LONDON: The UK has become Santander’s most profitable market, generating just over a fifth of the bank’s profits in the first half of 2015.
Pre-tax profits in the UK rose £74m to £928m, while revenues were up 5%.
The results eclipsed the €1bn (£700m) posted by the Spanish bank’s Brazilian operation, which saw its revenues jump by 9%.
Overall, the bank posted a 24% rise in attributable profit to €3.24bn, but was flat at €2.99bn on the pre-tax level.
Nathan Bostock, chief executive of Santander UK, said: “We are well placed to benefit from the positive economic outlook, although future earnings will be impacted by the bank corporation tax surcharge announced in the recent UK Budget.
“Nevertheless, I am confident that we can continue to grow the business, whilst maintaining balance sheet strength.”
Although a flotation of the UK business has been mooted for some years, Mr Bostock said he did not expect it to happen “for the next couple of years”.
UK lending rose nearly 3% in the second quarter, while the bank also benefited from the strong pound and an increased focus on business loans.
In February, Santander announced a near-£44m seven-year deal to sponsor London’s 11,000 bicycles for hire, taking over from Barclays.
