Q1 Trading Update
Summary by AI BETAClose X
LEI: 213800ZBKL9BHSL2K459
Published: 30.04.2026
OSB GROUP PLC
Trading update for the first quarter to 31 March 2026
OSB GROUP PLC (the Group), the specialist lending and retail savings group, today issues its trading update for the period from 1 January 2026 to date.
The Group delivered a resilient financial performance combined with strategic progress in the first quarter of 2026. The Group continues to operate broadly in line with 2026 guidance.
Performance for the three months to 31 March 2026
| £m | 31-Mar-2026 | 31-Dec-2025 | Change |
| Net loan book | 26,153.9 | 25,920.6 | 0.9% |
| Total assets | 30,975.3 | 31,122.7 | (0.5)% |
| Retail deposits | 24,698.4 | 24,251.1 | 1.8% |
| CET1 ratio, %1 | 15.1 | 15.8 | (70)bps |
| 3 months+ arrears, % | 1.7 | 1.7 | - |
1. Unaudited and includes Q1 2026 unverified profits net of foreseeable dividend and other charges
Financial highlights: Resilient delivery in the second transition year
- Net loan book increased by 0.9% or £233m in the first three months of 2026 supported by an 11% increase in originations to £1.2bn (Q1 2025: £1.1bn) with good growth in Buy-to-Let and Residential as well as continued growth in the higher-yielding sub-segments.
- Retail deposits increased by 1.8% or £447m and the Group repaid £350m of ILTR drawings with an outstanding balance of £1.15bn at the end of March (31 December 2025: £1.5bn) in line with the Group’s liquidity requirements.
- This contributed to lower total assets as the Group optimised its liquidity portfolio in the period.
- Three months plus arrears balances remained at 1.7% with ongoing strong credit quality of the loan book in the first quarter. The Group’s IFRS 9 ECL modelled provisions increased marginally in the quarter reflecting the updated macroeconomic scenarios.
- The CET1 ratio remained robust at 15.1%, reflecting resilient financial performance in the first quarter after the £100m share repurchase programme announced in March.
- RWAs grew by 0.6% compared to a 0.9% growth in the net loan book, reflecting an increase in Buy-to-Let net loans in the quarter.
- The Group repurchased £30.2m worth of shares under the £100m share repurchase programme2 announced in March which is due to complete no later than 6 March 2027.
2. As at market close on 28 April 2026
Andy Golding, CEO of OSB GROUP PLC, said:
“The Group delivered a resilient financial performance in the first quarter of 2026 and we continue to operate broadly in line with our 2026 guidance.
The Group’s lending franchise performed as expected in the first quarter. Buy-to-Let originations under our Rely brand were strong, supported by an increase in market activity at the start of the year. We continued to tailor our specialist Residential mortgage products to the needs of our borrowers by introducing several key policy criteria and saw increased originations in the first quarter. At the end of April, our net loan book growth was in line with our expectations.
Supported by our new technology platforms, we were able to more effectively manage the impact of the rapid movements in swap rates in the first quarter. We were agile in repricing products, protecting margins and returns while ensuring we remained present in the market for our customers. Our timely actions resulted in the blended cost of new retail funding being in line with our expectations in the quarter. As set out at our 2025 full year results, our 2026 NIM guidance is partially dependent on the cost of retail funding normalising throughout the rest of the year.
We also made good progress on transformation as the programme entered its penultimate year. Final stages of testing are underway ahead of the launch of Residential mortgages on the new lending platform in the third quarter. We have continued migrating Kent Reliance easy access savings accounts and fixed rate bonds onto the new platform, extending its benefits to more of our savers. We will add ISA products onto the new platform for new Kent Reliance savers and will launch a new savings app later in the year.
Looking ahead, we are mindful of the ongoing uncertain geopolitical situation and its impact on the UK economy, the wider mortgage market and borrowers’ affordability. In response, we are carefully managing the composition and growth of our loan book, with a continued focus on protecting returns whilst ensuring that our modelled IFRS 9 ECL provisions reflect the macroeconomic scenarios as they evolve.
We are making progress through the second year of the transition period to deliver on our medium-term aspirations, with positive outcomes for our stakeholders and strong returns for our shareholders.”
