Profits pass £1.3m as Vernon Building Society helps 250 homebuyers in 2016

Vernon Building Society has increased its profits and total assets despite a “challenging market”.

The Stockport-based firm posted an annual pre-tax profit of just over £1.3m, up by 8% against the previous year’s figure.

In 2016, Vernon Building Society helped 250 homebuyers, of whom 26 were first-time buyers.

The company has seen its total assets grow over the last five years from £267.8m to £300.2m, including £233m in mortgages.

Chief exec Mike Hanson said: “The changing market leads to more complex personal financial situations.

“We are seeing greater demand for mortgages into – and in – retirement, more people with multiple sources of income, more self-employed and contract workers and worryingly, greater levels of unsecured debt.”

Speaking further, Mike said that as his team has a responsibility to help people buy houses, it will work to “develop new and innovative products to help meet this changing demand”.

He continued: “As a mutual society, the Vernon does not have shareholders to whom profits have to be distributed as dividends but instead is focused on providing the best value to its customers, who as members own the society.

“Because of this, the society has been able to able to continue to protect the interests of both borrowers and savers in difficult markets.”

To safeguard the Vernon’s future, Mike explained that the society is “investing significantly” in strengthening its risk management techniques and capital position.

The building society currently employs a team of 74 across six branches.

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