Paragon Banking reports jump in new lending in Q1


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Mortgages and personal loans provider Paragon Banking reported a'strong' start to the year as lending increased by a third, led by jump in buy-to-let mortgages and commercial lending volumes in the first quarter.

Total new lending for the quarter to 31 December 2021 increased by 35.7% to £708.0 million from £521.8 million in Q1 2020/21.

The CET1 and total capital ratios remained strong at 15.6% and 17.7% respectively at 31 December 2021.

The volume of new buy-to-let mortgage advances increased by 36.8% to £408.5 million when compared to the £298.7 million reported for Q1 2020/21.

Commercial lending volumes also increased significantly, rising 37.3% to £298.8 million year-on-year.

'The group's operational and financial performance during the first quarter has been strong and the Board's FY22 guidance remains unchanged,' the company said.