Moreover, on an underlying basis, structured asset sales, net loans and advances rose 3% to £18.7bn, over the same timeframe.
On a statutory basis, net loans and advances were £19.0bn.
The report also noted organic originations for the combined group at £725m in the three months to 30 September 2020.
Furthermore, the underlying net interest margin improved once the full impact of the base rate cuts were passed onto retail savers towards the end of the third quarter.
According to the lender, there was a slight improvement in three months arrears during the quarter, with active payment holidays noting a marginal decline to represent 3% of the group’s loan book.
There was no significant change in IFRS 9 macroeconomic scenarios, staging criteria or impairment provisions during the quarter
In addition, the report detailed plans of a new holding company to facilitate the issuance and compliance.
The board aspires to return to dividend payment and will assess at the end of the year whether circumstances support the payment of a dividend for 2020, taking into account the macroeconomic and capital outlook.
Andy Golding, chief executive of OneSavings Bank, said: “We are lending prudently, with a controlled risk appetite and current application volumes are strong across our Kent Reliance and Precise Buy-to-Let and Residential brands.
“Total application levels for the Group are c.65% of pre-COVID-19 lockdown levels, as we remain cautious with the criteria offered in our more cyclical market segments.
“We continue to expect double digit underlying net loan book growth for 2020, excluding the impact of structured asset sales although we remain cognisant of the potential impact of the latest lockdown on the timing of completions and redemptions.
“We maintained our cost discipline in the third quarter and the underlying cost to income ratio for the full year is expected to be marginally higher than in the first half, due primarily to the impact of gains on structured asset sales in the first half.
Despite the current complex environment, the group has made good progress on the integration with CCFS and remains on track to deliver the synergies that were identified at the outset of the combination.”
