Metro Bank Swings Back to Profit Amid Cost Cuts and Lending Drive
Metro Bank is back in the black. The high street lender, known for its once-unconventional seven-day service model, has reported a return to profit in the first half of 2025. The dramatic shift comes after a focused strategy of cost-cutting and a sharp increase in business lending.
The London-listed bank posted a statutory pre-tax profit of £43.1 million, a major leap from the £33.5 million loss it registered during the same period last year.
It didn’t happen by chance. Behind the numbers lies a major overhaul. The bank slashed operating costs by 8% year-on-year. It trimmed its headcount by around 30%, reducing its workforce to approximately 2,500 employees nationwide.
That’s not all, the bank also scaled back its once-famous seven-day-a-week branch service, a standout feature when Metro Bank launched in 2010 as the first new high street bank in the UK in over a century.
Still, with 76 branches, which Metro refers to as “stores,” the bank maintains the longest opening hours of any high street lender in the country.
Chief Executive Daniel Frumkin signalled the end of drastic cost-cutting measures. “We don’t have any plans for any further major restructures or any further real cost-cutting … we’ve done all of the heavy lifting,” he confirmed.
The cost-saving efforts were matched by bold moves on the lending front. Metro Bank doubled new lending to businesses, corporate, commercial, and SMEs, hitting a record £1 billion over the period. The push aligns with the bank’s sharpened focus on specialist lending.
Last year’s £925 million funding package played a key role in securing the bank’s place on UK high streets. That package was spearheaded by Colombian billionaire Jaime Gilinski Bacal, who became the bank’s majority shareholder through Spaldy Investments.
Frumkin acknowledged Gilinski Bacal’s ongoing commitment: “Mr Gilinski Bacal is still engaged in the business and he is committed to making sure Metro continues to deliver on its plans going forward.”
Reflecting on the milestone, Frumkin added: “Metro Bank’s strong performance in the first half of the year reflects the successful execution of our strategy and decisive actions we have taken.
As we celebrate our 15-year anniversary, our unique relationship-led model, specialist lending expertise, and expanding store network allow us to support customers, communities and help businesses to grow. This differentiates Metro Bank and fuels our growth.”
With a refreshed strategy and firm financial footing, Metro Bank appears to be turning a corner, one shaped by bold decisions, tighter operations, and a renewed commitment to serving Britain’s businesses.
