Nationwide Building Society full year results: Long term focus drives strong performance

By Anita Jaynes on 24 May, 2016

Swindon-based Nationwide Building Society has today announced its full year results for the financial year 2015/2016 which show strong underlying profitability driven by strong mortgage lending, savings inflows and further growth in its current account market share with over half a million new current account openings.

Key highlights for Swindon:

– Employees raised more than £443,000 for local charities during the year with 29,214  hours of volunteering
– As a major employer in the region, Nationwide is looking to fill around 350 vacancies in and around Swindon across a range of roles
– A total of 229,901 savings accounts are currently held by people living in the Swindon area

Nationwide employs more than 7,000 people in and around Swindon and is committed to supporting the region’s economy and job market.  Nationwide is currently looking to fill around 350 vacancies in the region.

As a major employer in the area, Nationwide continues to play a big part in the local community. Last financial year, employees from Swindon sites have raised upwards of £443,000 for charity and have carried out 29,214 hours of volunteering. Swindon employees raised money for numerous charities including local children’s cancer charity CALM.

Summary of results:

·Gross mortgage lending up 20% to £32.6 billion (2015: £27.1 billion)
·Net mortgage lending up 28% to £9.1 billion (2015: £7.1 billion)
·Growth in member deposit balances of £6.3 billion (2015: £1.9 billion)
·Expanded current account base with 525,000 new accounts up 12% on 2015
·Net gainer in current account switching – up 38%
·Ranked number one for customer service satisfaction amongst its high street peer group again this year- extending lead to 7.7%
·Underlying profit up 9% at £1.337 billion (2015: £1.227 billion)
·Statutory profit up 23% at £1.279 billion (2015: £1.044 billion)
·CET1 capital ratio up to 23.2% (2015: 19.8%)
·Leverage ratio improved to 4.2% (2015: 4.1%)

Nationwide chief executive Joe Garner said: “Nationwide has demonstrated that outstanding customer service is the most sustainable path to excellent business performance.  It’s a credit to the management and people of the Society that they have consistently understood this and organised Nationwide around this principle.  As a result, last year we lent more money to help people into a home of their own than since before the financial crisis in 2007.  More people are also choosing to manage their money with Nationwide, with over half a million new current accounts opened in the year.  And our loyalty accounts and regular savings offering has led to an increase in member deposit balances of £6.3 billion.

“It is my privilege to have been asked to lead an organisation which has consistently demonstrated that it is possible to be successful by doing the right thing.  Our mutual status creates an ownership model that allows us to take a long-term view and make decisions in the best interests of our members.  This, and our talented people, is Nationwide’s strength and our opportunity.”

Full details of the results can be found by clicking here