Digital challenger bank Atom has achieved a significant financial milestone, announcing that the value of commercial mortgages on its balance sheet now exceeds £1 billion.
A Record Year for Commercial Lending
The Newcastle-based lender, which recently moved its headquarters to the Pattern Shop building in the city, described crossing the ten-figure threshold as an "important milestone". This achievement follows a period of substantial growth, with commercial mortgage balances increasing by 24% year-on-year over the past twelve months.
The final quarter of 2025 proved particularly strong, with Atom setting a new record for commercial mortgage offers. Notably, this record was secured with a full month still remaining in the quarter. The bank also completed its largest ever transaction in Scotland during this period, a deal worth almost £6 million.
Driving Growth Through Innovation
Atom Bank pointed to several strategic enhancements introduced in 2025 that bolstered its commercial lending appeal. Key developments included the launch of a simplified stressed interest rate and the creation of a programme offering rate discounts for energy-efficient properties. The bank also expanded its Growth Guarantee Scheme, designed to improve access to finance for UK small and medium-sized enterprises (SMEs) seeking to invest and expand.
Tom Renwick, Atom Bank's head of business lending, commented on the achievement. "Surpassing £1bn of commercial lending on our balance sheet is an important milestone, and demonstrates the impact Atom bank has made in this market," he said. "We have developed from a start-up challenger to a genuine player in the commercial space."
Renwick emphasised the bank's commitment to technology and service, stating that consistent investment has ensured a faster, easier, and more transparent experience for brokers and their clients. He also highlighted the bank's disciplined approach: "To have achieved this milestone while maintaining strict credit discipline is unquestionably impressive. We have hit this figure by staying true to our core purpose of supporting quality SMEs, often overlooked by high street lenders."
Broader Business Performance and Future Ambitions
This commercial lending success follows positive results in other areas of Atom's business. In the year to the end of March 2025, the bank reported a 31% uplift in mortgage balances to £4.2bn and a 31% rise in its deposit base to £7.5bn. Total interest income saw a slight increase from £441m to £442m, although operating profit dipped from £27m to £25m.
Despite the commercial team's "outstanding few years," Renwick confirmed the bank has "no intention of resting on its laurels." He pledged continued investment in people and technology to extend Atom's offering to a wider group of SMEs.
Reflecting on the bank's overall trajectory, CEO Mark Mullen previously stated that Atom had met its financial targets over a successful 12 months. "Atom isn’t just growing; we are growing in the right way," Mullen said. "We are working hard to build a sustainable bank that challenges the status quo, one that champions competition and serves the real economy."
