Tandem Bank has secured £20m in Tier 2 capital from Quilam Capital.

The company says the investment by Quilam – a growth investor with expertise in the finance sector – emphasises its aim of building the UK’s leading purpose-led, profitable digital banking platform.

The investment was finalised last month following a process supported by financial services advisor Alantra.

Tandem Bank chief executive officer Alex Mollart says: “This investment marks another significant milestone for Tandem as we enter yet another exciting stage in our journey.

“Following a transformational 2022, this capital will put extra momentum behind our green lending proposition and allows us to capitalise on a number of exciting opportunities to further grow our business.”

Quilam Capital, says: “We’re delighted to be partnering with Tandem through this strategic investment.

“Tandem is perfectly positioned to continue to grow its market leading green lending proposition, which our capital will help to unlock.

“We’re proud to join the Tandem journey and are looking forward to an exciting future together.”