Mortgage bank Alliance & Leicester has reported a 12 per cent rise in half-year profits and says it is on track to meet its target of double-digit earnings growth.
Pre-tax profits for the six months to June 30th rose to £262 million sterling from £233 million last year, at the top end of analysts' forecasts of £212 million to £265 million.
The bank, which has benefited from a booming housing market helped by record low interest rates, record employment and a housing shortage in the southeast of England, said earnings per share rose 17 per cent to 39.2 pence during the half year.
Shares in Alliance & Leicester, which have outperformed its peers by 8 per cent in the past 12 months, valuing the company at £3.86 billion.