Leeds Building Society assets reach £15.9bn

Leeds Building Society CEO Peter Hill

Leeds Building Society said it delivered record profits before tax for the fourth consecutive year as it grew its assets to £15.9 billion in 2016 from £13.5 billion in 2015.

Profit before tax was £116.6 million, up from £108.5 million in 2015.

Leeds said it helped 53,700 more people buy a home with record net mortgage lending of £1.9 billion — up from £1.4 billion in 2015 — which took its total mortgage balances above £13.2 billion.

The member-owned mutual society increased its savings balances by a record £1.3 billion, up from £751 million in 2015 — taking its total balances above £11.2 billion.

Leeds increased its total membership from 719,000 in 2015 to more than 756,000 in 2016, the highest in its history.

Gross lending in 2016 exceeded £4 billion, up 28%.

Leeds increased its capital and reserves to a record £914 million and had a Common Equity Tier 1 capital ratio of 15.2%.

Leeds Building Society CEO Peter Hill said: “I’m proud to report we delivered on our mission as a member owned building society and helped more people than ever save and have the home they want.

“During 2016, we consistently provided security and value through attractive products and excellent service to meet the needs of our growing membership.

“As a result, the society has more savers and borrowers than ever before, achieved record profits and our total assets now exceed £15.9 billion …

“We have to balance the needs of all our members and, while the prevailing interest rate environment has benefitted borrowers, we’ve worked hard to help savers.

“We paid an average of 1.66% to savers, compared to the rest of market average of 0.97%, equating to an annual benefit to our savers of over £69 million.

“Furthermore, we pay a minimum of 0.4% to all saving members.”