Members of Norwich & Peterborough Building Society (N&P) have voted in favour of a merger with Yorkshire Building Society (YBS), the UK’s second largest building society.
Of those who voted, 89.61 per cent of savers and 87.22 per cent of borrowers voted in favour of N&P to merge with YBS.
The newly merged society will have three million members, approximately £34 billion of assets and a national network of 224 branches and 89 agency offices.
YBS said that bringing the two organisations together emphasised its position as one of the UK’s strongest financial institutions, providing members with a competitive and secure alternative to profit-driven retail banks.
YBS said it has also committed to retaining the strong links N&P has with its local communities and to supporting charities and good causes in the east of England through charitable giving, employee volunteering and affinity partnerships.
Commenting on the deal, CEO of YBS Iain Cornish said:"I am delighted that N&P members have recognised the benefits of this merger and voted in favour of it. The merger will strengthen the long-term position of the enlarged Society, making it better placed to compete and to deliver greater value to all our members as the merger benefits are realised.
"When the merger completes later this year we will build on N&P’s strong brand in the east of England and the value it has delivered to its members. The merger also provides us with the opportunity to develop Yorkshire’s own products in areas where N&P has complementary capabilities and expertise, such as the current account market.”
The merger is subject to final confirmation by the UK’s Financial Services Authority and is expected to complete on 1st November 2011.
Bradford, Yorkshire-based YBS has 2.6 million members, 178 branches, 89 agencies and assets of over £30 billion. It has already successfully merged with Barnsley and Chelsea building societies.
In the first half of this year, YBS reported an almost 70 per cent rise in core operating profit.
