Nemo Personal Finance ceases lending

Principality first began seeking a buyer for the £700m secured loans business in May 2015 "amid regulatory changes".

In an announcement, Principality said:

"Over the last 12 months, the Principality Group has undertaken a thorough strategic review of Nemo and the secured loans market. As the market continues to develop and expand away from Nemo’s traditional base with product diversification and increased risk through larger loan sizes, the Group has made a decision not to increase Nemo’s participation in this market.   

"Principality Group undertook an extensive process to identify other potential owners who would be able to take the business forward in a growing market. This process was ultimately unsuccessful.
 
"The Group has therefore taken the decision to cease new lending, including further advances, at Nemo and focus the Group’s investment and growth strategy on the core Society businesses and its members.

"Nemo will remain a meaningful contributor to Group profits and will continue to provide excellent customer service to existing borrowers."