Leek United Building Society boosts lending as profit jumps fourfold to £3.6m

The mutual says its annual profit lifted from £0.9m in 2020, as home loan lending rose 8% to £174m in the 12-month period. Its total mortgage book now stands at £869m.

It says: “Although the economic impacts of the pandemic persisted during 2021, the housing market remained remarkably resilient. The stamp duty holiday was one contributing factor, as was the continued low interest rate environment.”

The business says it lifted investment for savers by more than £48m, while total assets rose to a record £1.18bn.

During the period the building society spent more than £1m to boost digital services, making “significant progress” to provide online savings and mortgage platforms for customers and intermediary partners.

The mutual’s mortgage offering includes lending on new build properties and flats up to 95% loan to value for residential mortgages, and up to 75% LTV for buy-to-let mortgages. It accepts BTL applications from non-homeowners and those looking to let their property out to family members, as well as those purchasing their first BTL property through to established landlords.

Over the coming year it plans to expand its product suite and lending criteria and enter new areas such as the holiday let market.

Leek United Building Society chief executive Andrew Healy says: “We finished 2021 with improved financial results and a stronger capital base while at the same time we significantly advanced our investment in technology, capability and infrastructure which will support our business, members and partners over the generations to come.”