In its latest annual results, the lender said that its net core residential lending came to £330m, which was up from £228m in 2020. Within the current year figure £48m came from buy-to-let loans.
Newcastle BS added that it had brought on 5,300 new mortgage customers in 2021, which is roughly in-line with 5,206 in the prior year.
The mutual’s profit before tax increased from £1.4m in 2020 to £29.1m this year, which it said was ahead of what was budgeted.
The lower profit the year before was attributed to a significant increase in credit and legacy provisions, whereas in 2021 there was a write-back of impairment charges in its residential and commercial books.
The mutual continued that the number of mortgages in arrears of three months or more remained low but had grown by 0.06 per cent to 0.42 per cent in 2021.
It said that it had helped 4,500 borrowers with financial difficulties due to the pandemic, and allowed payment deferrals of up to six months, and 99 per cent who had requested a deferral had returned to normal payments.
The lender said that it had completed and retained its first residential mortgage backed securities, which used buy-to-let loans and was called Tyne Funding No. 1 plc.
First-time buyers
The lender said that it was also committed to the government’s First Homes scheme, which provides up to a 30 per cent discount on market price for first-time buyers, and Deposit Unlock which aims to help buyers purchase new builds with a smaller five per cent deposit.
The lender said its financial advice subsidiary, Newcastle Financial Advisers, had had a strong year of new investments with £82m of funds invested for members through the company.
During the year it had delivered 7,000 customer advice journeys and had contact with 88 per cent of existing customers over the last 12 months.
Andrew Haigh, chief executive of Newcastle BS, said the combined commitment of colleagues, members and communities had delivered a “highly successful financial year” and put it in a “strong position” for the year ahead.
He said: “While we all remain hopeful that 2022 will be the year when we see the Covid-19 pandemic reduce its impact on our day to day lives, it is clear that our customers and communities will face many new challenges in the years ahead and internationally, events in Ukraine are a new source of concern for all.
“However, the resolve and determination of our colleague team, along with our investment in the Society’s capabilities and infrastructure, will ensure we can continue to be there for our members in the ways and places they need us to be.”
He added: “We will continue to compete with the best; and in so doing, deliver a stand out regional building society, committed to delivering its purpose and serving its Members within and beyond our region.”
