Nationwide to Close Its Commercial Property Mortgage Lending Business

Posted on 25 November, 2016 by admin

It has been reported that Nationwide will close its commercial property lending business as the UK’s biggest building society sees a fall in profit.

Nationwide High Street Brandh

Compared to its profits of £802 million in the six-month period to the end of September last year, the same period this year saw a drop of 13 percent to £696 million.

The building society said the profit decline is due to record low interest rates, the commercial mortgage market’s high competition and an increase in bad debts. The closure of the business will impact fewer than 100 jobs.

Joe Garner, Nationwide Chief Executive, says:

“Our profit performance has reduced in line with our expectations and reflects continued margin pressure due to the prevailing low interest rate environment.”

Mr Garner further said, “Despite economic uncertainty following the UL’s Brexit vote, the society has continued to lend to help our members get on to and move up the housing ladder, with record net lending in the half year.”

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Recent Posts

Businesses operating from shared premises will miss out on grants

BA cuts 12,000 jobs, unions hit back

Media Streaming Service See Record Subscriptions

Covid-19 Causes Millions To Claim UK Furlough Scheme

America, Amazon Wants You!

UK Firms Battle To Survive

COVID-19 Grounds EasyJet Fleet

ECB Emergency Fight Back Aganist Covid-19

Aldi’s Expansion Plan

British Steel on the verge of collapse with over 20,000 jobs at risk

Paris watches as flames engulf one of France’s most famous landmarks

Debenhams on the brink of administration as board reject Ashley’s bid

Emmanuel Macron pushes for a new Europe with European Parliament elections on the horizon

Brexit impacts property market

Brexit uncertainty impacts the property market


Creative Christmas window displays

Toronto downtown skyscrapers

Brief history of skyscrapers