Paragon Bank Sees Increase in Small Business Lending in Latest Half-Year
Paragon bank recently announced that its small and medium-sized enterprises (SME) lending business experienced a growth in new lending during the first half of the year ending in March. The bank reported a total of £230.2 million in new lending for the six-month period, representing a 4.6% increase compared to the same period last year.
John Phillipou, the managing director of Paragon Bank’s SME lending division, expressed satisfaction with the increase in new lending, especially considering the challenging environment that SMEs have faced in recent years. He highlighted the resilience and adaptability of UK SMEs in overcoming obstacles and growing their businesses, emphasizing the bank’s commitment to supporting their ambitions.
The SME lending segment is a significant component of Paragon’s commercial lending division, which reported a slight uptick in lending volumes compared to the previous year, reaching £589.8 million. Commercial lending now represents 48% of new lending within the entire group.
Founded in 1985, Paragon Banking group is a specialist bank listed on the London Stock Exchange as a FTSE 250 company, with a workforce of 1,500 employees. The bank delivered a strong operational and financial performance in the latest half-year, with underlying profits increasing by 13.5% to £146.3 million, driven by growth in loans, improved margins, and effective cost management. The group currently manages over £15 billion in assets.