Edinburgh-based Tesco Bank said its profit before tax rose 143.9% to £112.2 million in the six months ended August 31, “reflecting the impact of payment protection insurance (PPI) charges of £45 million and restructuring charges of £21.8 million taken in the prior period.”
Tesco Bank said underlying profit before tax was 4% lower at £110.7 million.
Customer deposits increased 5.1% to £8.9 billion from £8.5 billion in February and continue to be the main source of Tesco Bank’s funding.
Loans and advances to customers increased by 8% to £10.8 billion from £10 billion in February 2017.
Mortgage balances rose to £2.5 billion from £2.2 billion in February.
Tesco Bank sprung a surprise in July when it announced that its CEO Benny Higgins would retire from Tesco in February 2018.
Higgins joined Tesco Bank as CEO during its move to full Tesco ownership in 2008 and was also appointed group strategy director in 2014.
The colourful Higgins was formerly a leading executive at RBS, HBOS and Standard Life.