International Personal Finance PLC (LON:IPF), the central Europe-focused sub-prime lender, said it has received a £45mln tax rebate following a successful appeal against 2008 and 2009 tax audit findings in Poland.
The lender has already received the cash, which comprised £35mln paid in January 2017 in order to appeal the tax authority decisions, plus associated interest of £10mln.
IPF noted that debt collections are also almost now back to pre-coronavirus (COVID-19) levels while lending has started to increase again. Collections effectiveness is now at 92% of pre-COVID-19 expectations, it said, while credit issued is now at 43%.
Net cash generated in July rose to £46mln, up from £43mln in May, and £42mln in June.
Gerard Ryan, IPF's chief executive commented: "I continue to be very encouraged by the improving performance delivered in July. This has been driven by a normalisation of agent service to our customers in the last two months, and I anticipate a continuation of our positive collection trends alongside progressive increases in new lending, both of which will help deliver further improvements in our overall Group performance.
"I am also delighted to be able to finally report the successful conclusion of the ongoing Polish tax audits, with the reimbursement of the monies paid out in 2017, together with interest, bringing this long-running issue to a close."