Newcastle Building Society has published its financial results for 2024.
Gross mortgage lending for 2024 rose to £1.2bn, exceeding the previous record level of £1.1bn set in 2023, whilst net core residential lending reduced to £496m from £575m in 2023.
The society reported that its Standard Variable Rate (SVR) was one of the most competitive on the market at 6.94% throughout 2024 vs a market average of 7.87%, saving its SVR borrowers around £2.8m in interest payments during 2024 compared to the market average.
Pre-tax profit for the year fell to £15.7m (2023: £29.1m) as a result of the voluntary financial support offered to customers impacted by the actions and subsequent collapse of Philips Trust.
Meanwhile, its operating profit before impairments and provisions improved by 9% to £34.2m (2023: £31.4m).
Underlying operating profit decreased slightly to £31.9m (2023: £32.8m).
Average savings rates for Newcastle Building Society customers were 0.56% higher than the market average.
Andrew Haigh (pictured), Newcastle Building Society CEO, said: “We’re pleased to report another strong performance for Newcastle Building Society and the wider Group, as we continue to maintain our focus on delivery of our Purpose ‘connecting our communities with a better financial future.’ Delivering that Purpose for the long term is about more than being just another provider of savings, mortgages and financial advice. It requires a deep understanding of the communities we serve, careful allocation of resources, and an ongoing commitment to innovation, investment and growth across the Group.
“Throughout 2024 we demonstrated continued commitment to our regions and communities. At the heart of that commitment is the provision of competitive saving and lending products, alongside financial advice in every one of our branches. Advice that is not solely a service for the wealthy, but available to every customer. Ensuring the accessibility of our financial services is a critical way we can make a difference to the financial futures of our communities.
“We see a future for branches and the role they can play within a community as part of our long-term thinking. Since 2015 we’ve invested around £10m in new branch locations and the refurbishment of existing facilities.”
