ANZ, ASB banks major mortgage market losers through GFC

ANZ and ASB banks lost significant amounts of mortgage market share through the global financial crisis while the government's Kiwibank was the major gainer, the latest banking industry figures show.

Monday, October 3rd 2011, 7:32AM

by Jenny Ruth

ANZ's market share in December 2007 stood at 34.45%; at June 30 this year it was down to 30.87%. ASB's fall was less precipitous, its share dropping from 23.55% to 22.5%.

By contrast, Kiwibank's share more than doubled from 3.02% to 6.39% over the same period.

HSBC lodged its June quarter disclosure statement last week, making it the first quarter since the December quarter 2007 in which all home-lending banks' data was prepared on exactly the same basis.

The December 2007 quarter was the last in which all banks reported using Basel 1 rules and the June quarter this year is the first in which all the banks provided figures in their loan-to-valuation tables for on-balance sheet mortgages.

The figures show Bank of New Zealand lost some market share over this period, dropping from 16.83% to 16.28%, while Westpac gained some from 20.02% to 20.84%. TSB Bank showed reasonable market share growth from 1.23% to 1.44% over the period.

SBS Bank, whose market share stood at 1.08% at June 30, didn't become a registered until October 2008.

HSBC's statement showed its mortgage book grew $7.9 million to $991.5 million in the three months ended June 30, putting its market share at 0.6% compared with 0.91% at December 31, 2007.

However, HSBC's profitability fell 15.2% to $11.9 million for the three months ended June, despite charges against profit for impaired loans falling to $0.76 million in the latest three months compared with the $3.52 million charge in the June quarter last year .

HSBC's net interest income fell 6.2% to $22 million while other income sank 27.8% to $8.8 million in the three months.

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