A key anniversary reflects how far the building society movement has come — and how individual societies like Hinckley & Rugby continue to deliver
At a time when homeownership feels increasingly out of reach, building societies remain a crucial pillar of support for aspiring homeowners across the UK. This year marks 250 years since the first building society opened at the Golden Cross Inn in Birmingham. Much has changed since 1775 — the year the American Revolution started, JMW Turner was born and Jane Austen died — but despite the passage of time, the values championed by these mutual organisations have remained remarkably consistent.
The building society movement is built on a simple but powerful idea: members pool their savings, facilitating more affordable lending options, particularly when it comes to buying a home. This mutual model, which prioritises members over external shareholders, remains intact, providing a route to homeownership for many who might struggle to access traditional banking services.
A LEGACY OF SERVICE
Hinckley & Rugby Building Society has been offering financial products to members for 160 years. Originally focused on the East Midlands, it now provides lending and savings solutions across the UK. One of the key reasons for its longevity is its personal approach, which allows it to adapt and tailor products to customer needs.
While many high street lenders rely on rigid credit scoring, Hinckley & Rugby takes a personalised approach—ensuring each mortgage decision is based on real circumstances, not just numbers. This allows its specialist team to assess each mortgage application individually, offering flexibility for self-employed borrowers, those with an irregular income, and first-time buyers relying on family support.
For mortgage brokers, this approach provides significant advantages. A lender that understands individual circumstances and adapts decisions accordingly is invaluable in today’s complex market. By combining personal service with practical solutions, Hinckley & Rugby delivers support that stands out from larger financial institutions.
SUPPORTING FIRST-TIME BUYERS AND LATER-LIFE BORROWERS
Building societies remain vital to the first-time buyer market, the foundation of the entire housing sector. Across the industry, 44% of all residential mortgage lending goes to first-time buyers. Hinckley & Rugby is committed to making this journey as accessible as possible, offering innovative mortgage products tailored to diverse needs.
Joint borrower sole proprietor mortgages, for example, allow family members to help first-time buyers secure a home without co-owning the property. Meanwhile, split-term lending provides borrowers with greater flexibility when structuring repayments.
Hinckley & Rugby isn’t just focused on first-time buyers. Their later-life lending options help older borrowers access financial solutions suited to their evolving circumstances, ensuring homeownership remains viable at every stage of life.
A COMMITMENT TO COMMUNITY
A core founding principle of building societies has always been their commitment to local communities. While some banks are closing branches and shifting to digital-only services, many building societies have continued to maintain a high street presence, offering both in-person and telephone support.
Hinckley & Rugby remains deeply involved in the communities it serves, supporting local charities, financial education programmes, and sponsorship of events. This reflects the values that have defined building societies for centuries.
This mutual model is a clear differentiator from profit-driven banks. Without external shareholders, building societies can reinvest profits in products, services, and member benefits.
LOOKING AHEAD
As we look to the future, building societies will play an even greater role in shaping a more inclusive housing market — one where homeownership is within reach for everyone. Government support for the mutual model highlights the stability and value building societies offer to consumers and the wider financial services industry.
Innovation in mortgage products will continue to be crucial in meeting customer needs. Hinckley & Rugby has already demonstrated leadership in this area, whether adapting lending criteria to reflect the changing workforce or supporting green housing initiatives.
As we celebrate 250 years of the building society movement, Hinckley & Rugby, alongside the wider sector, remains well positioned to help future generations achieve homeownership. The resilience of the mutual model has stood the test of time — and there is every reason to believe it will continue to thrive for another 250 years.
