Loans and advances also grew, climbing more than 9% to £640 million, whilst total income increased to £31.5m from £30.3m the previous year.

Profit before tax came in at £7m, slightly below the £8.2m recorded in 2024, a result the bank attributes to organisational change, strategic investment, and earlier-than-forecast reductions in Bank of England base rates. Adjusting for these factors, management believes underlying profitability would have exceeded the prior year. Having paid its first full dividend in 2025, the bank has proposed a 5% increase for 2026.

The results coincide with the bank’s tenth anniversary and a period of considerable expansion. A new base covering the North and Midlands was opened in Manchester, and the bank relocated to new offices in both Edinburgh and London. Senior appointments were also made, with Angela Dowd joining as chief operating officer and Greig Townsend as chief banking officer.

The bank’s client base grew by over 7% to nearly 6,500, supported by a retention rate of over 99% and a Net Promoter Score of 79 – among the highest in the UK private banking sector. Both figures reflect the dedication of 162 colleagues across the UK, working to deliver an exceptional client experience.

Hampden Bank’s CEO Tracey Davidson said: “Our strategy sets out a vision for a sustainable, growing private bank, recognised for the quality of its client relationships, the strength of its risk management, and the professionalism of its people, all of which are vital to deliver on our strategic ambition to generate in excess of £20m of annual profit before tax by 2030.”

“In a market increasingly shaped by commoditisation and digitisation, we continue to believe in the value of a personal relationship-led approach to private banking, one where technology enhances rather than replaces the human experience. Our new team covering the North and Midlands demonstrates our belief that clients value connecting in person, and this new base enables us to expand the bank outside our existing locations of Scotland and the South of England.”

Ms Davidson added: “Whilst economic and geopolitical uncertainties are likely to persist, the bank enters its next phase of growth from a position of strength. We have a clear strategic direction, a resilient business model, a growing and loyal client base, and a committed team of talented colleagues.”

David Huntley, who became chair of Hampden Bank in September, replacing Simon Miller on his retirement, said: “The year witnessed several important milestones, including the bank’s first decade in business, surpassing £1bn in deposits, expansion into the North and Midlands with the addition of a new banking team and significant new office upgrades in both Edinburgh and London.”

Mr Huntley added: “Our chief executive officer Tracey Davidson completed her first full year in post, leading a review of the bank’s strategy, investing in the executive team, and driving numerous transformational projects. The board is confident that the bank’s strategic direction and pace of delivery position it well for success in a fast-changing market.”