Manchester-based Co-operative Bank has reported profit before tax of £132.6 million for 2022, an increase of £101.5 million.

Total income, which includes net interest income and other operating income, increased 38% to £499.4 million.

Net interest income increased by 41% to £458.3 million “reflecting improving deposit margins following increases in the base rate to 3.5%.”

Co-operative Bank CEO Nick Slape said: “I am extremely proud of what we have achieved during our 150th year.

“The bank has not only delivered a significant improvement in profitability to £132.6m (FY 21: £31.1m), but has also achieved several notable milestones, such as the successful issuance of £250m of senior unsecured debt in March 2022, full compliance with its capital requirements including all buffers one year ahead of plan and the de-risking of the Pace defined benefit pension scheme.

“Our IT simplification programme is progressing well with the successful launch of two new savings products, with the final one due to launch in Q1, which will complete the re-platforming of the savings books.

“We will fully in-house our mortgage servicing capabilities by the first quarter of this year.

“While the macro-economic environment remains challenging, we continue to work hard to ensure that both our customers and colleagues feel supported.

“Looking to the future, we are focussed on delivering both growth and attractive, sustainable returns for our shareholders.

“Our capital position gives us the scope for optimisation as well as continued investment in our group and returns of capital to shareholders.”