Yorkshire Building Society has increased core operating profit by 30% and new lending by 50% in the first half of 2014.
In its 150th anniversary year, the UK’s second largest building society, posted core operating profit of £107.5m, up 30% (June 2013: £82.6m), and pre-tax profit £117.1m, up 71% (June 2013: £68.3m restated).
Gross lending in the first six months of the year totalled £3.7bn, up 50% (June 2013: £2.5bn) and net lending was £1.3bn, up 179% (June 2013: £450m).
Total mortgage balances were £30.8bn (December 2013: £29.5bn), with 94% of mortgages funded by savings balances and reserves (December 2013: 97%).
Chris Pilling, Yorkshire Building Society Group’s chief executive, said: “These exceptional results reflect our ongoing success as a business which proudly puts mutual values at its core.
“Our 150th anniversary has been a terrific opportunity for everyone associated with the Group – colleagues and customers alike – to reflect on how we have maintained our fundamental purpose at the same time as growing as an organisation.
“Achieving good levels of profit allows us to continue to invest in the future of the Group and make our offer to customers even stronger, for example ensuring a smooth transition to comply with the new Mortgage Market Review (MMR) rules with fully trained advisers available across our branch network and via our telephone contact centre.
“We have also successfully delivered in our core business areas – completing more than 16,000 mortgages, opening more than 100,000 savings accounts at a time of historically low interest rates, growing the N&P current account customer base and continuing to provide no-obligation financial advice for all across our branch network.
“It was fitting that we marked our ‘sesquicentennial’ by becoming an official supporter of the Tour De France’s Grand Départ in Yorkshire earlier this month. It was a wonderful occasion for the region and one which helped to significantly raise the Group’s profile, with millions lining the route and billions watching on television.
“Being involved in something as big as the Grand Départ reflects the ambition and size of the business we have become, which is one reason we unveiled new branding for the Group as part of our ongoing investment programme. Fresh logos have been created across all brands to emphasise that we form a single, cohesive and substantial organisation which plays a significant part in people’s lives across the whole of the UK.
“The positive effect we can have on local communities is reflected in our support for charities and good causes and we have recently launched our most ambitious fundraising drive. We have set a target of raising £500,000 for Marie Curie Cancer Care by December 2016 through our Hour of Need campaign. Every £20 will fund one hour of care and raising enough to pay for 25,000 hours of vital support will be an incredible achievement and one I am confident we will rise to.
“We remain as committed to our members today as the founders of the Society from which we trace our roots 150 years ago. It is a proud heritage and one which we intend to enhance further in the coming years.”
