Vida Group Holdings Limited (Vida) announced its interim financial results for the first six months of 2025 on Tuesday, October 14. The Group reported strong financial performance, improved funding strength, and further de-risking during this period.
During the first half of 2025, Vida reported a profit before tax of £10.7 million, a significant increase from £1.9 million in the same period in 2024. This also exceeded the full-year 2024 profit of £3.6 million. The Group also saw a 111% year-on-year increase in gross mortgage lending, reaching £348 million compared to £165 million in H1 2024.
Vida’s net interest margin also improved to 2.13% in H1 2025 from 1.73% in H1 2024. The operating income for the Group was £30.8 million, a substantial increase from £18.6 million in H1 2024. Administrative expenses also saw a slight increase to £19.4 million from £16.7 million in the previous year. However, Vida’s cost-to-income ratio improved to 63% in H1 2025 from 91% in H1 2024.
One of the key highlights for Vida in the first half of 2025 was the £1.1 billion in retail deposit net inflows. This transformed the Group’s funding base, reducing its dependence on wholesale funding and asset encumbrance. The average cost of funds also decreased to 1.05% over SONIA compared to 1.46% in 2024.
Vida also saw a significant increase in gross mortgage lending, reaching £348 million in H1 2025 from £165 million in H1 2024. This was supported by an additional £128 million in retention lending. The Group also completed a £250 million securitisation (London Bridge Mortgages 2025-1), which allowed for capital gains and improved balance-sheet flexibility.
Despite higher investments in growth and technology, Vida’s operating efficiency improved, resulting in a stronger cost-to-income ratio. The Group’s credit quality remained stable, and provisions increased modestly as a result of prudent risk management. Liquidity remained robust with a High-Quality Liquid Assets (HQLA) balance of £758 million in H1 2025 compared to £220 million in H1 2024. Stress testing also confirmed Vida’s strong resilience across adverse scenarios.
Looking ahead, the Board of Vida expects to maintain its momentum in deposits, diversified funding, and disciplined lending growth. The Group’s key priorities include expanding its retail deposit franchise and optimizing product mix, scaling mortgage origination while maintaining risk discipline, maintaining a wholesale funding presence through selective securitisations, driving cost efficiency and digital delivery, and maintaining strong liquidity and capital resilience.
Anth Mooney, Chief Executive Officer of Vida, expressed his confidence in the Group’s performance, stating, “This was a strong first half for Vida, reflecting the benefits of our new banking licence, a more diversified funding base, and continued operational discipline.” He also added that the Group’s strategy of disciplined growth is delivering results, and they are well positioned to build on this success in 2026.
Derick is an experienced reporter having held multiple senior roles for large publishers across Europe. Specialist subjects include small business and financial emerging markets.