Yahoo Finance Nationwide Credits Mortgage Record For Profit
The country's biggest building society says record mortgage lending helped it achieve a 34% rise in half-year profits.
Nationwide reported a pre-tax profit of £802m for the six months to 30 September - aided by a 14% rise in its mortgage book to £14.9bn.
It (Other OTC: ITGL - news) said 25,700 first-time buyers were among those getting loans.
The results were revealed less than 24 hours after the Council of Mortgage Lenders said that borrowing - aided by low interest rates and stronger employment and wage growth - was back at levels not seen since 2008 last month.
While home loan rates rose slightly in late summer on the back of expectations that the Bank of England would soon raise the base rate of interest, that possibility has since been knocked back by Bank governor Mark Carney.
Chief executive Graham Beale said: “This has been our best ever half-year of mortgage lending along with a strong inflow of savings and the opening of over a quarter of a million new current accounts.
"Our first-half performance reflects the growing strength and security of the Society with all of our core product areas delivering standout results."
It was revealed earlier this week that Mr Beale, who had previously announced he was to leave the business, would be replaced next year by the head of BT Openreach, Joe Garner.
