YBS-Susan_Allen_CEO of Yorkshire Building Society_

Mutual delivers strong results and record support for members

A record number of savings accounts were opened with Yorkshire Building Society last year, according to its annual financial results, announced today.

Savers benefitted from interest rates 1.01 percentage points higher than the market average, equating to an additional £441.1m in interest paid – more than double the previous year.

The Society grew both its savings and mortgage balances to 31 December 2023, in line with the mutual’s ambition to help people have a place to call home and improve financial wellbeing. Savings deposits from members increased to £47.1bn (2022: £42bn) and, despite a market which has seen mortgage lending drop by almost 30%, the Society increased mortgage balances to £46.8bn (2022: £45.2bn).

Furthermore, significant investment in improving its customer experience in digital channels has played a part in increasing the overall Society’s Net Promoter Score® to +61 (2022: +54).

Strong trading performance in both savings and mortgages, combined with the rising interest rate environment, supported an increase in core operating profit to £449.9m (2022: £425.6m).

This elevated level of profitability drives capital generation which positions the Society well for anticipated changes to regulatory requirements as it continues to grow, and enables further investment in the long-term best interests of its membership as a whole.

Financial highlights:

  • A record 693,000 savings accounts opened in 2023 (2022: 537,000)
  • Savings balances from members increased to £47.1bn (2022: £42bn)
  • Savers paid 1.01 percentage points above the market average (2022: 0.56pp), delivering an additional £441.1m in interest to members (2022: £198.6m)
  • Provided 44,000 new residential mortgages (2022: 47,000) to help people find a place to call home
  • Mortgage balances increased to £46.8bn (2022: £45.2bn)
  • Core operating profit £449.9m, an increase of £24.3m on 2022
  • Statutory profit before tax was £450.3m (£502.5m in 2022)
  • Common Equity Tier 1 ratio 16.7% (2022: 16.8%)

The full financial results are included in the appendix below.

Susan Allen, Chief Executive of Yorkshire Building Society, said:

“As I complete my first year as Chief Executive, I am proud to lead such a strong and sustainable organisation focused on supporting its members, customers and communities.

“More people are choosing us for their savings and, despite the mortgage market being much smaller in 2023, we increased our market share and one in three of our new owner-occupied mortgages was to a first-time buyer (FTB).


“Savings balances represent a primary source of financial wellbeing and, at times like these, the peace of mind that comes from having a rainy-day fund can make all the difference. Our own research, published within our Saving the Nation report, illustrated the dynamics of savings behaviour in the UK over the last five years and the widening gap between those who are able to save on a regular basis and those who are not.

“As a mutual, we don’t have external shareholders so we can return more to our members. During 2023, the rates we offered were on average 1.01 percentage points higher than the market average, which equates to £441.1m additional interest paid to our savers – more than double the amount when compared to 2022. We also launched a number of products for existing customers, which included our Loyalty Regular Saver and a one-year Fixed Rate bond.”


“Providing support to our borrowers is also important to us. Research in our Home Truths report highlighted how home ownership is moving further out of reach for many. Product innovation under our Place to Call Home priority is one way we seek to support prospective borrowers. We have launched products through our intermediary lender, Accord Mortgages, which allow family members to support younger generations and we continue to explore ways to make our products available to a wider range of customers.

“We are also mindful of the challenges faced by our existing mortgage holders and our teams have worked hard to understand and respond to individual circumstances. We proactively reached out to customers most impacted by interest rate increases and we signed up to the government-led Mortgage Charter to help customers navigate the higher cost of living.


“Our support for financial wellbeing extends beyond the range of competitive savings products we offer into our community activities, like our award-winning partnership with Citizens Advice. Representatives from Citizens Advice offer free, confidential advice on matters such as how to access welfare benefits and support with debt in 40% of our branches. This service is available to members and non-members alike and is making a real difference in local communities.

“The Society remains committed to maintaining a branch presence. Many of our members value the personal touch they receive in a branch, especially when they require support in more complex situations. Branches also provide an important link with our local communities, as the Citizens Advice partnership demonstrates.

“Our flagship volunteering program, Money Minds, continues to provide valuable resources on financial education and to help people to prepare for work. This is just one of our volunteering programmes which enables our colleagues to make a real impact in their communities.

“I am pleased to announce our latest charity partnership with FareShare who, alongside redistributing good-to-eat surplus food to charities, foodbanks and community organisations, strives to alleviate the impact, and root causes, of food poverty in the UK. This partnership aligns strongly to our purpose and will run until June 2026. We aim to lift over 2,500 people out of financial hardship and I look forward to the positive impacts this collaboration will bring.

Looking forward

“As a mutual, it’s important to balance savings and mortgage growth. The Society is in a robust financial position and we’re continuing to increase our customer satisfaction scores. We’re committed to continuing to support members, customers and communities throughout 2024.

“With world events currently driving continued economic volatility, a good deal remains dependent on how the interest rate environment evolves, and the speed and efficacy at which monetary policy action can return inflation to the Bank of England’s target of 2%. Current market sentiment indicates we may have reached the end of Bank Rate rises though, as ever, this is subject to change.

“In such a context it becomes increasingly important that we invest our resources purposefully and selectively, focusing on the things that will bring the most benefit to our membership in the long term. Both 2022 and 2023 represent periods where our profits were higher than historical levels. This will help to protect the long-term interests of our membership, providing stability for when challenges crystallise, and allowing us to reinvest in our products and services.”

YBS Group average savings rate compared to rest of market average rates. Source: CACI’s Current Account and Savings Database (CSDB), Stock. Data period January – December 2023

Gross mortgage lending reduced by 28% in 2023. Source: UK Finance

Net Promoter Score and NPS are trademarks of Bain & Company, Inc., Fred Reichheld and Satmetrix Systems, Inc. Data period January – December 2023, based on 58,586 responses

Includes Accord Mortgages Ltd

Core operating profit is an alternative performance measure which excludes items such as fair value volatility and material one-time charges that do not reflect the Group’s day-to-day activities

In 2023 we saw a material fair value gain, which was driven by greater than typical volatility in the valuation of the interest rate derivatives used to hedge our fixed rate mortgage and savings products

Saving the Nation report can be found here

Home Truths report can be found here