Manx Financial Group, the holding company providing a range of diversified financial services to the Isle of Man and the UK, said today (16 October) its wholly owned banking subsidiary, Conister Bank obtained authorisation from the Prudential Regulation Authority and consent from the Financial Conduct Authority in the United Kingdom to accept deposits.
This is the first time an Isle of Man bank has been approved for UK Branch deposit-taking licence, it said in a statement.
Conister already has an Isle of Man Class 1(1) Deposit Taking licence issued by the Isle of Man Financial Services Authority and is regulated by the FCA for the provision of consumer credit lending in the UK.
Conister's branch application required PRA, FCA FSA's consent, the group said, adding that receiving authorisation not only allows Conister to grow its balance sheet substantially through a mixture of UK deposits and wholesale funding, but it is also the first time an Isle of Man bank has been authorised in the UK to accept deposits.
Douglas Grant, the group's CEO said: "Obtaining PRA authorisation for our UK branch to accept deposits not only serves as validation of our growth strategy by both our principal regulator and the UK regulators, but it also marks a significant milestone in the Group's evolution.
"Authorisation will provide Conister with access to UK deposits, supplementing liquidity received from its loyal Isle of Man depositors. We will deploy this additional liquidity to build on our reported record lending in the first half of this year as we expect to lend a record £0.4 billion this year."
Conister already holds an Isle of Man deposit-taking licence and is authorised and regulated by the Financial Conduct Authority to undertake consumer credit lending in the UK.
Receiving PRA authorisation "allows Conister to grow its balance sheet substantially over the next five years through a mixture of UK deposits and wholesale funding".
Conister recently opened an office in Basingstoke, Hampshire, with divisions dedicated to Deposit-Taking, Structured Finance and Asset Finance. Thee group further said it is anticipated that further jobs will be created over the coming years, in line with Conister's expansion programme.
Manx Financial Group PLC is an AIM-listed company. It is the holding company providing a range of diversified financial services to customers in both the Isle of Man and the UK, covering sectors include banking services, payment solutions, foreign exchange, money saving solutions, wealth management, general insurance, and life insurance through its subsidiaries Conister Bank, Conister Finance & Leasing, Edgewater Associates, Manx Collections, MFX, Blue Star Business Solutions, The Business Lending Exchange, Payment Assist and Ninkasi Rentals & Finance.
The Group said it "is well positioned both to continue growing organically in this currently challenging market, and to seek acquisitions to gain strategically greater share in markets that have historically demonstrated commercial resilience".
