The Islamic Bank of Britain (IBB) is set for a capital boost as it has secured a £20million capital profit from founding shareholder Qatar International Islamic Bank (QIIB) which has taken QIIB’s stake in the bank up to over 80 per cent.

The Islamic Bank of Britain's additional capital will enable the bank to leverage its established retail brand in  Islamic finance sector to increase sales of key products, such as the recently launched Islamic alternative to mortgages the IBB Home Purchase Plan. Islamic Bank of Britain was the first stand alone Islamic retail bank to be licensed in the UK and offer a complete Shariah compliant service to cater for Muslims and non Muslims wishing to use Shariah compliant services.

The bank is growing in the Islamic banking sector and substantial growth can be exhibited in the rise of deposits, assets and the rising number of customers. Since the bank's inception in September 2004 the bank has currently reported customer deposits of over £186 million, customer financing at £46 million and nearly 50,000 customers in its 2009 financial statements.

Managing Director at Islamic Bank of Britain, Gerry Deegan said in a statement that in relation to the capital boost, “This is very good news for IBB’s shareholders, staff and customers as well as for the Islamic Banking sector in the UK which is well positioned for continued growth.”  He further added that, “QIIB was instrumental in establishing IBB as the first Islamic bank in the West and this capital injection demonstrates its continuing commitment to IBB. This is very good news for IBB’s shareholders, staff and customers as well as for the Islamic Banking sector in the UK.  We look forward to working with QIIB to jointly develop and promote new markets, products and services”.

Commercial Director at Islamic Bank of Britain, Sultan Choudhury said in a statement that, "“This investment in IBB us to grow our business and remain the pioneer in providing innovative Islamic finance products to Retail customers in the UK and beyond.  Our customers will be reassured that one of our founding shareholders has continued to commit to us for the long term and work with IBB to achieve its exciting objectives".

The Islamic Bank of Britain is set to grow with the additional capital boost services and key innovative structures can be further implemented to ensure the potential growth of the Islamic banking industry which is set to soar to over $1.5 trillion US dollars by 2012.