Record results as Cornish steps down
YORKSHIRE Building Society chief executive Iain Cornish announced plans to stand down as he unveiled record results.
The Society reported a pre-tax profit of £115.4m, turning around a £12.5m loss in 2010, as it increased member numbers by 600,000.
It also said the merger with the Chelsea Building Society was making “excellent progress” and it would be seeking other similar opportunities.
Core tier 1 capital ratio was up to 12.4%, having initially fallen following the Chelsea merger, and total assets rose by almost a third to £30.1bn.
Mr Cornish said: “We are extremely pleased to report a very strong set of results for 2010 which have enhanced the resilience of the Society. This was delivered against a background of continued weakness in the UK economy and whilst continuing to provide outstanding levels of service to our members.
“Last year was not easy for either borrowers or savers and the Society has remained focused on doing what it can to support members through these challenging times. Whilst we clearly are operating within the constraints of a fragile economy and historically low interest rates we are pleased the Society has made excellent progress in the last year.
“The Chelsea merger was a transformational development for the Group and I’m pleased we can report that our progress and integration is ahead of plan. Looking ahead, one of our strategic priorities is to seize opportunities, which includes taking advantage of new merger opportunities that may be presented to us. We will, however, only consider doing so where there is a clearly defined benefit to our members.
“We believe mergers between building societies are preferable to the alternative of combining with organisations from outside the mutual sector. We anticipate that attractive opportunities of this type will inevitably arise over the next few years and believe that the Yorkshire is well positioned to respond to them.”
Mr Cornish Iain joined the Society in 1992 as corporate development manager and went on to hold senior roles in insurance, financial services, product development and marketing before taking the chief executive role in 2003.
Ed Anderson, chairman of Yorkshire Building Society, said: “It is with some regret that we have accepted Iain’s resignation. Iain has provided strong and outstanding leadership and, above all, demonstrated a deep commitment to mutuality and ensured members remain at the heart of the business.
“He has guided the Society successfully through the worst market and economic crisis in a generation and leaves it as a financially strong and successful independent mutual. The Board has started the process of finding a successor to build on Iain’s achievements, and Iain will continue as Chief Executive throughout this period.”
