Metro closes in on millionth customer and takes £1bn in deposits

Metro Bank, the high street lender that is challenging the big five retail banks in the UK, has reported continuing growth in customers, deposits and lending.

The Evening Standard says the bank, which opened for the first time in 2010, is closing in on its millionth customer after adding 72,000 customers in the first quarter, bringing the total up to 987,000.

According to The Independent, Metro Bank added £1bn in deposits, a 13 per cent rise on the previous quarter that takes its deposits total to £9bn. Lending increased by 11 per cent to £6.5bn.

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Overall the bank posted growth of 33 per cent in underlying pre-tax profits to £2m.

The figures nonetheless fall short of the £3m predicted by broker Panmure Gordon, which says the firm is "fully valued" at more than £35 per share.

Metro Bank's share price fell slightly in morning trading but was edging higher in afternoon trading, up 0.3 per cent to £35.95.

When it launched, just seven years ago, Metro was the first new bank in the UK for more than a century.

The bank is known for its quirky approach. This includes allowing pets in its branches – and offering "doggy bags" to customers – opening seven days a week and referring to customers as "fans".

Metro Bank is also bucking wider trends by opening new branches, while its larger rivals trim back. Today the bank announced it would open another ten branches on UK high streets this year.

The bank's founder and chairman, American billionaire Vernon Hill, says that Metro Bank "remains a revolution in British banking, championing the right of every customer to receive service and convenience tailored to their needs".