Secure Trust Bank Regulatory News (STB)

PRESS RELEASE

Secure Trust Bank PLC

LEI: 213800CXIBLC2TMIGI76

12 May 2021

For immediate release

SECURE TRUST BANK PLC

2021 Annual General Meeting Trading Update

Following the Annual General Meeting of Secure Trust Bank PLC (the 'Bank' or 'STB' or 'Group') held earlier today, the Board of STB provides the following update on trading for Quarter 1, 2021.

Highlights

New Business

Total new business lending increased by 2.4% in the quarter and 7.1% compared to Q1 2020. Volumes reflected a combination of lower activity due to the continuation of lockdowns and the commencement of a phased return to pre-pandemic lending criteria in Motor Finance.

Lending

The loan book contracted by 1%. Business Finance and Consumer Finance combined lending remained static, with the reduction predominately a result of the amortisation of the closed Asset Finance and Consumer Mortgage books. Credit performance remained benign.

Deposits

Customer deposits continue to be managed in line with funding requirements and effective management of the product mix contributed to a further reduction in the cost of funds.

David McCreadie, Chief Executive Officer:

"New business lending grew in the first quarter despite the continuation of the national lockdown suppressing the rate of growth. Our operational and financial performance remained strong, continuing the momentum seen at the end of last year. The progress of the UK vaccination rollout provides confidence that activity levels across the Group's businesses will increase as the year progresses. An improvement in volume was already evident during April when restrictions started to ease. With improved funding costs we are confident in our ability to support our customers and grow our lending through the year."

-ENDS-

Enquiries:

Secure Trust Bank PLC

David McCreadie, Chief Executive Officer

Rachel Lawrence, Chief Financial Officer

Tel: 0121 693 9100

Stifel Nicolaus Europe Limited, (Joint Broker)

Robin Mann

Gareth Hunt

Stewart Wallace

Tel: 020 7710 7600

Canaccord Genuity Limited (Joint Broker)

Emma Gabriel

Tel: 020 7523 8000

Tulchan Communications

Tom Murray

Sheebani Chothani

Tel: 020 7353 4200

Forward looking statements

This document contains forward looking statements with respect to the business, strategy and plans of Secure Trust Bank PLC ("Secure Trust Bank", "STB" or the "Group") and its current goals and expectations relating to its future financial condition and performance. Statements that are not historical facts, including statements about Secure Trust Bank 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 on circumstances that will occur in the future. Secure Trust Bank's actual future results may differ materially from the results expressed or implied in these forward looking statements as a result of a variety of factors. These include UK domestic and global economic and business conditions, risks concerning borrower credit quality, market related risks including interest rate risk, inherent risks regarding market conditions and similar contingencies outside Secure Trust Bank's control, any adverse experience in inherent operational risks, any unexpected developments in regulation or regulatory and other factors. The forward looking statements contained in this document are made as of the date hereof, and Secure Trust Bank undertakes no obligation to update any of its forward looking statements.

About the Company:

Secure Trust Bank is an established, well‐funded and capitalised UK retail bank with a 68 year trading track record. Secure Trust Bank operates principally from its head office in Solihull, West Midlands, and had 972 employees (full‐ time equivalent) as at 31 December 2020. The Group's diversified lending portfolio currently focuses on two sectors:

(i) Business Finance through its Real Estate Finance, Asset Finance and Commercial Finance divisions,

(ii) (ii) Consumer Finance through its Motor Finance, Retail Finance, Debt Collection and Consumer Mortgages divisions

As at 31 December 2020 the Group's loans and advances to customers totalled £2,358.9 million, customer deposits totalled £1,992.5 million and the Group's total customer base was well over 1.6 million.

Secure Trust Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.

Secure Trust Bank, PLC, One Arleston Way, Solihull, B90 4LH.