The Newcastle-based lender saw lending grow to £5.6bn last year. This compared to £4.9bn during the previous year and £3.7bn in 2011, the lender’s final year as Northern Rock.

Net lending increased to £2.8bn in 2013 helping Virgin to a pre-tax profit of £53.4m, this compares with a loss of £2.5m in 2012.

Jayne-Anne Gadhia, chief executive officer, said: “I am delighted with our performance in 2013. During the year, we maintained the strong momentum that we have established in our core mortgages and savings business, while investing in building the banking capabilities which will enhance our future growth potential.”