Lending was up 58% on the year before, which the mutual attributed to “steady, service-led growth”.
Some 40% of its gross lending was to first-time buyers, a third was remortgages and 27% was for house purchases.
The mutual said its average loan-to-value (LTV) tier for its core mortgage book was 57% in 2025, higher than the average of 55% in 2024. It said this was driven by higher LTVs across its new lending, as it supported first-time buyers.
Darlington Building Society said its lending growth had been built on “several years of investment in people, systems and distribution”, including improvements to its digital capability and access to manual underwriting.
It also developed its intermediary proposition last year and expanded its business development and underwriting teams.
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The changes have been backed by its product development, including the launch of foreign currency mortgages, limited company buy-to-let (BTL) mortgages and flexibility around lending to skilled foreign national borrowers.
It closed 2025 with a net lending figure of £101m, up from £23.2m in 2024, while its savings grew, with retail deposits rising from £853m to £939m year-on-year.
Darlington Building Society’s core operating profit before tax reached £3.7m in 2025, up from £3m in 2024. Meanwhile, its total assets surpassed the £1bn barrier for the first time, sitting at £1.03bn.
Andrew Craddock (pictured), chief executive of Darlington Building Society – who is stepping down at the mutual’s annual general meeting – said: “What is particularly pleasing about 2025 is the way we were able to overcome so much volatility in the global economy to stay true to our core purpose of supporting people into homeownership.
“It is a source of great pride that 40% of the record figure for gross new lending in 2025 was supporting first-time buyers to achieve their dreams of getting onto the property ladder.
“That has been central to our ethos for 170 years, and the fact that we have broken the society’s record in such a crucial area of the business is testament to the hard work and commitment of our colleagues.”
He added: “It has been an immense privilege and honour to work with so many talented and dedicated colleagues, serving the community in such a special part of the country.
“I am really proud to have seen our society grow, prosper and mature, and am delighted to be leaving the society in such robust health.”
Rachel Court, chair of Darlington Building Society, said: “We continue to build our financial strength with measured growth and sound profitability.
“Combined with continued progress and embedding our strategic investment programme, this will underpin our success and sustainability for many years to come.”
