Metro Bank continues to challenge mainstream lenders with record growth in H1

The cash will be used to invest in growth as its branch network continues to expand, as well as to replace some of the capital used in the March purchase of a £523m UK mortgage book.

Craig Donaldson, Metro Bank chief executive (pictured above), said: “Almost eight years to the day we opened the doors to our first store and I’m delighted with the momentum demonstrated by the performance in the first half of 2018.

“We have delivered a 55% growth in lending and 40% growth in deposits year-on-year, and welcomed a record 201,000 new customer accounts.

“Every day, every month and every quarter Metro Bank continues to win customers and grow through our disruptive service-led model.”

Donaldson said Metro’s investment in customer experience and delivering the best in store, online and mobile banking experience was behind the increase in lending and profits.

Metro has opened two new stores in Southampton and Watford so far this year and it is due to build eight more in 2018. There are plans to open a further 20.

Metro launched its developer portal this month, which opens up its banking platform to third parties to develop products and services for its customers.

The company is also due to launch its artificial-intelligence powered money management service called ‘Insights’ through its banking app in the next few weeks.

Donaldson said it was this commitment to innovation that continues to attract new customers.

Vernon Hill, chairman and founder at Metro Bank, added: “From a standing start of literally zero, we have won over 1.4 million customer accounts from the big banks, proving British consumers and businesses are turning their backs on poor customer experience and demanding more.

“Our blend of service, convenience and award winning technology is not just attracting new customers in London and the South, it is helping to make us famous across the UK. The revolution goes from strength to strength.”