Coventry Building Society records 3% uptick in mortgage balances

Jake Carter

March 4, 2021


Coventry Building Society noted a £1.2bn rise in its mortgage balances in 2020, equating to a 3% uptick, according to its latest financial results.

As a result, looking to its annual results for the 12 months to 31 December 2020, its total mortgage balance was £43.5bn.

Overall, the society outlined that it supported over 39,000 borrowers with payment holidays in 2020.

Profit before tax fell from £147m in 2019 to £124m in 2020.

According to the society, whilst its mortgage book preformed well, it has increased provisions by £36m to cover potential future credit losses.

Steve Hughes, chief executive of Coventry Building Society, said: “Despite the market effectively closing down during the first lockdown, mortgage growth was £1.2bn (3.0%) to £43.5bn, as we carefully managed participation through the year.

“In the early weeks of the pandemic, we arranged over 39,000 mortgage payment holidays for borrowers, with the vast majority now resuming payments.

“Although our mortgage book continues to perform well, we increased provisions by £36m to protect against potential future credit losses.

“Our strong relationship with intermediaries, and our ability to support them with a consistently good service, helped underpin our growth in 2020 and we remain cautiously optimistic that, with the right support, the housing market will remain strong in 2021.”

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