Metro Bank Holdings PLC: Q1 2024 Financial Performance Review

Metro Bank Holdings PLC reported a mixed financial performance for the first quarter of 2024. Total assets rose slightly to £22,612 million, marking a 2% increase since December 2023 and since March 2023. In contrast, total lending decreased to £11,820 million, down 4% from the previous quarter and 9% year over year.

The deposit segment showed growth, with total deposits reaching £16,210 million, a 4% increase from both the previous quarter and year over year. This growth is attributed to the success of a deposit campaign launched in Q4 2023, leading to an increased focus on low-cost relationship deposits to lower funding costs.

CEO Daniel Frumkin highlighted the bank’s strategic shift towards higher margin sectors like Specialist Mortgages and SME/Commercial lending, to optimise returns on capital and improve profitability. Frumkin also reaffirmed the bank's commitment to service-led banking, noting significant growth in personal and business current accounts.