Banco Santander (LSE:BNC) has reported a jump in profit as net interest income margins improved globally, but not in the UK.
Profit climbed 11% to €2.9 billion (£2.5 billion) over the first three months of the year, Santander reported on Tuesday.
Group net interest income climbed 18% to €11.98 million and revenue increased 10% to €15.38 billion.
Higher deposit costs and lower mortgage volumes hit figures in the UK though, Santander said, with gross loans falling 5%.
According to the bank, the UK was the “exception”, as net interest income improved across South America and in parts of Europe.
Overall, UK retail income fell 12% to €1.11 billion, against a wider 13% improvement globally.
Santander’s report comes after rival lenders in the UK reported a reduction in profitability after bumper numbers last year as base rates increased rapidly sparking a price war in the mortgage market.