Summary of 2026 guidance:
| Loan book growth | Broadly similar to 2025 |
| Net interest margin | circa 225bps |
| Administrative expenses | c.£280m3 |
| Return on tangible equity | Low teens |
| Dividend per share | 5% increase from 2025 |
3. Additional costs related to the new CEO transition and buyout are not included
Enquiries:
OSB GROUP PLC, Investor Relations Brunswick Group
Alexander Holcroft/Monika Ziober/Richard Treacher Robin Wrench/Simone Selzer
t: 01634 838 973 t: 020 7404 5959
About OSB GROUP PLC
OneSavings Bank plc (OSB) began trading as a bank on 1 February 2011 and was admitted to the main market of the London Stock Exchange in June 2014 (OSB.L). OSB joined the FTSE 250 index in June 2015. On 4 October 2019, OSB acquired Charter Court Financial Services Group plc (CCFS) and its subsidiary businesses. On 30 November 2020, OSB GROUP PLC became the listed entity and holding company for the OSB Group. The Group provides specialist lending and retail savings and is authorised by the Prudential Regulation Authority, part of the Bank of England, and regulated by the Financial Conduct Authority and Prudential Regulation Authority. The Group reports under two segments, OneSavings Bank and Charter Court Financial Services.
OneSavings Bank (OSB)
OSB primarily targets market sub-sectors that offer high growth potential and attractive risk-adjusted returns in which it can take a leading position and where it has established expertise, platforms and capabilities. These include private rented sector Buy-to-Let, commercial and semi-commercial mortgages, residential development finance and asset finance.
OSB originates mortgages organically via specialist brokers and independent financial advisers through its specialist brands including Rely and InterBay Commercial. It is differentiated through its use of highly skilled, experience-based underwriting and efficient operating model. OSB is predominantly funded by retail savings originated through the long-established Kent Reliance name, which takes deposits online and through a network of branches in the South East of England. Diversification of funding is currently provided by securitisation programmes and the Bank of England’s funding facilities.
Charter Court Financial Services Group (CCFS)
CCFS focuses on providing specialist residential and bridging lending and retail savings products. It operates through its brands: Precise and Charter Savings Bank. It is differentiated through risk management expertise and technology and systems, ensuring efficient processing, strong credit and collateral risk control and speed of product development and innovation.
CCFS is predominantly funded by retail savings originated through its Charter Savings Bank brand. Diversification of funding is currently provided by securitisation programmes and the Bank of England’s funding facilities.
Important disclaimer
This document should be read in conjunction with any other documents or announcements distributed by OSB GROUP PLC (OSBG) through the Regulatory News Service (RNS).
This document is not audited and contains certain forward-looking statements with respect to the business, strategy and plans of OSBG, its current goals, beliefs, intentions, strategies and expectations relating to its future financial condition, performance and results, and ESG ambitions, targets and commitments described herein. Such forward-looking statements include, without limitation, those preceded by, followed by or that include the words ‘targets’, ‘believes’, ‘estimates’, ‘expects’, ‘aims’, ‘intends’, ‘will’, ‘may’, ‘anticipates’, ‘projects’, ‘plans’, ‘forecasts’, ‘outlook’, ‘likely’, ‘guidance’, ‘trends’, ‘future’, ‘would’, ‘could’, ‘should’ or similar expressions or negatives thereof but are not the exclusive means of identifying such statements. Statements that are not historical or current facts, including statements about OSBG’s, its directors’ and/or management’s beliefs and expectations, are forward-looking statements. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend upon circumstances that may or may not occur in the future that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. Factors that could cause actual business, strategy, plans and/or results (including but not limited to the payment of dividends) to differ materially from the plans, objectives, expectations, estimates and intentions expressed in such forward-looking statements made by OSBG or on its behalf include, but are not limited to: general economic and business conditions in the UK and internationally, including any changes in global trade policies; market related trends and developments; fluctuations in exchange rates, stock markets, inflation, deflation, interest rates, energy prices and currencies; policies of the Bank of England, the European Central Bank and other G7 central banks; the ability to access sufficient sources of capital, liquidity and funding when required; changes to OSBG’s credit ratings; the ability to derive cost savings; changing demographic developments, and changing customer behaviour, including consumer spending, saving and borrowing habits; changes in customer preferences; changes to borrower or counterparty credit quality; instability in the global financial markets, including Eurozone instability, the potential for countries to exit the European Union (the EU) or the Eurozone, and the impact of any sovereign credit rating downgrade or other sovereign financial issues; technological changes and risks to cyber security; natural and other disasters, adverse weather and similar contingencies outside OSBG’s control; inadequate or failed internal or external processes, people and systems; fraud and other financial crime; acts of war and terrorist acts or hostility and responses to those acts; geopolitical events and diplomatic tensions; the impact of outbreaks, epidemics and pandemics or other such events; changes in laws, regulations, taxation, ESG reporting standards, accounting standards or practices, including as a result of the UK’s exit from the EU; regulatory capital or liquidity requirements and similar contingencies outside OSBG’s control; the policies and actions of governmental or regulatory authorities in the UK, the EU or elsewhere including the implementation and interpretation of key legislation and regulation; the ability to attract and retain senior management and other employees; the extent of any future impairment charges or write-downs caused by, but not limited to, depressed asset valuations, market disruptions and illiquid markets; exposure to regulatory scrutiny, legal proceedings, regulatory investigations or complaints; changes in competition and pricing environments; the inability to hedge certain risks economically; the adequacy of loss reserves; the actions of competitors, including non-bank financial services and lending companies; the success of OSBG in managing the risks of the foregoing; and other risks inherent to the industries and markets in which OSBG operates.
