Strong set of results from Skipton
PRE-TAX profits exceeded £75m in the first half of the year at Skipton Building Society but its chief executive warned that economic uncertainty since the EU Referendum makes it “more difficult” to forecast trading conditions in the short to medium term.
For the six months to 30 June 2016, the mutual reported total income of £327m compared to £305m in the corresponding period last year, while pre-tax profit increased from £72m to £76.8m.
CEO David Cutter hailed the Society’s strong results, saying: “We’ve seen a significant increase in savings balances, from £12.8bn at the year end to £13.9bn at 30 June 2016 – a testament to the range of competitive savings accounts we offer. And the Society’s net lending for the six months to 30 June 2016 was £0.6bn.
“With underlying group PBT of £72.1m, we’ve secured healthy profits, ensuring we continue to maintain a sustainable business – and one that remains resilient and robust, with strong capital and leverage ratios.”
However, he said that the recent decision to leave the EU made forecasting conditions more difficult, in particular any movements in Bank Base Rate and any impact on housing transactions and house prices which impacts the Mortgages and Savings division and Connells.
“We are well placed to manage the risks that we face and to capitalise upon any opportunities that may arise,” he said.
