Nationwide Building Society has announced an additional technology investment of £1.3bn in a bid to better coordinate its in-branch service with mobile technology.
In a statement released today (14 September), the building society detailed the extra funding would bring its total investment plans to £4.1bn over the next five years - with current capital at an "all-time high".
A Nationwide spokesperson said the society aims to "make the most of the opportunities ahead", combining the development of its technology platforms and digital strategies with high street branch investment.
In its five-year investment plan, the society aims to target 60 per cent of its current account members using mobile technology and launching open banking products to the UK market.
Nationwide reported its customer demand for digital services was increasing, with 200 million more log-ins from its app last year - an app which has a total of two million active members, double the number of two years ago.
In creating an additional technology hub over the next five years, the society anticipates employing a further 750 to 1,000 people.
Joe Garner, chief executive at Nationwide Building Society, said the society was financially strong and its capital levels at an all-time high.
He said: "At a time when customer expectations of service are rapidly changing in a digital world, we are investing to ensure that we continue to provide a leading service.
"We believe that our members want a combination of human service on the high street, as well as digital convenience.
"As a building society, we are able to deliver both - continuing to invest in our branches alongside this significant investment in our technology and operational capabilities."
Gary Webster, independent equity release adviser at Equity Release Supermarket, said Nationwide's investment in technology would drive efficiency and meet the needs of a wider customer base.
He said: "I would applaud Nationwide if [it was] able to create those options for their wider member base.
"The internet is the new high street - Nationwide understand that and really they have no choice but to invest in technology to ensure they keep up with dynamics in the market and pressure from tech-focused entrants such as Goldman Sachs and other serious fintech firms."
At the Financial Services Expo in London earlier this week, HSBC’s head of intermediary mortgages said the mortgage industry needed to embrace technology as a "friend not foe" to create a hybrid model in which digital capability helps brokers offer the best possible advice.
rachel.addison@ft.com
