Shawbrook lifts capital and sets ambitious 2026 targets after solid first quarter

Shawbrook Group Plc ( (GB:SHAW) ) has shared an announcement.

Shawbrook Group plc reported a strong start to 2026, with its loan book rising 2.6% to £19.7 billion in the first quarter and customer deposits up 1.8% to £18.7 billion, while the cost of deposits fell to 3.71%. Asset quality remained robust with arrears at 1.7%, and capital ratios improved, supported by a £250 million AT1 issuance completed in April that would lift the total capital ratio to 16.0% had it been in place at quarter-end.

The bank set FY26 guidance targeting a loan book of about £21 billion, a cost-to-income ratio below 38% and an underlying return on tangible equity of roughly 17%, alongside plans for a maiden ordinary dividend on FY26 results. Strategic initiatives included further execution of its originate-to-distribute model, disposal of its residual interest in a major mortgage transaction, and expansion in the SME segment through ThinCats, underscoring management’s confidence in growth opportunities across its £300 billion addressable specialist markets.

The most recent analyst rating on (GB:SHAW) stock is a Buy with a £5.10 price target. To see the full list of analyst forecasts on Shawbrook Group Plc stock, see the GB:SHAW Stock Forecast page.

More about Shawbrook Group Plc

Shawbrook Group plc is a UK specialist bank focused on lending and savings products for consumers, small and medium-sized enterprises and professional real estate investors. Listed on the London Stock Exchange and a member of the FTSE 250 Index, it serves around 600,000 customers through multiple brands, combining specialist lending expertise with a technology-enabled, disciplined underwriting platform.

Average Trading Volume: 598,767

Technical Sentiment Signal: Strong Sell

Current Market Cap: £850.4M

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