Virgin and Skipton see mortgage volumes rocket

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Virgin Money and Skipton Building Society have both significantly increased mortgage lending in the first half of the year.

Virgin lent £3.6bn in H1, a 44 per cent increase on H1 2014, while Skipton increased lending 31 per cent year-on-year to £1.9bn.

This gave Virgin and Skipton market shares of 3.7 per cent and 1.9 per cent, respectively, at the end of June.

Virgin’s average LTV was 66.9 per cent while Skipton’s was 66 per cent in the first half of the year.

Virgin Money made a profit of £55m in the first half of the year, up from £6.7m in the same period a year earlier. Its income increased from £213.5m to £254.4m over the same period.

Skipton reported a profit of £72.1m for the first half of the year, compared with £90m a year earlier. It blames increased costs and impairment provisions for its mortgage and savings division for the reduced profitability.