Business
Results for the year ended 31 December 2025
Vanquis Banking Group PLC has returned to profitability in the year ended December 31, 2025, reporting a statutory profit before tax of £8.3 million, a significant improvement from a £138.0 million loss in the prior year. This turnaround was driven by a 22% increase in gross customer interest-earning balances to £2,824 million, a reduction in operating costs by 33% to £265.5 million, and a decrease in the cost of risk to 7.3%. The Group's Common Equity Tier 1 ratio stood at 16.5% at year-end, and the company anticipates delivering a double-digit return on tangible equity in 2026. Disclaimer*
About this update from Vanquis Banking Group Plc
[{"type":"text","content":"\n\n\n \nVanquis Banking Group results for the year ended 31 December 2025\nReturned to profitable growth\n \nLondon - 26 February 2026 - Vanquis Banking Group plc ('the Group' or 'Vanquis') today published its results for the twelve months to the end of December 2025.\n \nIan McLaughlin, Chief Executive Officer, commented: \"In 2025 we accelerated growth in interest earning balances, maintained strong credit performance, carefully controlled our margins and costs and returned the Group to statutory profitability.\n \nThis performance demonstrates the progress we are making to build a scalable, efficient and resilient bank. Credit quality remained strong as the portfolio grew, reflecting our responsible approach to risk management and customer affordability. Cost discipline was maintained throughout the year with transformation savings ahead of plan, improved operational efficiency and a meaningful reduction in complaint costs.\n \nWe also made significant progress on our technology transformation, Gateway, which is substantively delivered and will complete in 2026. Gateway is already improving decisioning, speed and consistency, and will be a key enabler of scale, efficiency and enhanced customer experience in the years ahead.\n \nOur focus remains on supporting customers who are underserved by the mainstream lenders, helping them borrow responsibly, manage their money confidently and build financial resilience. As our transformation progresses and Gateway delivers increasing benefits, we see a clear opportunity for sustainable and profitable growth, underpinned by deeper customer engagement and a more efficient operating model.\n \nAlthough there is more to do, the momentum we achieved in 2025, combined with our strategy to Serve More, Serve Responsibly and Scale Profitably, gives us confidence to deliver a double digit return on tangible equity in 2026 and a mid-teens return in 2027.\"\n \nExecutive Summary\n \n· Delivered a return to profitability: The Group returned to profitability in 2025, reporting statutory profit before tax from continuing operations of £8.3m (FY24: loss of £138.0m) and a statutory ROTE of 2.3%, in line with guidance for a low single-digit return.\n· Strengthened our capital position: The Group optimised its capital struct...