Nationwide Building Society is continuing to reinvest its profit for the benefit of its members as the mutual launches Nationwide Fairer Share – a new reward for members with the deepest relationships.
The UK’s biggest building society is giving back a record amount to its members, following a strong set of financial results and profits of £2.2 billion. This includes rewarding members with over £1 billion through better rates and incentives and being first for customer satisfaction in its peer group for the 11th year running1.
By sharing its profit though the Nationwide Fairer Share Payment, and launching the Nationwide Fairer Share Bond, the Society is using its financial strength and mutual difference to support members in ways others can’t.
Debbie Crosbie, Chief Executive of Nationwide Building Society, said: “Nationwide’s purpose is to offer banking, but fairer, more rewarding, and for the good of society. That’s why we have introduced the Nationwide Fairer Share, which will see us return even more value back to members. We are able to do this because of our financial strength and the fact we’re a building society, not a bank, so our profit is used for our members’ benefit. It’s part of our enduring commitment to rewarding our members.”
Nationwide Fairer Share:
The Nationwide Fairer Share Payment will see members with the deepest relationships rewarded with £100. It will share £340 million with eligible2 members holding both a qualifying current account and a qualifying savings or mortgage product. The payment to eligible members will automatically be made into their Nationwide current account in June, assuming they held their qualifying products on 31 March 2023. Nationwide will begin to inform eligible members about the payment from today.
The Society hopes as many members as possible become eligible for the reward in future years, and intends to make the payment annually, provided it would not be detrimental to the Society’s financial strength.
The Nationwide Fairer Share Bond, available from today, will pay a highly competitive3 4.75% and is available to all the Society’s 16 million members4. The two-year Bond can be opened in branch, via the Banking App or Internet Bank.
Better value for members: Nationwide gave over £1 billion back to members in the last financial year through better rates and incentives. This led to a growth in deposits during the reportable period, with deposits growing by £9.1 billion.
The Society recently announced increases of up to 0.35% across all its on and off-sale variable rate savings accounts from 1 May. In the last financial year, Nationwide’s average deposit rates were 65 per cent higher than the market average.
In addition, Nationwide continues to support homeowners of all types and is standing by its fair pricing pledge so that those switching to a new deal will continue to benefit from a rate which is the same or better than the equivalent remortgage product.
Investing in service: Nationwide invested £180 million in payments, digital services and branches and extended its Branch Promise to not leave any town or city in which it is based until at least 2024. The Society’s branch satisfaction score for the last financial year was 87.1 per cent.
Nationwide also invested £100 million to address cost-of-living challenges and launched cashback on supermarket shopping, which benefitted five million customers.
Good for society: As a member-owned mutual, Nationwide continues to invest in communities and gives at least one per cent of its pre-tax profits to good causes each year. In the last financial year, this amounted to £9.6 million. The Society donated an additional £1 million to support debt organisations and charities it works with. It also pledged a further £4 million this year in grants for local causes – bringing the total donated to £22 million in five years.
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