As interest rates climb, HSBC’s profit more than doubles.

The London-based lender reported a pre-tax profit of $21.7 billion (£16.9 billion) for the first six months of this year, up from $9.2 billion the previous year.

This amount was additionally increased by a $1.5 billion provisional gain from the purchase of Silicon Valley Bank’s British division (SVB UK) from the bank’s demise.

Central banks have raised interest rates in an attempt to slow price increases.

“There was good broad-based profit generation around the world, higher revenue in our global businesses driven by strong net interest income, and continued tight cost control,” stated Noel Quinn, CEO of HSBC.

Despite the increase in profit, the bank, which derives almost two-thirds of its revenue from Asia, issued a warning about the uncertain economic outlook.

It highlighted that clients in the United Kingdom may face additional strain as a result of high inflation and rising interest rates.

“With more mortgage customers due to roll off fixed-term deals in the next six months, and further rate rises expected, tougher times are ahead,” Mr Quinn warned.

Banks and building societies in the United Kingdom have been under pressure to pass on interest rate increases to savers.

The UK’s banking watchdog warned banks on Monday that they will face “robust action” if they offer unjustifiably low savings rates to its consumers.

The Financial Conduct Authority (FCA) issued the warning as part of a campaign to ensure banks pass on interest rate increases to savers.

In an effort to decrease inflation, the Bank of England has hiked its base rate 13 times in a row, and it is anticipated to do so again on Thursday.

However, while mortgage interest rates have climbed rapidly, savings rates have not, particularly for easy access accounts.

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