Vanquis cuts 2026 ROTE outlook to low single digits amid macro headwinds

• Vanquis cut FY26 profitability guidance, projecting low single-digit statutory ROTE, versus low double digits previously, citing weaker credit card utilisation.
• FY26 net interest margin seen at about 14.5%, down from about 15.5% previously; risk-adjusted margin forecast above 8.5%, down from above 9.5%.
• Cost:income outlook lifted to the low 50s from the high 40s, despite transformation cost savings now expected at GBP 30-35 million in 2026-2028.
• Balance growth guidance unchanged at above GBP 3.3 billion for FY26, driven by new customer acquisition, with second charge mortgages taking a higher share.
• FY27 guidance kept for balances above GBP 3.7 billion; ROTE seen in the low double digits, with mid-teens now pushed out to 2028.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Vanquis Banking Group plc published the original content used to generate this news brief on July 30, 2026, and is solely responsible for the information contained therein.