders in the years ahead.”
United Trust Bank’s Annual Report and Accounts for the year ended 31 December 2025 have been published and are available on UTB’s website at:
