The mutual also increased its mortgage balances by 14% from £23.3bn in 2010 to £26.7bn in 2011.
The group’s average indexed loan to value declined from 56% in 2010 to 54% in 2011.
The Yorkshire made two major transactions during the year which included a merger with Norwich & Peterborough and the acquisition of the savings and mortgage balances of Egg Banking.
Chris Pilling, chief executive of Yorkshire Building Society, said: “I am extremely pleased to report very strong financial results for the Yorkshire in 2011. This performance shows significant growth in mortgage and savings balances, increased level of operating profit, stable net interest margin and robust capital and liquidity positions despite the continuing challenges presented by the economic and market conditions.
“I would like to thank Iain Cornish for his tremendous leadership which resulted in the society being in an exceptionally strong position and with a very bright future.”
Pilling added that the society had a reputation for delivering value and excellence to its members and that, as the new chief executive, he had inherited a fantastic legacy.
He said: “Throughout the global financial crisis, the society has ensured that the focus has been on protecting savers as far as possible from historically low interest rates and continuing to lend to borrowers looking to get on to the property ladder, whilst demonstrating forbearance to those who are struggling with repayments.
“Looking forward, we will continue to develop and invest in the attributes of the society that make it successful and differentiate us from our competitors.
“It is clear to me that when trust in banks is at an all-time low, the Yorkshire’s success is based on our operating principles as a trusted independent mutual, our financial strength and the commitment, attitude and skills of our people.”
