Ulster Bank chief executive Gerry Mallon to resign

Bank has been heavily criticised over progress in dealing with tracker scandal

Ulster Bank chief executive Gerry Mallon said his decision to accept the position as head of Tesco Bank in the UK had been an “enormously difficult one”.

Ulster Bank chief executive Gerry Mallon said his decision to accept the position as head of Tesco Bank in the UK had been an “enormously difficult one”.

 

Ulster Bank chief executive Gerry Mallon is to resign, the bank announced on Wednesday.

It’s understood Mr Mallon will take up a new position as head of Tesco Bank in the UK. It will be the middle of this year before Ulster Bank sources a replacement, and Mr Mallon will remain in his role during that process.

Ulster Bank has been heavily criticised by members of the Oireachtas finance committee for the progress it has made in compensating customers affected by the tracker mortgage scandal.

The bank has said it would not be able to complete the process for all of its 3,500 cases until the end of June. Central Bank officials told the committee it could not compel the bank to move more quickly, due to the systems with which it is operating.

During an appearance before the committee, Mr Mallon also “unequivocally” apologised on behalf of his institution.

Ulster Bank said on Wednesday Mr Mallon had informed the board of his intention to resign to “take up a new opportunity outside the bank”.

‘Significant contribution’

Les Matheson, the chief executive of personal and business banking with Royal Bank of Scotland, which is Ulster Bank’s parent, said Mr Mallon had made a “significant contribution to the continued turnaround” of the bank since joining in 2016.

“The balance sheet is stronger, costs are down and our customer service scores continue to improve,” he said.

“Under Gerry’s tenure Ulster Bank has also continued to make progress in supporting our personal and business customers in Ireland with strong growth in new lending. I wish Gerry all the best in his new role.”

Ulster Bank Ireland DAC chairman Des O’Shea said: “On behalf of Ulster Bank, I would like to thank Gerry for his contribution at an important time for the bank and for working tirelessly on progressing our strategy. Gerry will remain in place until mid year to manage the transition with our board and the Ulster Bank executive committee.”

Mr Mallon said his decision to accept the role with Tesco Bank had been an “enormously difficult one” but that it also represented an “excellent opportunity” for him and his family.

“I am grateful to the board, executive and staff of Ulster Bank for their unstinting support to me as chief executive and I wish them and the broader group every success for the future,” he said.

Mr Mallon joined Ulster Bank as chief executive in June 2016. He previously held the role of chief executive of Danske Bank in Northern Ireland. Prior to joining Danske he held a number of senior positions at Bank of Ireland.

Mr Mallon is also a former president of the Institute of Banking, and has completed six years as pro-chancellor and chairman of the Council of the University of Ulster. He is also a board member and chairman of the Irish Football Association.