The report shows that the sector performed very strongly in 2002/2003, growing its assets by over 12%, with total assets now standing at £193.6bn. This reflects figures released by the BSA on a monthly basis, which have consistently shown building societies are doing well in the competitive mortgage and savings market.
Commenting on the report, Adrian Coles, Director-General of The Building Societies Association said:
“KMPG’s Building Societies Database shows that the sector is continuing to do well in a very competitive market. I am pleased, but not surprised, to see in the report that societies continue to give customers a better deal. As virtually all serious commentators acknowledge, building societies have a huge “mutual advantage”. Not paying dividends to shareholders results in maintaining lower net interest margins than most other lenders.”
