Nottingham BS  

Nottingham growth plans see profits go higher

Nottingham growth plans see profits go higher

Nottingham Building Society has increased lending and balances and reported improved pre-tax profits for the sixth months to end June 2017.

Profits at the building society were up 7 per cent to £7.6m.

Gross lending increased 33 per cent to £544m on the same period last year and its mortgage book grew 7.1 per cent.

There was also a 3.9 per cent increase in branch balances.

According to the Society the figures reflect an undertaking by the company at the beginning of the year to grow and invest to improve its offering and service.

David Marlow, chief executive of The Nottingham, said: “We are pleased to report good progress in these objectives.

"We have continued to grow the balance sheet and have delivered asset growth of 6.1 per cent in the first six months of the year.”

Nottingham stated it has been investing in technology to protect against cyber-crime and offer customer advice and service through phone, tablet, PC and face-to-face advice.

In May the Society introduced a member rewards programme, including £500 off estate agency fees, discounted fees for making a will, and free access to whole-of-market mortgage advice (against a standard advice fee of £249).

Also part of the offer was access to enhanced savings rates on special issues, with member rewards issue 1 paying a fixed rate of 1.30 per cent.

Nottingham announced earlier this month that it has acquired seven branches of rival Norwich & Peterborough, with the aim of building a high-street presence to plug the advice gap. 

These are located in Bourne, Spalding, Stamford, Huntingdon, Dereham, Fakenham and Thetford.

The building society said branches can have a future if banks and building societies change their role to cater for those finding it increasingly difficult to access financial advice, help and service on key financial issues.

Its latest acquisitions – seven branches from the Norwich & Peterborough Building Society that are being closed down across the Midlands, Cambridgeshire and Norfolk – mean the Nottingham has taken on 19 branches from other providers.

According to consumer group Which?, over one thousand bank and building society branches closed between 2015 and 2016, and over 600 are expected to close this year.