Another successful year for The Mansfield with increased support for the local community
The Society will be reporting another successful year at this year's AGM with gross advances of £64m, growth in mortgage balances of 3.8% and an £18.6m increase in savings balances in 2016.
Chief Executive, Gev Lynott, said that, although market conditions remain very competitive, the business continues to perform well, enabling the Society to continue to pass on benefits to local and loyal savings and mortgage members. The strong financial results also mean further growth in the support for local worthwhile causes.
“With the Bank of England reducing the base rate from 0.50% to 0.25% in August, we took the decision that our local and loyal members should have access to our best savings rates on a number of our most popular accounts. In 2016, the average interest rate on our variable rate savings accounts was 1.24% and many of our fixed rate accounts paid considerably more. Independent research undertaken by Savings Champion reported that the average variable interest rate paid by building societies was 1.09% compared to just 0.81% paid by banks during the same period.
Whilst the low interest rate environment remains unwelcome for savers, borrowers now enjoy access to mortgage rates at unprecedented lows. Indeed, as well as the low mortgage rates, our personal approach to mortgage lending - assessing each application on its merit rather than relying on automated credit scoring systems - continues to be welcome. This includes customers who are underserved by mainstream lenders such as the self-employed, contractors, self-build applicants and borrowers who are approaching, or in, retirement. We also continue to support first time buyers and those looking to access the housing ladder through Government initiatives such as Shared Ownership.
Our straight forward, common sense approach continues to help people fulfil their home-owning aspirations.
Profit after tax of £1.58million enabled the Society to strengthen its capital reserves, providing even greater assurance that the Society is well placed to be resilient to any financial turbulence that may arise as the UK begins to negotiate its exit from the European Union.”
Supporting the local community
In addition to the business growth, the Society has continued to support local groups and charities through its Community Support Scheme and made further contributions to the Mansfield Building Society Charitable Trust. The Charitable Trust has made its first award of £10,000 which has enabled the Inspire and Achieve Foundation to set up and run The Prince’s Trust - Team Programme which directly assists disadvantaged young people in Nottinghamshire.
In 2017, the Society plans to further increase its close ties with community groups, charities and like-minded businesses that are equally passionate about making a positive contribution to the lives of those individuals living, working or volunteering in our local area. Gev Lynott said it was an exciting time for the Society and more would be revealed at its AGM.
“Future plans include increasing our support and contribution to the local community through financial and non-financial support to organisations, such as our Work in the Community Scheme volunteers. Details of our plans will be unveiled at the Society’s 147th Annual General Meeting to be held at 4pm on Tuesday 25 April 2017, at Mansfield Library, where members and guests are welcome to attend and learn more about our mutual approach and how we provide ongoing support to a range of local worthy causes.”
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