The Paragon Group of Companies has announced a strategic reorganisation, which it hopes will accelerate its transformation into a diversified specialist banking institution.
As part of the reorganisation, the group intends to change its name to Paragon Banking Group PLC.
The parent company of Paragon Mortgages and Mortgage Trust will now run all its lending and operating activities – together with the majority of its loan portfolio – through Paragon Bank.
The move follows PRA and FCA approval.
Paragon said that these actions reflected the group's strategy to source the majority of its funding from the retail deposit market going forward.
The group said it was becoming a fully integrated banking business and the changes would enable the group to begin simplifying its branding over the coming weeks to make it easier for customers and intermediaries to recognise Paragon's full product range.
This would include realigning Paragon's mortgage products under the refreshed brand.
John Heron (pictured above) will continue to lead the group's mortgage business as managing director for mortgages and as an executive director at Paragon.
“This is an important milestone and a positive development for our customers and intermediaries.
“By bringing more of our business into the banking framework, we can use our capital more efficiently and simplify our operating structure enabling us to offer better products, more competitive pricing and better service going forward.”
SIGN UP TO OUR NEWSLETTER TO RECEIVE MORE NEWS LIKE THIS STORY
Temenos partners with ClearBank for cloud payments
Banking software company Temenos has formed a strategic relationship with ClearBank to provide banks with a faster route to market for real-time cloud payments...
Unity Trust Bank registers 34% rise in profits
Unity Trust Bank increased profits by 34% in 2019...
Believe the hype – why explainable AI is a trend that’s here to stay
Technology has become a ubiquitous part of our day-to-day lives...
Piloting tech updates: ‘The bigger the bank, the harder it is to get anything done’
In the latest Medianett filmed roundtable session, we discussed how important technology is in the banking space, and what impact the industry expects it to have on its businesses in the future...
What banks need to know about cloud security
One of the most common perceived concerns when adopting the cloud is the issue of security...
OakNorth sees 95% increase in pre-tax profits
OakNorth Bank has announced a 95% rise in pre-tax profits in 2019 to £65.9m, up from the £33.9m recorded in 2018...
Redwood Bank signs up to Women in Finance Charter
Redwood Bank has announced that it has signed up to the Women in Finance (WIF) Charter...
Masthaven launches digital Women in Leadership programme
Masthaven Bank has launched a new Women in Leadership digital development programme for female senior leaders...
Protecting against supply chain disruption and the domino effect
Disappointingly, many UK SME business owners don’t understand their supply chains...
Confused about which Isa to choose? Hopefully this mini-guide will help…
We are now firmly in Isa season, so you’re likely to read multiple articles about the most competitive Isa products in the market and how best to make the most of your Isa allowance before the end of the tax year...
Garden shed entrepreneurs contribute £16.6bn to the UK economy
Entrepreneurs who run their businesses from garden sheds contribute £16.6bn annually to the UK economy, according to a recent study...