Mutual One provides support services for 50 of the UK’s 63 building societies.
The company has said it will use the move to expand its existing range of services, which currently include compliance, internal audits, insurance and legal services. It does not currently provide help in the production of KFIs.
Chairman of Mutual One and chief executive of Market Harborough Building Society, Phillip Dearing denied that the company was being taken over by the Skipton because of expected problems for small societies in producing FSA compliant Key Facts Illustrations (KFIs) following ‘Mortgage Day.’
Dearing said: “Mutual One was set up six years ago as a joint venture between eight building societies. Even though we have grown very quickly, to achieve our plans to expand into unexplored service areas we require a partner with a wider range of skills, technical knowledge and resources, that partner is Skipton.”
John Goodfellow, chief executive and director of Skipton Building Society said: “We know what a valuable difference Mutual One is making to building societies and we’re delighted that we’ll be able to help with its expansion, which will ultimately benefit the whole sector.”
