LONDON, Feb 3 (Reuters) - Spanish bank Santander's British arm, expected to be spun off and separately listed this year, said it aimed to create more jobs, as it posted an 11 percent rise in full-year profit.
Santander said on Thursday its British arm made a 2010 pretax profit of 2.3 billion pounds ($3.7 billion), up from 2.1 billion in 2009.
Santander, the euro zone's biggest bank, said the group's net profit fell 8.5 percent last year, hit by losses on loans in its home market.
Santander executives said they want to list the British unit in the first half, although that could be delayed if financial markets remain turbulent. The sale of a 20 percent stake could raise over 3 billion pounds, sources have said.
The British unit's gross mortgage lending dipped 8 percent last year but the bank said it had an estimated market share of 18 percent, above its typical share of under 14 percent.
Its 2010 results in Britain included (in millions of pounds, percent, lending figures rounded):
2010 2009
Petax profit 2,333 2,107
Gross income 5,041 4,860
Provisions 651 784
Mortgage gross lending 24,200 26,400
Mortgage net lending 5,500 7,600
Mortgage gross mkt share 17.7% 18.6%
SME lending stock 8,500 6,700
Bank account mkt share 9.2% 8.9%
Cost/income ratio 40% 42%
(Reporting by Steve Slater; Editing by Dan Lalor) ($1 = 0.6168 pound)