AS trading updates from the banking sector go, the latest full-year results from Clydesdale owner CYGB contained none of the fireworks we have come to expect from the sector in the last decade. A first profit in five years, a maiden dividend and growth in both mortgages and loans to SMEs (small and medium-sized enterprises) had chief financial officer Ian Smith in upbeat mood.

But amid the highlights there was caution, too. Chief executive David Duffy noted in his results statement that the bank’s medium-term targets reflect its “cautious view of the economic outlook.” It was a theme which Mr Smith also touched on.

While he does not expect the recent quarter of a point rise in interest rates to affect customers too much, Mr Smith offered the view that the picture in the mortgage market is “one of fairly delicate balance”, with demand for mortgages subdued in certain parts of the market. Moreover, although he stressed that CYBG has no plans to expand in the unsecured credit market, he said general levels of consumer indebtedness should be a concern to all.

The flip side of the interest rate increase, of course, is the benefit to savers. Mr Smith said depositors have had a rough deal as rates have remained locked at historic lows, and should have cause to cheer if the first rise in a decade is the start of gradual increases over time.