Disclaimer: All Stats and Figures provided were accurate at time of publication, please consult current FCSC figures for the latest information.

In late 2023, Metro Bank successfully secured a £925 million rescue package following a period of significant financial instability.

This stabilization effort included £325 million in new funding and the refinancing of £600 million in debt. Its biggest shareholder is now Colombian billionaire Jaime Gilinski Bacal, who invested £102m via his Spaldy Investments company, to increase his stake to 53%.

The package was vital to shoring up the bank’s finances after a period of heightened concern, during which the Bank of England reportedly approached larger institutions to gauge interest in an acquisition as deposit outflows began to accelerate in advance of the capital injection.

Metro Bank still 'very expensive'

More trouble could lay ahead for Metro Bank according to Simon Samuels, former managing director at Barclays and Citi, who told the BBC the lender still had to address the "fundamental challenges" of its operating model. He said maintaining so many high street branches was a "very expensive" strategy.

Metro burst onto the scene in 2010 becoming the first new bank to open a branch in the UK in more than 100 years. It promised to be a 'challenger' bank to the main high street names, saying it would keep branches open seven days a week, with longer operating hours.

It has fee-free accounts and offers perks such as free wifi and refreshments in-branch, as well as instant debit card printing so new customers can start using its services straight away.

Mr Samuels said: "Essentially, Metro finds itself with an unsustainable cost base."

He believes Metro's bricks and mortar strategy has "little chance" of success in the long term, and thinks it could end up being bought out by a larger group.

While Metro Bank has grown its base to approximately 3.1 million customers with total deposits reaching £15.6 billion, its physical infrastructure remains a costly endeavor. The bank currently operates 76 UK 'stores,' which continue to drive higher overheads compared to digital-only rivals - a primary factor behind the ongoing cost-efficiency programs and the broader industry trend of high-street branch closures.

Metro Bank mortgage

Following the rescue package announcement, Metro said it will cut costs by £30m a year from 2025.

It will also sell off about £3bn in residential mortgages - about 40% of its total.

This has not yet been secured so there is no change to mortgage holders at the moment. If Metro does sell off its mortgages, some customers might see their loans managed by another lender in future.

However, regulations mean mortgage conditions, such as the interest rate and loan duration, would remain the same.

Metro Bank - is my money safe?

At the time, Metro Bank said customers' money was safe. Metro Bank is regulated in the UK and customer deposits are protected by the Financial Services Compensation Scheme (FSCS). At the time of the Metro Bank rescue package in October 2023, the FSCS limit was £85,000 per person, per authorised institution.

The FSCS limit has since increased. As of December 2025, eligible deposits are protected up to £120,000 per person, per authorised institution. For joint accounts, the limit is £240,000. For full current details, see fscs.org.uk.

Mr Gilinski Bacal said: "I have been an active investor in Metro Bank since 2019. The opportunity to become the bank's major shareholder is driven by my belief in the need for physical and digital banking underpinned by a focus on exceptional customer service."

The Prudential Regulation Authority, which had reportedly been looking for a buyer for Metro Bank, said: "The Prudential Regulation Authority welcomes the steps taken by Metro Bank to strengthen its capital position."

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