Clydesdale boss hails performance in north-east
Oil and gas keeping Aberdeen economy strong
Published:
Clydesdale Bank’s chief operating officer, David Thorburn, says Aberdeen is more sheltered from economic woes than any other part of the UK in which Clydesdale and stablemate Yorkshire Bank operate, largely thanks to the buoyant oil and gas industry.
Mr Thorburn said yesterday Clydesdale’s Financial Solutions Centre (FSC) in Aberdeen, which deals with business customers and high-net-worth individuals, was recruiting to match demand for its services and building a strong pipeline of business under Aberdonian John Brebner.
He said the Inverness FSC was also enjoying a very strong period of trading, and the bank hoped it would relocate soon to a new purpose-built centre representing a substantial six-figure investment.
Mr Thorburn was speaking after National Australia Group, owner of the Clydesdale and Yorkshire, said it had achieved a stand-out trading performance in the six months to March 31.
UK chief executive Lynne Peacock said: “In turbulent market conditions we have delivered another set of excellent results.
“Operating a traditional banking business with a consistent strategic direction and disciplined approach to risk, we have achieved strong volume growth in deposits and high-quality lending while maintaining one of the strongest capital ratios in UK banking. Retail performed well in challenging conditions while business banking through our maturing integrated Financial Solutions Centres again delivered an outstanding performance.”
Clydesdale and Yorkshire, whose financial results are combined, achieved pre-tax profits of £194million for the period, up 17% on a year earlier. Cash earnings per average full-time employee increase by 19% to £31,000, average retail deposit volumes increased 17% to £17.5billion, average gross loans and acceptances increased 31% to £30.6billion, with business lending up 28% and mortgages up 16%.
The charge for bad and doubtful debts was flat on a year earlier at £60million. The banks have no exposure to sub-prime lending.
Ms Peacock said: “The UK business is built on solid foundations and is starting to outperform the market. It is well placed to continue the growth story.”
