Close Brothers Group plc is an established UK merchant banking group with a history dating back to 1878. The company's business model is centered around providing specialist financial services to underserved markets, primarily in the United Kingdom. Its operations are divided into two main segments: Banking and Securities. The Banking division is the core profit driver, offering commercial lending (including asset finance and invoice finance), retail lending (such as motor finance and insurance premium finance), and property finance for residential developers. This lending activity is primarily funded by customer deposits, allowing the bank to maintain a conservative and resilient funding base. The Securities division operates through Winterflood Securities, a leading UK market maker that provides execution services to retail brokers, wealth managers, and institutional investors. Historically, the group also operated an Asset Management division, but it completed the sale of Close Brothers Asset Management to Oaktree Capital Management in early 2025 to optimize its capital structure and focus on its core banking operations. Close Brothers differentiates itself from mainstream high-street banks by focusing on niche lending segments where it can leverage deep industry expertise, strong intermediary relationships, and disciplined underwriting to command higher margins.
