OSB Group has reported a 1.2% rise in net loans and advances to £25.4bn in its latest H1 results, supported by a 10% growth in originations to £2.1bn.

The specialist lender and retail savings group said it had focused on returns and diversification into “higher yielding sub-segments”.

OSB Group, publishing its figures for the six months to 30 June, did report a 20% decline in pre-tax profit for the period against last year, however, which it put down to lower net interest income and a fair value loss on financial instruments, compared to a fair value gain in H1 2024.

The company’s retail deposits increased by 3% in the period to £24.6bn, offsetting £730m of TFSME repayment in the period. OSB revealed that the outstanding balance of its TFSME drawings was £348m as of Monday (18 August).

OSB Group’s CEO, Andy Golding, said that the results demonstrate “resilient financial performance” in line with management expectations.

“We delivered 1.2% net loan book growth in the first half as we focused on loan book diversification,” Golding said. “In line with the targeted expansion into higher yielding sub-segments where we have existing expertise, we saw strong growth in originations across commercial, asset finance, residential development and bridging.”

Following the group’s performance in the first half, Golding also confirmed that OSB Group was reiterating our 2025 guidance of “low single digit” net loan book growth.

He added: “The group is well-capitalised, with strong liquidity and a high-quality secured loan book. We are focused on making progress through the transition period to deliver on our medium-term aspirations, prioritising positive outcomes for our stakeholders and strong returns for our shareholders.”

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