Financial Support Consultant

OSB Group shares slide as funding costs force guidance cut. OSB Group (LON: OSB), the specialist buy-to-let and residential mortgage lender, saw its shares fall sharply after it cut its 2026 profitability guidance alongside half-year results. The specialist lender reported profit before tax of £187.2m for the first half, down 3% from £192.3m a year earlier. Shares closed at 507p yesterday, down 10.9% from Wednesday's close of 569p. That leaves the stock close to its 52-week low of 466.8p, and well below the 52-week high of 618.6p reached earlier in the period. Management pointed to persistently elevated retail funding costs, which have made deposits more expensive relative to SONIA, the sterling benchmark rate. That pressure pushed the loan loss ratio up to 12 basis points from 2 basis points a year earlier, as the impairment charge rose to £15.8m from £2.0m. Outgoing group chief executive Andy Golding said: "We have made the conservative assumption that these pressures will not ease, if that is the case, we now expect net interest margin for 2026 to be 215bps to 220bps." That marks a cut from prior guidance of circa 225bps, after net interest margin, the spread between lending and funding rates, fell to 223bps in the first half from 230bps a year earlier. The board also lowered its 2026 return on tangible equity guidance to c.12.5%, down from a previous "low teens" target. The lender's net loan book still grew 1.3% to £26.3bn, with total originations up 10% to £2.3bn, while the interim dividend rose 5% to 11.8p per share. The scale of the reaction shows how sensitive challenger-bank valuations are to forward margin signals, even where headline profit and dividend growth hold up. The guidance cut was disclosed alongside news that Golding will step down as chief executive at the end of August. The CET1 capital ratio, a measure of core capital strength, stood at 15.2% at the end of June, down from 15.8% at the end of last year, giving some sense of the balance sheet cushion behind the reduced profitability outlook. Team Member The AskTraders Analyst Team features experts in technical and fundamental analysis, as well as traders specializing in stocks, forex, and cryptocurrency.

Somo strengthens Midlands and East Anglia presence with another relationship director appointment. Somo has appointed Dhiraj "Sunny" Dhanda as relationship director, further strengthening its regional presence across the Midlands and East Anglia. Dhanda joins from OSB Group, where he was a business development manager supporting the Precise and Reliance brands. He brings over 13 years' experience in the mortgage sector, including seven years in specialist lending and intermediary-facing business development. Commenting on the appointment, Dhanda said: "I'm delighted to be joining Somo and supporting brokers across the Midlands and East Anglia. What really stood out to me was Somo's ambition - not just in its product offering, but in its constant focus on improving the broker experience. I value honesty, clear communication and a forward-thinking approach, and nothing is more rewarding than helping brokers get deals over the line and knowing I've made a real difference."

Interview: Hollands' enhanced OSB role will aid a 'cohesive' structure for brokers. June 16, 2026 Emily Hollands (pictured), recently appointed group head of intermediary sales and distribution at OSB Group, said her new role would bring the two functions together and enact a more efficient, clearer process. In conversation with Specialist Lending Solutions, Hollands said it was the first time OSB Group had a "fully aligned" sales and distribution team across key relationship managers, field- and office-based business development managers (BDMs), and operations. She said this facilitated "stronger broker relationships", with everyone focused on the same goals, and "everybody knows what everyone else is doing, and it means you have a more successful team" that worked harmoniously. Clarity and an enhanced process for brokers. "I think this is a key point from a business and relationship perspective, brokers can now expect a clear chain of command, clear ownership and responsibility over relationships, and more efficient communication," said Hollands. This will enable brokers to know who to go to for each case and be reassured that any queries are escalated and handled in the right way, while providing more support through dedicated business development managers (BDMs), a key relationship manager and a "direct line of sight into the operations teams", Hollands added. Hollands' new role is an "enhancement" of her previous role within OSB Group, she said, as it broadens her responsibilities beyond distribution and networks to include sales. "It means my senior team will work together more closely; they will know what each other is doing, which will trickle down to the BDMs and the other broker support teams. "It's a more cohesive structure that removes any silo working and means we can operate more efficiently," Hollands said. While OSB Group has refined its approach, Hollands said brokers would continue to receive the same level of expertise from its team delivered through a "more joined-up approach" and removing some of the bureaucracy. Tuned in to broker needs. She added that brokers were increasingly expecting this type of structure from lenders, as the market diversified and brokers no longer focused solely on residential or buy-to-let (BTL) business, while also "merging with the addition of further specialisms like commercial, bridging and the like," she said. It is a lender's responsibility to figure out what works best and challenge the status quo, "which I think is what we've done here", Hollands added, continuing: "By aligning it, that's different to what we've done before, but it will work better". Hollands' new role aligns with the OSB Group's wider transformation, including the launch of its BTL brand Rely and the retirement of its specialist residential outfit Kent Reliance last year, as well as onboarding operations onto a new technology platform. She said that previously, different teams may not have known what the other was doing, even though they may be working towards the same outcome. "Now, we are all involved in the transformation programme, and what my head of sales is doing, my key relationship manager knows, whereas that might not have happened before," Hollands added. Ready for the next step. Before her role change, Hollands said she had been carrying out similar duties as group head of distribution for some time, which coincided with her starting a family. Having a young family made it difficult for Hollands to consider her career and the next steps, she said, and it took some time to adjust to balancing her personal and professional life. With 25 years of experience behind her, Hollands felt it was good that she could step back, focus on her family and return to advance her career. "I feel like I'm out of that and can now refocus on what I want from my career. I've been with OSB for a long time; it makes sense to build my career within OSB," she added, saying it was fine to decide to settle in a role for some time before continuing with professional progress. Looking ahead to the next 12-18 months, Hollands will seek future opportunities within the group, with expectations for the transformation and new CEO to bring new opportunities and challenges. She said: "I'm excited about the journey that the business is going on, and I want to be part of it." Hollands said the new role came at the right time when she felt ready to progress in her career. Always striving for success. Hollands said OSB Group has always been known as "the best specialist lender", and her promotion, along with the transformation, solidified that. People often come into the market aiming to compete for market share, but "experience always wins, that's what we've got in abundance," Hollands added. "Not just me, but the entire sales team," she said. The change reinforces OSB Group's commitment to intermediaries, Hollands added, especially at a time when the market seemed uncertain. In response to the question of how OSB Group maintained its position and did not become complacent, Hollands said the worst mistake a leader could make was to not listen to their people and not accept that some will know more than they do. She added: "My job, as a leader, is giving them the platform to communicate that and giving them the tools to find solutions. "It doesn't matter what level you are at, when you're happy to accept those opinions and views, that's when you don't stand still."