Member Article

Nationwide profits rocket as mortgage lending increases

The Nationwide building society has posted a substantial rise in pre-tax profits to £677 million, from £168 million last year.

The mutual said total gross mortgage lending was up 31% on the year to £28.1 million - accounting for 14% of the entire mortgage lending market.

Nationwide said a discontent with traditional high street banks had spurred savers to turn to them for current account facilities.

The lender reported 430,000 new current accounts were opened during the year, an 18% increase on last year.

Elsewhere Nationwide said its credit card business grew at a slower pace than in previous years. 272,000 new accounts were opened over the past twelve months, compared with 350,000 in 2013.

Chief executive Graham Beale said he did not expect the Bank of England to increase base interest rates imminently, and that house price rises were largely concentrated in London and the South East.

This was posted in Bdaily's Members' News section by Tom Keighley .