You are here: Home - News -

Nationwide gross mortgage lending rises but ‘intense competition’ dents market share

  • 10/08/2018
  • 0
Nationwide gross mortgage lending rises but ‘intense competition’ dents market share
Nationwide’s gross mortgage lending increased by 3.7% year-on year to £8.4bn in the three months to the end of June, but its share of net lending and underlying profits both fell, first quarter 2018/19 results revealed.


Despite “sustained, intense competition” in the market, the lender’s gross mortgage figure included £7.4bn of prime residential mortgages, up from £7.3bn, in the first three months of the lender’s reporting year, which follow the financial year.

However, the mutual cited market conditions as it reported a net lending market share of 19%, down from 21.8% in the same period of 2017.

Underlying profit dropped 10% to £270m, from £301m, which is blamed on a one-off gain of £26m from the sale of an investment in payments company Vocalink last year.

Nationwide said it helped a record 20,600 first-time buyers into a home over the period.

And also revealed gross buy-to-let mortgage lending of £1bn, up from £0.8bn.

Chief executive Joe Garner said: “As a member-owned organisation, Nationwide is committed to delivering exceptional value and service to members rather than seeking to maximise profits.

“Consumer expectations of service continue to evolve rapidly, as digital and data redefine how people manage their money.

“Therefore, we are progressing the review of our technology strategy to ensure Nationwide stays well ahead of future needs, and that we continue to pioneer legendary service in a digital age.

“Our outlook is unchanged from the full year, and we expect the economy to grow at a modest pace over the next 12 months.

“We are observing consumers adapting their behaviours in response to the pressure on disposable income.

“The housing market looks set to remain relatively subdued with house prices broadly flat in 2018.

“Against this background, we also expect intense competition to persist in our core markets.”

There are 2 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Blockchain: Your essential guide to the basics

It may not be long before block chain goes mainstream, financial services provider Deloitte has predicted. Here's Mortgage Solutions' easy...