Tory donor Peter Cruddas set for fresh windfall as CMC Markets booms

CMC Markets, the spread betting house founded by former Conservative party co-treasurer Peter Cruddas, had a record half-year as punters raced to bet on volatile markets.

Cruddas, once dubbed the richest man in the City, said he is “delighted” with how the focus on “high value” clients is paying off.

Revenues from CFDs (contracts for difference) were £200 million in the six months to September, compared to £85 million a year ago.

The move into stockbroking is also paying off, with revenues of £26 million, up from £14 million last time.

Profits for the year will be at the top end of City expectations. The shares today slipped 9p to 355p however, leaving the business valued at around £1 billion.

CMC looks like a clear Covid-19 winner. Cruddas said: “During the period we continued to recruit new staff, we did not accept any Government financial schemes and all staff were paid in full through the normal payroll.”

CMC thinks profit for the full year will be between £149 million and £175 million.

That will be good for Cruddas, still majority owner of the business he founded. Last year he picked up a dividend payment of £25 million. This year may well be higher.

He noted: “I am a UK resident. I pay plenty of tax.” Cruddas is a Tory party donor and supporter of Boris Johnson.