Unity triples profits in first year as an independent bank
Unity Trust Bank has published its first financial results since becoming fully independent from Manchester-based Co-operative Bank in December 2015, posting an increase in pre-tax profit of 267% on 2015.
The bank’s pre-tax profits increased to £2.72m in 2016, from £740,000 a year earlier, while it extended its lending by 26% to £235.4m with loan approvals increasing more than threefold.
Headquartered in Birmingham, it is a specialist aiming to create community, social or environmental benefit and provides day-to-day banking and finance to groups including charities, social enterprise, trade unions, housing associations and councils.
Margaret Willis, chief executive of Unity Trust Bank, said: “In December 2016 we celebrated our first anniversary as an independent bank. We have strengthened our position as a commercial bank with a social conscience and leveraged the bank’s financial strength to deliver on our commitments to our customers. We measure our performance through a double bottom line strategy, assessing financial returns alongside social impact.”
Alongside its financial results, the Bank has released its 2016 social impact report. Over the past 12 months the Bank’s lending has helped create 1,895 jobs and supported the establishment of more than 1,000 bed spaces in care facilities.
In addition, £6,542 has been raised for good causes and over £19,000 of volunteering time has been donated by Unity Trust Bank’s employees.
Willis added: “Social impact remains at the heart of everything we do. We continue to work with SMEs and socially minded organisations who share our values and philosophy and who aim to have a positive impact on society.”
Unity Trust Bank separated itself from the Co-operative Bank after completing a share buy-back. Prior to the buy-back, The Co-operative Bank owned 26.7% of Unity through its subsidiary, Co-operative Commercial.
