Abbey – Plans for SMEs looking good.

The United Kingdom’s second largest lender of mortgages, whilst gaining a firm grasp on the mortgage market, also has new plans for the small and medium sized business customers.

Due to the recent acquisition of AL&L, Abbey are claiming that they will be able to grow throughout the small and medium sized business market and will be planning on creating 20 new corporate centres around the country which they are hoping will attract a further 100,000 new SME customers.

Owned by Santander from Spain, Abbey has recently declared that they have a firm grasp on new mortgages that are popping up around the country.  Abbey are claiming that they are responsible for a quarter of all the new mortgages throughout Britain, an interesting figure considering the current economic climate.

Recession?  What recession?

The chief executive of Abbey, Antonio Horta-Osorio, has underlined the good position of the bank, despite the economic downturn.

“We were able, in a very difficult market, to improve results but also double the size of the bank with these acquisitions. I am very pleased to have done this as it was a three year objective,” said Osorio.

“We are very much continuing with the same strategy which we put in place when we bought Abbey four years ago. We have tried to deliver great value for money, and so we have had more than 500,000 new accounts, 400,000 new credit card customers and deposits up 15 per cent.”

The news should please the Federation of Small Businesses no end…

The news about Abbey’s plans to extend their small and medium sized business ventures will come as good news to SMEs around the country as the economic downturn continues to hit businesses hard.

Abbey have also commented on how they have managed to take clients and accounts due to their competitor’s misfortunes, as Osorio says, “It’s a unique opportunity for us. I do not like to comment on competitors but, in general, we are picking up some very good customers.”

Despite the economic pressure, particularly surrounding banks, Abbey are claiming that they are responsible for 28.9 per cent of the country’s mortgages through 2008 as competitors such as Northern Rock fall out of the race.

Is Abbey the way forward?

It would be a wise decision by SME owners to stick with a bank who is claiming to be so stable through a time when many banks are failing to lend, or even stay solvent.

Our Random Articles

• Small businesses plan staff cuts in early 2012
• Unemployment rise – what does this mean for small businesses?
• The Mary Portas Review
• Experts Warn Small Firms of the Need to be More Aware of IT Security Risks
• SMEs Unprepared for New Pension Reforms

More Links