Arbuthnot Latham, the wealth management and Financial Planning arm of the Arbuthnot Banking Group, has boosted profits by 24%.

The firm has reported a profit before tax for the first half of the year of £6.7m (H1 2018: £5.4m), which represents an increase of 24%.

Meanwhile the total assets of the bank have increased to £2.33bn (H1 2018: £1.96bn), an increase of 19%.

The firm says the increase was a result of “the ongoing activity in the bank to generate new customer loan and deposit balances”.

Customer loans ended the first half at £1.28bn (H1 2018: £1.10bn), an increase of 16% from the previous year and £51m higher than
the balance at 31 December.

The bank originated new loans of £206m during the first half which is in line with the prior period.

However it said the lending markets “remain competitive and the number of loan repayments continues to impact the
loan portfolios of the bank”.

Customer deposits increased to £1.83bn (H1 2018: £1.55bn), an surge of 18% and £115m higher than at the end of 2018.

The increase, the company says, reflects “the good work done by both the private and commercial bankers in attracting new clients” and building on existing relationships.

Assets under management increased from the low point at the end of 2018 to £1.03bn (H1 2018: £1.07bn).

Credit impairments increased by £1.1m, with £200k of impairments as a result of the IFRS 9 Stage 1 requirement.

Sir Henry Angest, chairman and chief executive of Arbuthnot, said: “The group has had a good start to the year.

“We have raised new capital, grown our existing businesses and continued to deliver on our plans to diversify.

“We have also agreed to buy a mortgage portfolio which should help to improve the returns of the group.”