The annual results from Nottingham Building Society showed the mutual also gained 7,000 new mortgage customers, which was a 75 per cent growth on 2022.
As of December 2023, the mutual’s total mortgage assets amounted to £3.6bn. This was up from £3bn the year before.
Nottingham Building Society saw its profit before tax fall significantly from £18.9m in 2022 to £8.3m in 2023. Its underlying profit before tax came to £24.2m, which was a £9m rise on the year before.
Its net interest margin (NIM) improved by 0.25 per cent to 1.94 per cent.
A significant growth in mortgage lending
Sue Hayes (pictured), chief executive of Nottingham Building Society, said: “I am pleased to report our financial results for 2023 alongside the progress towards delivering our strategy. Our financial performance in 2023 was strong, with an underlying profit before tax of £24.2m and an 18.3 per cent increase in mortgage balances compared with 2022.
“I’m particularly pleased to report we achieved significant growth in mortgage lending while overall lending in the UK mortgage market fell. We helped almost 7,000 borrowers either take out a mortgage with us for the first time or move to a new mortgage product.”
Hayes added: “I am proud of the results we are sharing today, especially given the challenging economic environment, and am grateful to our members, and dedicated colleagues, for their continued trust in us. We look ahead to the coming years with a renewed sense of focus, guided by a clear and impactful purpose, with mutuality as our bedrock.
“Looking to the future, we will continue to monitor the impact of movements in base rate on our mortgage and savings propositions, while focusing on innovation in our products as part of our ongoing transformation journey. We will also continue to support our saver members with attractive savings propositions.”
Hayes said the mutual offered attractive savings products and rates, and with the rise in interest rates over the year, managed to pay savers £91.8m in interest. This was up from £23.9m the year before.
