Starling Group today published its financial results for the twelve months ending 31 March 2025 (FY25), showing strong growth in revenue, customer numbers and deposits. This performance positions the Group well as it prepares to launch new retail and SME banking propositions, announce more international Engine by Starling clients, and create more than a thousand jobs.

FY25 Highlights:

• Revenue rose to £714 million, up from £682 million the previous year, demonstrating a continued robust performance across all business lines.
• Customer deposits reached a record £12.1 billion, up from £11.0 billion the previous year, demonstrating growing confidence in the bank and its services.
• Open accounts reached a new high of 4.6 million, a 10% increase from 4.2 million in the prior year, indicating continued customer acquisition success.
• Profit before tax decreased to £223 million as the Group recognised one-off costs relating to two legacy matters. Underlying profit before tax was £281million.
• The Group’s capital surplus has grown by 40% to over £400 million.

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Raman Bhatia, Group Chief Executive, said: “These results represent an important milestone, marking the Group’s fourth consecutive year of profitability and revenue growth. This performance derives from our commitment to providing customers with innovative banking solutions and exceptional service. We are particularly pleased with Starling Bank’s success in attracting new customers, as evidenced by the continued growth in our deposit base and open accounts.”

“In the last year we demonstrated our commitment to addressing legacy matters, investing in our people and capabilities so we now move forward from a position of strength. We will leverage our robust capital position to continue to scale our growth in the UK by helping our customers become better with money. We will also make great strides in turning Engine by Starling into a global success.”

Declan Ferguson, Group Chief Financial Officer, added: “The Group generated an underlying profit before tax of £281 million. Our revised capital requirements were communicated in April, taking our total surplus capital to more than £400 million in excess of our buffers; a 40% increase on last year. In the coming months, we’ll be deploying this capital across Starling Bank, Engine and other international ventures to fuel our growth.”

Group company contributions

During the year, Starling Bank continued to innovate with new features, such as ‘call status indicators,’ which help customers spot bank impersonation scams, and low balance warnings when a customer’s main balance drops below a pre-set threshold. The bank also launched its Easy Saver, which offers a competitive interest rate payable on balances up to £1 million, with penalty-free access and full integration into the Starling app.

Engine's first Software-as-a-Service clients, Salt Bank in Romania and AMP Bank in Australia, launched their digital banking platforms during the year, contributing £8.7m (2024: £2.3m) to the Group’s fee income. Engine is building a strong pipeline that could see it achieve recurring revenues in excess of £100 million in the short to medium term.

Fleet, the Group’s buy-to-let mortgage company, continues to be a successful acquisition. Fleet’s lending grew by 33%, or £0.8 billion, reaching £3 billion. Mortgages grew to represent 90% of total gross lending, reflecting the Group's focus on a secured lending growth strategy. We continue our mission to be the lender of choice in the specialist buy-to-let market.

Overall, net fees and commissions, including fees from Engine, grew by 12% year-on-year to £94.8 million, underscoring the Group’s strategy of diversifying its sources of revenue and reducing its dependency on net interest income.

Regulatory update

As reported in October, the bank settled a £29.0 million fine from the FCA relating to the onboarding of certain high-risk customers in contravention of agreed restrictions and sanctions screening processes. Through extensive investment in resources and expertise relating to financial crime, Starling Bank has an established risk management and control framework that will support a new phase of safe, sustainable growth.

The bank also recognised a £28.2 million provision related to the voluntary removal of the government guarantee on a limited number of loans issued under the Bounce Back Loan Scheme (BBLS), which the bank determined may not comply with the guarantee requirement. This proactive step further evidences Starling's commitment to addressing legacy matters.

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