British building society Nationwide has reported a whopping underlying profit increase of 155 per cent, for the six months to the end of September. Underlying profit was £332m compared to £130m during the same period in 2012. Nationwide attributed the dramatic growth to increased lending and a burst of new customers switching to the building society.
Nationwide also cited the governments Help to Buy equity loan scheme as a significant factor in driving up its mortgage lending. In a press release on Friday, it said:
The Society is an active participant in government schemes, including the Help to Buy equity loan schemes in England and Scotland, New Buy and MI New Homes in Scotland, aimed at boosting the supply of new properties and access to home finance.
The world's largest building society reported that gross mortgage lending had risen 37 per cent, to £14bn, accounting for 15.4 per cent of all UK residential mortgage lending. The company reported an impressive increase in provision of mortgages to first time buyers of 52 per cent compared to the same period last year.
Nationwide opened over 214,000 current accounts with 54,000 switching to the group.
Executive director Chris Rhodes said:
These results show that Nationwide continues to be the main alternative to the big banks.
The combination of competitive products combined with a strong reputation for customer service is attracting more than 1,100 customers a day to the society.