Manchester Building Society granted permission to appeal to Supreme Court

The Supreme Court has granted permission to Manchester Building Society to appeal the order made by the Court of Appeal in the case of Manchester Building Society v Grant Thornton UK LLP.

The Society said today that it intends to proceed with the appeal and the date of the Supreme Court hearing will be determined in due course.

The case relates to audit services provided by Grant Thornton, former auditors of the society.

On May 2, 2018, the High Court awarded damages of £335,727, including interest, to the society, considerably below the £49m amount claimed. Costs were awarded to Grant Thornton.

The society appealed this decision and the appeal was heard on January 15, 16, this year.

On January 30, the Court of Appeal dismissed the society’s appeal and upheld the first instance judgment.

The society responded by confirming it was considering its position as to whether to request leave to appeal this decision.

In relation to costs, the society had paid £1,973,215 to Grant Thornton by January 30.

The society said in January that it expected it will have some further liability to pay costs to Grant Thornton following a detailed cost appraisal, the timing of which was not yet known.

It said on January 30: “There continues to be material uncertainty regarding the long term future of the society.

“The society will continue to discuss and consult with its regulators on the next steps and on the capital position of the society.”

It added: “The society continues to have a strong liquidity position.”