Aldermore sees a tasty profits rise as it gives ‘vanilla’ mortgages a miss

The bank, sold a year ago to South Africa’s FirstRand, was formed 10 years ago in the teeth of the financial crisis.

Under chief executive and founder Phillip Monks it has grown by concentrating on the buy-to-let market, first-time buyers and the self-employed.

For the year to June, profits rose from £117 million to £130 million. Loans are up from £9 billion to £10.6 billion, while profit margins remain far higher than those at the high street banks.

The net interest margin, the gap between what it charges borrowers and pays savers, is 3.3%.

Monks said: “We don’t compete in the vanilla mortgage market. We look at customers who need a human underwriter.”

He said he has no plans to step down. “I’m here,” he said, “I’m still enjoying it.”

Saving deposits are up 15% to £9 billion. Car finance firm MotoNovo has been integrated into Aldermore.

Monks said: “We are excited about the potential opportunities our enlarged group can bring to benefit customers.”