Internet bank Egg cuts losses to £4.9m

In the UK the Internet bang Egg, has made substantial in roads to the losses that they have been making.

They have seen the fortunes of the UK operation take an encouraging downturn in the amount of losses, where in the first pre-tax losses falling from £15.7 million to £4.9 million.

This has been put down to the signing up of another 148,000, new Internet banking customers, which has led to a growth in unsecured debt balances and a surge in the amount of personal loans of £563million in the same period.

Though its losses in the French business is still quite high, Egg have tightened procedure there as Egg has been put for sale, by the Prudential who are the major shareholders. But the tightening of expenditure has seen the losses fall from £23.9million to £15.8 million.

The up turn in the businesses fortunes has seen its Group operating income also take a turn to good, with it going up 26pence to £120.3 million and its loss per share went from 2.2 pence to 0.7 pence. And with £5 billion in outstanding balances on credit cards and loans, the future seems a little brighter for Egg.