# Why the City can’t stop talking about OSB  

- URL: https://talkfuse.com/story/why-the-city-cant-stop-talking-about-osb/
- Published: 2026-11-10T05:00:00+00:00
- Updated: 2026-11-10T05:24:18+00:00
- Original publisher: City AM (publisher lean: Right)
- Original article: https://www.cityam.com/why-the-city-cant-stop-talking-about-osb/
- Topics: Business, UK, World

## Key points

- City takeover talk around OSB continues.
- Its costly savings funding may attract a large bank.
- Valuation and past volatility could complicate a deal.

## Summary

OSB Group, the lender behind brands such as Kent Reliance and Precise Mortgages, remains the subject of persistent City takeover speculation despite appointing a new boss. Its specialist mortgage business could appeal to a large bank seeking to replace costly retail savings funding with cheaper deposits, but sources say the price may make a deal difficult.

OSB reported £26.3bn in customer loans and £25bn in retail savings; interest on deposits cost £478m in the first half of 2026, squeezing its forecast net interest margin to about 2.2 per cent. HSBC explored a possible bid last year but made no formal offer, while Barclays is often mentioned as a potential buyer, though it has not held active talks. Past volatility, including a 2021 fraud-related exposure and a 2023 profit warning, adds to questions about the lender’s value.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.