Danske Bank pre-tax profits leap 35% in 2017

Danske is well placed to help drive growth in 2018 said CEO Kevin Kingston
Danske is well placed to help drive growth in 2018 said CEO Kevin Kingston

Continuing success in the rising mortgage market, plus an improved corporate performance helped Danske Bank to a 35% rise in pre-tax profits of £147.5 million in 2017.

Posting results for the year ending in December the bank reported pre-tax profit sup from 117 in 2016 while revenues rose by 1% from £228.9m to £230.9m as lending surged by 9%.

Over the year loans rose from £4,536m to £4,947m and deposits from £6,330m to £6,648

As in 2016, the bank reported a net credit in loan impairments as improvements in property values, and in the trading results of the Bank’s business customers, means that provisions made in previous years against potential distressed lending are now no longer required.

“We are pleased to publish a strong set of financial results for 2017,” said Danske Bank UK CEO Kevin Kingston.

“Restructuring and organisational change helped strengthen the results, but at the core was an improved underlying business performance.

“There was a 28% increase in new mortgage lending year-on-year, with our market activity share now having more than doubled since 2015.

“We have also expanded our own mortgage consultant team, making this service more readily available.”

In the small business sector, he said a programme of relocating small business advisers back into key branches across the province had been completed.

“This decision was taken as a result of strong feedback from small businesses and it has allowed our people to be more accessible and closer to customers.

“These changes have made a tangible impact, with an average of 37 new small business relationships being established every week.

“Lending to medium to larger-sized businesses was also up, 3% higher year-on-year.

“We have entered 2018 with an ambition of making more possible for our customers. Whilst the macro environment remains challenging, I firmly believe Danske Bank is very well positioned to further support the Northern Ireland economy, whilst continuing to assist customers in realising their ambitions”