AIB posts record €2.7bn pre-tax profit

AIB, one of Ireland's two main banks, made a record pre-tax profit of €2.7bn (£2.2bn) in 2024, up 13% on the previous year.

The Irish state continues to own a 12% stake in the bank as a legacy of a bail-out during the financial crisis.

The bank's chief executive, Colin Hunt, said there was now "a clear path" to a return to full private ownership this year.

Last week AIB's main rival, Bank of Ireland, reported an annual pre-tax profit of €1.9bn (£1.6bn).

The two banks have benefitted from higher interest rates, a strong domestic economy and a relative lack of competition.

AIB said new mortgage lending in Ireland was up 14% to €4.5bn (£3.8bn) and reflected a mortgage market share of 36%.

The bank has a small operation in the UK, including seven branches in Northern Ireland.

Profit at AIB UK was down 40% from £197m to £116m, largely as a result of an increase in the amount of money set aside to cover the impact of bad loans.

These impairment charges increased from £33m to £76m.