Accordingly, no reliance may be placed on any forward-looking statement. Neither OSBG, nor any of its directors, officers or employees provides any representation, warranty or assurance that any of these statements or forecasts will come to pass or that any forecast results will be achieved. Any forward-looking statements made in this document speak only as of the date they are made and it should not be assumed that they have been revised or updated in the light of new information of future events. Except as required by the Prudential Regulation Authority, the Financial Conduct Authority, the London Stock Exchange PLC or applicable law, including, without limitation, the UK Listing Rules, the Disclosure Guidance and Transparency Rules and UK Market Abuse Regulations, OSBG expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained in this document to reflect any change in OSBG’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. For additional information on possible risks to OSBG’s business, (which may cause actual results to differ materially from those expressed or implied in any forward-looking statement), please see the “Risk review” section in the OSBG full year results for 2025. Copies of this are available at www.osb.co.uk and on request from OSBG.
Nothing in this document or any subsequent discussion of this document constitutes or forms part of a public offer under any applicable law or an offer or the solicitation of an offer to purchase or sell any securities or financial instruments. Nor does it constitute advice or a recommendation with respect to such securities or financial instruments, or any invitation or inducement to engage in investment activity under, or financial promotion within the meaning of, section 21 of the Financial Services and Markets Act 2000. Past performance cannot be relied on as a guide to future performance. Statements about historical performance must not be construed to indicate that future performance, share price or results in any future period will necessarily match or exceed those of any prior period.
Nothing in this document is intended to be, or should be construed as, a profit forecast or estimate for any period.
In regard to any information provided by third parties, neither OSBG nor any of its directors, officers or employees explicitly or implicitly guarantees that such information is exact, up to date, accurate, comprehensive or complete. In no event shall OSBG be liable for any use by any party of, for any decision made or action taken by any party in reliance upon, or for inaccuracies or errors in, or omission from, any third-party information contained herein. Moreover, in reproducing such information by any means, OSBG may introduce any changes it deems suitable, may omit partially or completely any aspect of the information from this document, and accepts no liability whatsoever for any resulting discrepancy.
Liability arising from anything in this document shall be governed by English law, and neither OSBG nor any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this document. Nothing in this document shall exclude any liability under applicable laws that cannot be excluded in accordance with such laws.
Certain figures contained in this document, including financial information, may have been subject to rounding adjustments and foreign exchange conversions. Accordingly, in certain instances, the sum or percentage change of the numbers contained in this document may not conform exactly to the total figure given.
Non-IFRS performance measures
OSBG believes that any non-IFRS performance measures included in this document provide a more consistent basis for comparing the business' performance between financial periods, and provide more detail concerning the elements of performance which OSBG is most directly able to influence or which are relevant for an assessment of OSBG. They also reflect an important aspect of the way in which operating targets are defined and performance is monitored by the Board. However, any non-IFRS performance measures in this document are not a substitute for IFRS measures and readers should consider the IFRS measures as well. Refer to the “Alternative performance measures” section in the OSBG full year results for 2025. for further details, reconciliations and calculations of non-IFRS performance measures included throughout this document, and the most directly comparable IFRS measures. Copies of the OSBG full year results for 2025 are available at www.osb.co.uk and on request from OSBG.
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