LENDER Provident Financial is pressing ahead with plans for extra working space as its city centre head office is bursting at the seams.

Recruitment driven mainly by the success of its Vanquis Bank credit card operation and other new operations has seen staff numbers at its Godwin Street base rise to more than 1,000 and the company has also leased space at the adjacent Aldermanbury building.

Chief executive Peter Crook said a planning application has been submitted to create an annexe with 300 desks in part of the former T J Hughes department store premises.

Mr Crook was speaking after Provident, which has 2.4 million customers, issued a strong set of the results for the half-year to June 30.

This resulted in the interim dividend payment increasing by 10.2 per cent to 43.2p, against 39.2p in 2015.

First half adjusted pre-tax profits rose by 17.6 per cent to £148.9 million from £126.6 million last year.

Provident said its consumer credit division, including the traditional agent-based lending, had returned to growth and boosted profits sharply.

Mr Crook said its Satsuma online lending business will launch a new mobile phone app later in the year to meet growing consumer preference for financial dealings by such a route.

The Moneybarn car loans business also grew strongly with adjusted pre-tax profit up 44.7 per cent to £13.6 million, which was ahead of plan.

New business volumes were 42.5 per cent higher.

Vanquis Bank profits and average receivables rose by more than 12 per cent with UK profit before tax up 12.8 per cent to £99.8 million, against £88.5 million. Customer numbers rose by 6.5 per cent.

Peter Crook said:“All three businesses have delivered excellent performances through the first half of the year and contributed to the strong increase in adjusted profit before tax of 17.6 per cent.

“Credit quality in all three businesses is very sound and the group is fully funded through to May 2018 reflecting the group’s substantial funding capacity and strong liquidity position.

“This, together with the strong start to the second half, provides the foundation for delivering good quality growth for 2016 as a whole, continuing to deliver on the group’s medium-term growth objectives as well as trading soundly through any slowdown that may emerge from the uncertainties currently present in the UK .”