Decline in earnings reported at Britain's oldest bank, C Hoare & Co.
UK's Oldest Private Bank, C Hoare & Co, Reports Lower Profits
C Hoare & Co, the world's oldest private bank based on Fleet Street, has reported a decrease in pre-tax profits for the year ending March 2025. The bank's profits dropped from £80.8 million to £63.7 million, marking a significant decline.
Despite a 5.4% increase in total customer deposits to £6.4 billion and a 6.5% rise in lending to £2.4 billion, the bank still experienced a decline in profits. This drop in profits can be attributed to a decrease in interest rates, which fell from 5.25% to 4.5% during the period, resulting in less revenue from loans.
The bank's Chairman, Lord Macpherson, a former Permanent Secretary to the Treasury, expressed uncertainty about the coming year. He stated that the UK has yet to break out of its low productivity-low growth cycle.
Contrary to speculation, there is no direct evidence from recent research or analysis linking Donald Trump's tariffs to a measurable impact on C Hoare & Co. or any significant economic effects on this bank in the UK. While US tariffs contribute to global economic uncertainty and trade dynamics, the available research does not document any particular consequences for C Hoare & Co. or pinpointed economic effects on this bank in the UK.
C Hoare & Co is a family-owned bank, with eight members of the Hoare lineage, including Venetia Hoare, as partners. The bank offers its services to some of Britain's largest landowning families.
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As the UK economy continues to evolve, it will be interesting to see how C Hoare & Co adapts and navigates the changing financial landscape.
Investing in mortgage products might have been a beneficial move for C Hoare & Co to counterbalance the decreased revenue from loans due to lower interest rates. Additionally, the bank could explore diversifying its business portfolio, considering the uncertainty in the UK's current low productivity-low growth cycle.
