Secure Trust Bank PLC on Thursday cut its full-year payout, as impairment charges surged.

The company also said Chair Michael Forsyth plans to step down at the company’s annual general meeting in 2024.

The Solihull, England-based savings accounts and lending services provider reported pretax profit of £44.0 million in 2022, down 21% from £56.0 million a year earlier.

However, net interest income rose by 12% to £152.6 million from £136.2 million.

The company explained that net impairment charges rose considerably to £38.2 million from £5.0 million.

Secure Trust Bank declared a final dividend of 29.1 pence per share. This brings the 2022 dividend to 45.1p, 26% lower from 61.1p a year ago.

Looking ahead, Secure Trust Bank said: ‘The group continues to invest in new products and consider strategic acquisitions to complement our four core businesses. With a diversified and resilient business model, agility and strong capital and liquidity positions the group is well placed to weather uncertain market conditions and deliver its medium-term targets and sustainable long-term growth.’

In a separate statement, Secure Trust Bank said its Chair Forsyth will step down at its 2024 AGM.

When Forsyth steps down, he would have spent ten years on the board.

Forsyth joined Secure Trust Bank as an independent non-executive director in March 2014 and was appointed chair in October 2016.

Forsyth is a member of the House of Lords. He was secretary of state for Scotland from 1995 to 1997.

Secure Trust Bank said it has commenced a process for the appointment of a successor.

Shares in Secure Trust Bank were up 1.2% at 672.00 pence each in London late on Thursday afternoon.

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