Enrique Labiano has taken over as the new chief of OSB, the FTSE 250 mortgage specialist, on Tuesday. He previously served as a partner at McKinsey for eight years before leading the retail arm at Santander.
Labiano joins OSB during a turbulent period, with the bank's share price having traded 10 per cent below the sector average four times since 2021. OSB's shares are down over 20 per cent since January, partly due to recent updates, including a downgrade to its return on tangible equity (RoTE) guidance to 12.5 per cent.
Despite the challenges, analysts see potential opportunities. Changes to MREL capital buffer rules are expected to benefit OSB, allowing it to replace expensive debt with lower-cost retail deposits, which RBC forecasts could provide a £35m annual boost to revenue. Analysts also suggest OSB could trim its capital target by 50 basis points, potentially unlocking £80m in extra capital.