BSA: Building societies continue to attract record savings

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Wednesday, 02, Apr 2008 12:00

Strong savings inflows to building societies continued into February, with £1.35 billion in net receipts being recorded. This is the highest February inflow since 1997.

Commenting on the figures, Brian Morris, Head of Savings Policy at the BSA said:-

“Building societies have enjoyed another strong month as high interest rates and attractive products have encouraged people to save with societies. The continuing economic uncertainty and volatility in stock markets have provided further incentives to put money in cash savings.”

Mr Morris continued:-

“Net lending by building societies is down compared to this time last year. This suggests the lower levels of activity in the housing market reported by the Land Registry yesterday for December are continuing into 2008.”

Building Society Statistics February 2008

· Building societies had net receipts of £1,350 million in February 2008, compared to £782 million in February 2007.

· Building society net receipts to cash ISAs in February 2008 were £130 million compared to £123 million in February 2007

· Building society gross lending amounted to £3,860 million in February 2008, compared to £4,200 million in February 2007.

· Net lending by building societies was £974 million in February 2008, compared to £1,467 million in February 2007.

· Approvals were £3,411 million in February 2008, compared to £4,644 million in February 2007.

~ Ends ~

1. The Building Societies Association (BSA) represents all 59 building societies in the United Kingdom. Building societies have total assets of just under £350 billion and, together with their subsidiaries, hold residential mortgages of £245 billion, more than 20% of the total outstanding in the UK. Societies hold about £215 billion of retail deposits, accounting for more than 20% of all such deposits in the UK. Building societies also account for over 38% of all cash ISA balances. Building societies employ over 50,000 full and part-time staff and operate through more than 2,100 branches.

2. Photographs of Brian Morris are available from the BSA press office, from the Association’s website at www.bsa.org.uk or from Headlinemoney www.headlinemoney.co.uk

3. A list of all building societies can be found on the BSA website at http://www.bsa.org.uk/aboutus/buildsocmember.htm and demutualised institutions at http://www.bsa.org.uk/consumer/factsheets/100010.htm

CONTACT:

Neil Johnson

DIRECT LINE:

020 75205909

NIGHT/WEEKEND:

07908 764549

EMAIL:

neil.johnson@bsa.org.uk

THE BUILDING SOCIETIES ASSOCIATION

Website: http://www.bsa.org.uk