Mortgage lender Bradford & Bingley today reported a fall in annual profits after a hefty provision for endowment mis-selling claims, but said its lending had reached a new record, reports the Guardian .
The company set aside £89.4m in the first half of last year to cover compensation for mis-sold endowment and investment products. "The provision related to our IFA business which was closed in 2004. The rate of claims and cost of settlement continues to be within the levels assumed when we made the provision," B&B said. Pre-tax profits dropped to £246.7m last year from £263.5m the previous year, while underlying profits (excluding the charge) rose 8% to £336.1m, says the paper. The bank unveiled record net new residential lending of £5.1bn against £2.7bn in 2005, while residential len...
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