Metro Bank has seen its profits more than treble in the first half of its financial year, increasing 252% to £45.1m from H2 2024.

The bank said this result was driven by improvements in its net interest income and continued costs reductions.

In the six months to 30 June, Metro Bank’s revenue increased by 22% year-on-year to £286m, while its operating costs dropped by 8% annually to £234.7m.

Furthermore, the bank has doubled its lending originations year-on-year, totalling a record £1bn of new corporate, commercial and SME lending in the first half of 2025.

Chief executive officer at Metro Bank, Daniel Frumkin, said: "Metro Bank’s strong performance in the first half of the year reflects the successful execution of our strategy and decisive actions we have taken.

"We trebled profits, doubled new lending to corporate, commercial and SME customers, meaningfully reduced operating costs and optimised funding to have the lowest cost of deposits of any UK high street bank."

In its guidance, Metro Bank said it expects to record mid-to-upper single digit growth in the current financial year, double-digit growth in 2025 and mid-to-upper teen growth thereafter.

It also expects to reduce its costs by between 4% and 5% in 2025, with its costs to income ration set to be between 50% and 55% in the 2028 financial year.

Head of investment at interactive investor, Victoria Scholar, said: "Metro Bank has been carrying out some major strategic changes including the sale of a portfolio of residential mortgages to NatWest last year. Metro Bank has been trying to focus less on the high street retail business, and more on the corporate, commercial and SME lending where it enjoyed a record £1bn of new business. This is Metro Bank’s second consecutive strong half year performance after it returned to profitability in February.

"Metro Bank’s almost decade long stint as a public company hasn’t been easy with a struggling share price until the lows last year. It was saved in a rescue deal by a Colombian billionaire, was forced to slash costs, faced challenges raising capital, and dealt with a major accounting error. However, the past year and a half has seen some more positive price action come into play. Shares initially surged at the open but have since pared gains."

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