Santander posts rise in UK profits
Oct 28 2010 By Holly Williams
HIGH street banking giant Santander reported UK profits up by a fifth in the third quarter, but its Spanish parent warned over full-year results after a bad debt blow.
The group - an increasing force in UK banking after snapping up a raft of players including Abbey and Alliance & Leicester - saw pre-tax trading profits rise 20% to £619 million in the three months to September 30 as better margins boosted performance.
But the wider Santander group was hit by new rules in Spain forcing banks to bring forward charges for loan losses in their accounts, which it said would now see 2010 profits fall short of expectations.
The move also left third quarter figures down sharply as Santander booked a 472 million euro (£413 million) bad debt provision.