Suncorp suffers as deposits head to big 4

Suncorp says it is at a competitive disadvantage to the major banks because of the structure of the federal government’s bank guarantee and the situation is getting worse. Retail deposits were up 13.2 per cent over the year, which was below system growth.

The bank was hit by the “flight to quality” in the December half. Things picked up in the second half when deposits growth was above system.

Suncorp reported yesterday that it had been cutting back on loans issued through brokers as it struggled to match the major bank’s in attracting deposits.

Suncorp acting chief executive, Chris Skilton, said yesterday that the bank was focussed on housing finance, agribusiness, some leasing, some SME finance and consumer finance.

Source: The Sheet