Tesco ‘considering sale’ of Tesco Bank, according to reports
Tesco is considering selling Tesco Bank, according to Sky News which has reported that the supermarket giant has started a review process for its banking arm.
The review is at a very early stage, according to insiders, and may not lead to a formal sale process. A partial sale or joint venture may also be considered.
Tesco is potentially bringing in Goldman Sachs to advise on Tesco Bank’s future, according to the report.
Sky News confirmed that there is no suggestion there will be job-losses or any form of wind down.
Tesco Bank was launched in 1997. It has more than five million customers across its banking and insurance business and currently employs around 3,800 people. The lender stopped offering mortgages through its bank in 2019 after seven years.
In the first half of 2023, Tesco Bank recorded an adjusted operating profit of £67m, down 6.9 per cent on the year before. Revenue was up 24 per cent year on year.
