Having decided to only accept mortgage business through the intermediary channel, as a result of the MMR, the improvement in profitability has been the result of increasing mortgage volumes, significant progress in reducing the amount of mortgage accounts in arrears and an improvement in the Society’s margin.
Jeremy Wood, chief executive of The Dudley, said: “I am very pleased with our year end position and the improvement in the Society’s financial position especially with the security it offers to all of our members.
“Mortgage rates have continued to remain low throughout the year, which has seen our lending increase by 14% to £31m.
“I am particularly pleased with the outcome of the decision we made to offer our mortgage portfolio solely through the intermediary channel.
“As we believe that the only genuine way to ensure that clients receive the right service is through whole of market advice from a regulated intermediary, our products have to measure up well against the rest of the market.”
And Wood said he was confident that the position would continue to improve.
He said: “I am very confident that our position will continue to strengthen. As one of only 45 building societies in the UK a central part of our strategy is to continue our strong commitment to the community we serve and to the intermediary market through our mortgage range.
“We carry forward a positive outlook that builds on the foundations of our 156 years in business, which makes for a very bright future.”
