Business
1st Quarter Results
Vanquis Banking Group reported continued growth in its first quarter of 2026, with gross customer interest-earning balances increasing by 4% to £2,932 million, a 27% rise year-on-year. The company maintained resilient margins, with Net Interest Margin at 15.6% and Risk Adjusted Margin at 9.4%, and remains on track to deliver a low double-digit statutory Return on Tangible Equity for the full year. The Gateway technology modernisation programme is progressing as planned, and credit quality remains strong. The Group has a provision of £3.0 million for FCA motor finance compensation schemes, which remains unchanged. All financial guidance for 2026 and 2027 is unchanged. Disclaimer*
About this update from Vanquis Banking Group Plc
Vanquis Banking Group first quarter 2026 trading statement "Continued delivery" London - 6 May 2026 - Vanquis Banking Group plc ('the Group' or 'Vanquis'), today published its first quarter trading statement for the three months to 31 March 2026. Ian McLaughlin, Chief Executive Officer, commented: "In the first quarter of 2026, we continued to build scale, with gross customer interest-earning balances increasing 4%. Margins remained resilient, with the trajectory in line with our expectations, and the Group delivered a statutory profit, demonstrating sustained momentum. We remain on track to deliver a low double-digit statutory Return on Tangible Equity (ROTE) for the full year. The benefits of our transformation are increasingly evident in our performance, efficiency and customer proposition. We continue to maintain strong cost discipline, while Gateway, our technology modernisation programme, remains on course for completion in 2026. Credit quality remains strong, with customers continuing to demonstrate financial resilience. Against an uncertain external backdrop, we remain focused on delivering sustainable, profitable growth for all stakeholders." Key metrics Three months ending (£m) 31 Mar 26 31 Dec 25 QoQ % Change 31 Mar 25 YoY % Change Gross customer interest-earning balances1 2,932 2,824 4% 2,313 27% Net receivables 2,802 2,691 4% 2,176 29% Net interest margin (NIM)2 15.6% 16.1% (0.5) 17.8% (2.2) Risk adjusted margin (RAM)3 9.4% 9.4% - 13.2% (3.8) Common Equity Tier 1 (CET1) capital ratio4 15.9% 16.5% (0.6) 19.0% (3.1) Financial highlights · Gross customer interest earning balances grew 4% in the quarter and 27% year-on-year to £2,932m. o Credit Card balances increased for the fourth consecutive quarter, driven by higher utilisation, strong retention and continued new customer growth. As expected, growth was lower than in 2025. o Vehicle Finance balances were in line with expectations and are forecast to reduce in 1H26, reflecting disciplined portfolio management ahead of the launch of the new onboarding and servicing platform under the Gateway transformation. o Second Charge Mortgage balances continued to grow at a steady rate, reaching c.£680m at 31 March 2026. · Net receivables increased 4% in the quarter and 29% year-on-year to £...
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