Cheshire boss stays upbeat as profits take a dive

Aug 4 2007 by Tony McDonough, Liverpool Daily Post

CHESHIRE Building Society yesterday revealed a fall in half-year pre-tax profits to £6.5m, down from £7.3m during the same period last year.

Chief executive Karen McCormick said the fall in the six months to June 30 was due to the society offering “attractive” products to customers that brought in less revenue in the short term.

She added the policy was designed to “expand our membership and strengthen the society’s long-term financial base”.

“We have seen good demand as a result of our market-leading products, resulting in an increase in members’ savings balances of 8% in the last 12 months.

“Equally, our borrowing members have benefited from extremely competitive pricing, with the society’s mortgage products appearing in 168 national best buy tables to date.”

The society also reported that group assets now stood at £4.7bn and that group costs had been reduced by £300,000 since June last year.

To date in 2007, the society’s products have appeared in 268 newspaper best-buy tables for its short and long-term fixed rate mortgages, buy-to-let mortgages, 50-Plus Freedom savings account, credit card and personal loan products.

Ms McCormick added: “During the first half of 2007, we have continued to strengthen the business, targeting our costs while investing in the growth of the society.”