Principality Building Society shares record annual results

Principality Building Society has shared its record-breaking performance for the year ending December 31st, 2023.

Against a backdrop of economic turbulence, the society made progress towards helping more first-time buyers than ever before; growing its mortgage book to record levels and assisting more customers to start a savings habit.

Julie-Ann Haines, Principality Building Society’s chief executive officer, said: “As a building society, we’re focused on helping more people to have a place to call home and create a society of savers, and this year we have helped more homeowners and savers than ever before.

“We are also proud to commit up to 3% of our profit to impact positively the wellbeing of the communities we serve.”

Haines continued: “The effects of a volatile economy, with inflation and interest rates remaining higher than we have seen in recent times, have impacted our members’ personal finances.

“This has limited the aspirations of those saving for the future and has made it harder for people to get on the housing ladder. In 2023 our strong set of results assisted a record number of first-time buyers, increasing to 8,134 in 2023 from 4,587 in 2022 and we increased the number of homes owned by members to 80,883, up from 75,425 in 2022.

“We’ve helped more people to save regularly and have continually offered savings rates that are above market average at 2.94% versus the average on the high street of 2.31%.

“We’ve also focused on shortening the time it takes us to pass on interest rate rises, reducing from 30 days to 15, so customers benefit more quickly.”

Principality’s Net Promoter Score (NPS) further improved in 2023 to 83.9 and it was voted Best Building Society for Customer Service by ‘What Mortgage’ for the sixth consecutive year.

The society also maintained a robust presence on the high street, with 53 branches and 15 agencies across Wales and the Welsh borders.

In addition, Principality invested £1.3m in impact work through its Future Generations Fund, increasing its support for youth and community groups, extending partnerships with charitable organisations, and making significant strides toward achieving its carbon net-zero operations by 2040, reducing its carbon footprint by 2,700 tonnes CO2e.

Haines concluded: “Looking ahead, I’m confident in Principality’s ability to navigate challenging political and economic conditions.

“While we anticipate ever-changing times ahead, our business is well-positioned to invest further and grow for the benefit of our members, colleagues and communities.

“We remain dedicated to supporting our members’ home ownership aspirations, providing competitive savings products and making a meaningful difference in the communities we serve.

“As we navigate the evolving landscape, we will continue to adapt and innovate to meet the changing needs of our members, while staying true to our core values and purpose.”