Tesco’s bank is a blot on its landscape even as sales surge

With its online business booming and a successful fightback against Aldi underway, Tesco really doesn’t want to be having to reassure over its loss-making bank each time it reports, writes James Moore

Tesco's online business is flying despite its bank dragging the results down (Keith Evans/Geograph)

Tesco created one of the most successful retailer owned banks when moving into financial services was all the rage in the sector. But that means it’s got one of the biggest headaches now the tide has turned against it.

Former CEO David Lewis left his successor Ken Murphy a slimmed down but greatly revived business that has come into its own during the pandemic, as the latest set of interim results make clear.

But the bank represents a notable piece of unfinished business and spoiled an otherwise solid set of numbers that were a bit better than the City had expected even though profits fell.