Santander UK has posted pre-tax profits of £1.14bn for the first half of the year but saw statutory profit after tax drop by 51% after setting aside £731m to redress customers mis-sold payment protection insurance (PPI). Gross mortgage lending reached £9.7bn for the period, also down from £12.3bn in the corresponding timeframe in 2010. Unsecured personal lending rates were unchanged at £0.7bn.

Total impairment losses stood at £259m compared to £387m in the first half of 2010, but impairment losses on loans and advances increased by £93m as a result of the inclusion of the Perimeter companies’ impairment losses on loans and advances in the first half of 2011. The bank said the remaining decrease of £221m was largely due to mortgages and unsecured loans, with the lower mortgage charge the result of low interest rates environment, a high quality mortgage book and effective.....Read more on this story---> CLICK HERE